ARM Replica is an electronic chipboard at a joint ceremony to launch the partnership between Malaysia and ARM Holdings on March 5, 2025 in Kuala Lumpur, Malaysia.
Hari Angara | Nuru Photo | Getty Images
British semiconductor company’s New York-listed stock arm It rose 1.4% in premarket trading Wednesday after the document showed. Nvidia I sold the stock of a company that I had once wanted to buy.
At the end of the third quarter, Nvidia held 1.1 million shares of Arm stock, valued at $155.8 million. The semiconductor giant’s filing with the SEC on Tuesday showed it sold the stock.
According to past documents filed with the SEC, Nvidia has held a stake in Arm since 2023, but reduced its stake toward the end of 2024.
When Arm went public on the Nasdaq in 2023, the company’s chief financial officer, Jason Child, told CNBC that NVIDIA was one of a group of strategic investors who collectively bought $735 million in Arm stock. apple, google, samsung and TSMC They were also part of that group.
Arm Holdings CEO Rene Haas poses for a photo with executives outside the Nasdaq Market site in New York City on September 14, 2023.
Michael M. Santiago | Getty Images
Nvidia’s IPO investment comes after Nvidia’s bid to acquire the company outright for $40 billion failed. The deal was originally agreed to between Nvidia and Arm’s then-owner. Softbank The deal ultimately fell through in 2022 following regulatory hurdles on both sides of the Atlantic.
Arm — Commercial partners include tech giants metaGoogle, Microsoft, Amazon The company’s market capitalization currently stands at approximately $135 billion, according to LSEG data.
Nvidia stock rose 2% in premarket trading, snapping a two-day losing streak for the stock following Tuesday’s gains.
However, NVIDIA’s withdrawal from Arm stock does not mean the end of the relationship between the two companies.
After the acquisition bid fell through in 2022, Nvidia maintained its 20-year license with Arm, and Nvidia CEO Jensen Huang said at the time that the company “will continue to support[Arm]as a proud licensee for decades to come.” Nvidia’s Grace CPUs, which the company describes as “the foundation of the next generation data center,” are built on Arm technology.
Arm announced its third-quarter results earlier this month, with sales up 26% from a year earlier to $1.24 billion, beating analysts’ expectations. Morgan Stanley analysts said in a post-earnings note that Arm’s report demonstrated “momentum in AI projects” and supported high operating costs “suggesting the company is building for long-term demand.” However, the stock fell in after-hours trading after the results were announced, with analysts pointing to the shares slightly beating Arm’s guidance. The stock is up 16% since the beginning of the year.
Morgan Stanley is overweight on Arm, with a price target of $135, a premium of just over 6% to Tuesday’s closing price.
Nvidia remains a major investor in the technology space, with SEC filings showing it held a major stake. core weave, intel, Neviuswith Nokia synopsis At the end of 2025.
The $1 billion stake in Finnish telecommunications company Nokia that the company added to its portfolio was first announced in October.
