ARM (ARM Holdings) Days Sales Outstanding: 85.62 (As of Jun. 2026) — 15% Below Median

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ARM ARM Holdings PLC ARM
69 GF Score
Price $279.44
GF Value $189.61
Valuation Significantly Overvalued
! 1 Warning Sign
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What is ARM Holdings Days Sales Outstanding?

ARM Holdings ARM +0.28% 69 Days Sales Outstanding is 85.62 as of Jun. 2026, which is 15% below its 10-year median of 100.48. GuruFocus rates ARM with a GF Score™ of 69/100 and a GF Value™ of $189.61 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,019 Semiconductors companies, ARM Holdings ranks worse than 70.56% on this metric.

ARM Holdings's average Accounts Receivable for the three months ended in Jun. 2026 was $1,210 Mil. ARM Holdings's Revenue for the three months ended in Jun. 2026 was $1,289 Mil. Hence, ARM Holdings's Days Sales Outstanding for the three months ended in Jun. 2026 was 85.62.

The historical rank and industry rank for ARM Holdings's Days Sales Outstanding or its related term are showing as below:

ARM' s Days Sales Outstanding Range Over the Past 10 Years
Min: 82.64   Med: 100.48   Max: 151.78
Current: 82.64

During the past 6 years, ARM Holdings's highest Days Sales Outstanding was 151.78. The lowest was 82.64. And the median was 100.48.

ARM's Days Sales Outstanding is ranked worse than
70.56% of 1019 companies
in the Semiconductors industry
Industry Median: 62.77 vs ARM: 82.64

ARM Holdings's Days Sales Outstanding declined from Jun. 2025 (104.94) to Jun. 2026 (85.62).


ARM Holdings  (NAS:ARM) Days Sales Outstanding Explanation

For retailers, when we compare Days Sales Outstanding, it is important to compare the same period in the previous years.


ARM Holdings Days Sales Outstanding Related Terms


ARM Holdings Days Sales Outstanding Historical Data

* Premium members only.

The historical data trend for ARM Holdings's Days Sales Outstanding can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ARM Holdings Days Sales Outstanding Chart

ARM Holdings Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Days Sales Outstanding
Get a 7-Day Free Trial 151.78 144.62 100.48 85.99 89.28

ARM Holdings Quarterly Data
Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Days Sales Outstanding Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 104.94 97.84 77.25 69.94 85.62

ARM vs TXN, ADI, QCOM: Days Sales Outstanding Comparison

For the Semiconductors subindustry, ARM Holdings's Days Sales Outstanding, along with its competitors' market caps and Days Sales Outstanding data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


ARM Holdings Days Sales Outstanding vs Semiconductors Industry

For the Semiconductors industry and Technology sector, ARM Holdings's Days Sales Outstanding distribution charts can be found below:

* The bar in red indicates where ARM Holdings's Days Sales Outstanding falls into.


ARM
69GF Score
ARM Holdings PLC ARM
Days Sales Outstanding is just one metric. See GF Score™, valuation, warning signs, and more.
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ARM Holdings Days Sales Outstanding Calculation

Days Sales Outstanding measures the average number of days that a company takes to collect revenue after a sale has been made. It is a financial ratio that illustrates how well a company's Accounts Receivable are being managed.

Accounts Receivable can be measured by Days Sales Outstanding.

ARM Holdings's Days Sales Outstanding for the fiscal year that ended in Mar. 2026 is calculated as

Days Sales Outstanding (A: Mar. 2026 )
=Average Accounts Receivable /Revenue*Days in Period
=( (Accounts Receivable (A: Mar. 2025 ) + Accounts Receivable (A: Mar. 2026 )) / count ) / Revenue (A: Mar. 2026 )*Days in Period
=( (1107 + 1300) / 2 ) / 4920*365
=1203.5 / 4920*365
=89.28

ARM Holdings's Days Sales Outstanding for the quarter that ended in Jun. 2026 is calculated as:

Days Sales Outstanding (Q: Jun. 2026 )
=Average Accounts Receivable /Revenue*Days in Period
=( (Accounts Receivable (A: Mar. 2026 ) + Accounts Receivable (A: Jun. 2026 )) / count ) / Revenue (A: Jun. 2026 )*Days in Period
=( (1300 + 1119) / 2 ) / 1289*365 / 4
=1209.5 / 1289*365 / 4
=85.62

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Days Sales Outstanding →
What does a Days Sales Outstanding of 85.62 mean?
ARM Holdings (ARM) has a Days Sales Outstanding of 85.62 as of Jun. 2026. Days sales outstanding represents the average amount of days a company takes to collect receivables. View historical data on ARM Holdings and its competitors. This is 15% below median its historical median of 100.48. Over the past decade, ARM Holdings' Days Sales Outstanding has ranged from 82.64 to 151.78. According to the industry distribution chart, ARM Holdings ranks #719 out of 1019 companies in the Semiconductors industry, placing it in the top 70.6%.
Is ARM Holdings' Days Sales Outstanding too high?
ARM Holdings' current Days Sales Outstanding of 85.62 is 15% below median its 10-year median of 100.48. Over the past 10 years, this metric has ranged from a low of 82.64 to a high of 151.78. The Semiconductors industry median Days Sales Outstanding is 62.77. ARM Holdings' value of 85.62 is 36.4% above this industry median. Based on the distribution chart, ARM Holdings ranks #719 out of 1019 companies in the Semiconductors industry, which is below the industry midpoint. Overall, ARM Holdings has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ARM Holdings' Days Sales Outstanding compare to TXN and ADI?
According to the Semiconductors industry distribution chart, ARM Holdings ranks #719 out of 1019 companies for Days Sales Outstanding. This places ARM Holdings in the lower half of its industry. The industry median Days Sales Outstanding is 62.77. ARM Holdings' value of 85.62 is 36.4% above this benchmark. Historically, ARM Holdings' own Days Sales Outstanding has ranged from 82.64 to 151.78 over the past decade. While the company's 10-year median is 100.48 vs. the industry median of 62.77, ARM Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Days Sales Outstanding for a Semiconductors company?
The median Days Sales Outstanding among Semiconductors companies is 62.77, based on 1,019 companies in the industry. Companies in the top quartile (top 25%) have a Days Sales Outstanding significantly above this median, while those in the bottom quartile fall well below. However, Days Sales Outstanding should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ARM Holdings's current Days Sales Outstanding of 85.62 is 36.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Days Sales Outstanding mean?
A high Days Sales Outstanding can signal that a stock is expensive relative to its fundamentals. Days sales outstanding represents the average amount of days a company takes to collect receivables. View historical data on ARM Holdings and its competitors. For the Semiconductors industry, the median Days Sales Outstanding is 62.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ARM Holdings's current Days Sales Outstanding is 85.62, which is 15% below median its own 10-year median of 100.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ARM Holdings stock overvalued right now?
Based on GuruFocus' analysis, ARM Holdings (ARM) is currently considered Significantly Overvalued. The stock's GF Value™ is $189.61, compared to a current price of $279.44 — trading 47.4% above its estimated fair value. The current Days Sales Outstanding is 85.62, which is 15% below median its 10-year median of 100.48 and 36.4% above the Semiconductors industry median of 62.77. ARM Holdings' overall GF Score™ is 69/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Days Sales Outstanding calculated?
Days Sales Outstanding is calculated from a company's financial statements. For ARM Holdings (ARM), the current Days Sales Outstanding is 85.62 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is ARM Holdings (ARM) Overvalued in 2026?

Based on GuruFocus' analysis, ARM Holdings stock appears to be overvalued. The current stock price of $279.44 is trading 47.4% above its estimated GF Value™ of $189.61. GuruFocus considers ARM Holdings to be Significantly Overvalued.

Key valuation signals for ARM:

  • Days Sales Outstanding: 85.62 (15% below median its 10-year median of 100.48)
  • GF Value™: $189.61 vs. price of $279.44 (47.4% above fair value)
  • GF Score™: 69/100 with 1 warning sign
  • Industry Position: 36.4% above the Semiconductors median (#719 of 1019)

No single metric tells the full story. See the ARM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ARM Holdings Business Description

Other Exchanges ARMN:MexicoO9T:Germany
Address 110 Fulbourn Road, Cambridge, GBR, CB1 9NJ
Arm Holdings is the IP owner and developer of the Arm architecture, which is used in 99% of the world's smartphone CPU cores. It also has high market share in other battery-powered devices like wearables, tablets, and sensors. Arm licenses its architecture for a fee, offering different types of licenses depending on the flexibility the customer needs. Customers like Apple or Qualcomm buy architectural licenses, which allow them to modify the architecture and add or delete instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped. In 2026, Arm announced the launch of its own CPU products on top of its existing royalty business.
69GF Score

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Days Sales Outstanding is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$279.44
Price
$189.61
GF Value