Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
ARM HoldingsARM +1.98%69 3-Year EBITDA Growth Rate is 9.50% as of Mar. 2026, which is 126% above its 10-year median of 4.20. GuruFocus rates ARM with a GF Score™ of 69/100 and a GF Value™ of $180.08 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 828 Semiconductors companies, ARM Holdings ranks better than 67.03% on this metric.
During the past 12 months, ARM Holdings's average EBITDA Per Share Growth Rate was 13.50% per year.
During the past 3 years, the average EBITDA Per Share Growth Rate was 9.50% per year.
During the past 5 years, the average EBITDA Per Share Growth Rate was 11.60% per year.
During the past 10 years, the average EBITDA Per Share Growth Rate was 23.10% per year.
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.
During the past 6 years, the highest 3-Year average EBITDA Per Share Growth Rate of ARM Holdings was 9.50% per year. The lowest was -14.80% per year. And the median was 4.20% per year.
ARM Holdings (NAS:ARM) 3-Year EBITDA Growth Rate Explanation
EBITDA per Share is the amount of Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) per outstanding share of the company's stock.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is what the company earns before it expenses interest, taxes, depreciation and amortization.
ARM Holdings 3-Year EBITDA Growth Rate Related Terms
ARM vs TXN, MRVL, QCOM: 3-Year EBITDA Growth Rate Comparison
For the Semiconductors subindustry, ARM Holdings's 3-Year EBITDA Growth Rate, along with its competitors' market caps and 3-Year EBITDA Growth Rate 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 3-Year EBITDA Growth Rate vs Semiconductors Industry
For the Semiconductors industry and Technology sector, ARM Holdings's 3-Year EBITDA Growth Rate distribution charts can be found below:
* The bar in red indicates where ARM Holdings's 3-Year EBITDA Growth Rate falls into.
ARM Holdings 3-Year EBITDA Growth Rate Calculation
This is the 3-year average growth rate of EBITDA per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.
What does a 3-Year EBITDA Growth Rate of 9.50% mean?
ARM Holdings (ARM) has a 3-Year EBITDA Growth Rate of 9.50% as of Mar. 2026. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for ARM Holdings and its competitors. This is 126% above median its historical median of 4.20. According to the industry distribution chart, ARM Holdings ranks #273 out of 828 companies in the Semiconductors industry, placing it in the top 33%.
Is ARM Holdings' 3-Year EBITDA Growth Rate too high?
ARM Holdings' current 3-Year EBITDA Growth Rate of 9.50% is 126% above median its 10-year median of 4.20. Based on the distribution chart, ARM Holdings ranks #273 out of 828 companies in the Semiconductors industry, which is above 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' 3-Year EBITDA Growth Rate compare to TXN and MRVL?
According to the Semiconductors industry distribution chart, ARM Holdings ranks #273 out of 828 companies for 3-Year EBITDA Growth Rate. This puts ARM Holdings in the upper half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year EBITDA Growth Rate for a Semiconductors company?
A good 3-Year EBITDA Growth Rate depends on the Semiconductors industry context. However, 3-Year EBITDA Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year EBITDA Growth Rate mean?
A high 3-Year EBITDA Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for ARM Holdings and its competitors. ARM Holdings's current 3-Year EBITDA Growth Rate is 9.50%, which is 126% above median its own 10-year median of 4.20. 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 $180.08, compared to a current price of $267.19 — trading 48.4% above its estimated fair value. The current 3-Year EBITDA Growth Rate is 9.50%, which is 126% above median its 10-year median of 4.20. 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 3-Year EBITDA Growth Rate calculated?
3-Year EBITDA Growth Rate is calculated from a company's financial statements. For ARM Holdings (ARM), the current 3-Year EBITDA Growth Rate is 9.50% as of Mar. 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 $267.19 is trading 48.4% above its estimated GF Value™ of $180.08.
GuruFocus considers ARM Holdings to be Significantly Overvalued.
Key valuation signals for ARM:
3-Year EBITDA Growth Rate: 9.50% (126% above median its 10-year median of 4.20)
GF Value™: $180.08 vs. price of $267.19 (48.4% above fair value)
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 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
Get the complete analysis for ARM
3-Year EBITDA Growth Rate is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ARM has been successfully added to your 
