ARM (ARM Holdings) GF Value Rank: 1 (As of Jul. 02, 2026) — Near Median


ARM ARM Holdings PLC ARM
62 GF Score
Price $315.28
GF Value $178.36
Valuation Significantly Overvalued
! 1 Warning Sign
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What is ARM Holdings GF Value Rank?

ARM Holdings ARM -6.58% 62 GF Value Rank is 1 as of Jul. 02, 2026, which is at its 10-year median of 1.00. GuruFocus rates ARM with a GF Score™ of 62/100 and a GF Value™ of $178.36 (Significantly Overvalued). The stock has 1 warning sign investors should review.

ARM Holdings has the GF Value Rank of 1.

GF Value Rank evaluates the exclusive GuruFocus valuation and performance of a stock, rated on a scale from 1 to 10. It is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

A higher score indicates a stock with a relatively low valuation and substantial potential for outperformance. Conversely, a lower score often reflects stocks that are either highly overvalued or deeply undervalued, both of which tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

ARM Holdings GF Value Rank Related Terms

ARM vs TXN, MRVL, QCOM: GF Value Rank Comparison

For the Semiconductors subindustry, ARM Holdings's GF Value Rank, along with its competitors' market caps and GF Value Rank 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 GF Value Rank vs Semiconductors Industry

For the Semiconductors industry and Technology sector, ARM Holdings's GF Value Rank distribution charts can be found below:

* The bar in red indicates where ARM Holdings's GF Value Rank falls into.


ARM
62GF Score
ARM Holdings PLC ARM
GF Value Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about GF Value Rank →
What does a GF Value Rank of 1 mean?
ARM Holdings (ARM) has a GF Value Rank of 1 as of Jul. 02, 2026. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on ARM Holdings and its competitors. This is near median its historical median of 1.00. Over the past decade, ARM Holdings' GF Value Rank has ranged from 1.00 to 1.00.
Is ARM Holdings' GF Value Rank too high?
ARM Holdings' current GF Value Rank of 1 is near median its 10-year median of 1.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 1.00. Overall, ARM Holdings has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ARM Holdings' GF Value Rank compare to TXN and MRVL?
ARM Holdings' GF Value Rank of 1 can be compared against companies in the Semiconductors industry. Historically, ARM Holdings' own GF Value Rank has ranged from 1.00 to 1.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good GF Value Rank for a Semiconductors company?
A good GF Value Rank depends on the Semiconductors industry context. However, GF Value Rank 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 GF Value Rank mean?
A high GF Value Rank can signal that a stock is expensive relative to its fundamentals. GF Value Rank is given based on historical multiples along with past returns, growth and future estimates of the business' performance. View historical data on ARM Holdings and its competitors. ARM Holdings's current GF Value Rank is 1, which is near median its own 10-year median of 1.00. 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 $178.36, compared to a current price of $315.28 — trading 76.8% above its estimated fair value. The current GF Value Rank is 1, which is near median its 10-year median of 1.00. ARM Holdings' overall GF Score™ is 62/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is GF Value Rank calculated?
GF Value Rank is calculated from a company's financial statements. For ARM Holdings (ARM), the current GF Value Rank is 1 as of Jul. 02, 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 $315.28 is trading 76.8% above its estimated GF Value™ of $178.36. GuruFocus considers ARM Holdings to be Significantly Overvalued.

Key valuation signals for ARM:

  • GF Value Rank: 1 (near median its 10-year median of 1.00)
  • GF Value™: $178.36 vs. price of $315.28 (76.8% above fair value)
  • GF Score™: 62/100 with 1 warning sign

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.
62GF Score

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

$315.28
Price
$178.36
GF Value