Nvidia Sells Remaining Stake in Arm Holdings
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 hours ago
0mins
Should l Buy NVDA?
Source: seekingalpha
- Share Disposal: Nvidia sold its remaining stake in Arm Holdings, totaling 1.1 million shares valued at approximately $140 million based on Arm's closing price on Tuesday, marking Nvidia's exit from its investment in Arm.
- Failed Acquisition: Nvidia attempted to acquire Arm for $40 billion in 2020, which would have been the largest deal in semiconductor history, but the deal collapsed in February 2022 due to strong regulatory and customer opposition.
- Arm's IPO Plans: Arm, majority-owned by SoftBank Group, is moving forward with plans for a public listing, demonstrating its commitment to independent growth despite the failed acquisition attempt.
- Market Implications: This share sale reflects Nvidia's reassessment of Arm's future and may impact its strategic positioning in the AI chip market, particularly in light of its multi-year partnership with Meta.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 182.810
Low
200.00
Averages
264.97
High
352.00
Current: 182.810
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is a full-stack computing infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. The Company’s segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing platforms and artificial intelligence (AI) solutions and software; networking; automotive platforms and autonomous and electric vehicle solutions; Jetson for robotics and other embedded platforms, and DGX Cloud computing services. The Graphics segment includes GeForce GPUs for gaming and PCs, the GeForce NOW game streaming service and related infrastructure, and solutions for gaming platforms; Quadro/NVIDIA RTX GPUs for enterprise workstation graphics; virtual GPU software for cloud-based visual and virtual computing; automotive platforms for infotainment systems, and Omniverse Enterprise software for building and operating industrial AI and digital twin applications.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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