Back home after spending a few days at hospital to welcome my twin baby girls, I am back to find out everything has turned pear shape 
So back to business now...
Time to start a proper ARM thread here...one of the most resilient and popular tech stocks...trading from over 900 last year to form year low at 255 in April finally falling -17.25 (-6.1%) to 263.25 on Friday after successfully testing year low intraday...
One thing about ARM is that they have insistingly refused to announce a profit warning, instead in their results they came up with 52% revenue growth in the first quarter of 2001, saying they were confident of the outlook for the 2nd and 3rd quarters. According to forecasts EPS increasing, from 3.26p in 2001 to 4.7p in 2002 thus price-earnings ratios about 53, still growth prospects, particularly from license revenues strong..
Goldman Sachs upgraded its rating for ARM to market outperformer from market performer saying the valuation has become attractive and the growth forecasts are intact, and despite they are not likely to exceed forecasts by much in the current business environment as thye did in the past...believing royalty revenues are under some pressure from the decline in the networking area, although this is fully offset by accelerating growth in license revenues...
Chartwise I'd suggest to wait for ARM to retest year low of 255 before starting its new trading range, only seeing it successfully testing that level on friday intraday, I did not want to wait and got in at 262...
Stochastics indicate they are much oversold with K ticking up and crossing over D which is flat...all other indicators not suggesting anything +ve yet...
ARM is normally a safe bet over 300, since once it gets there it normally turns 300 into a strong base of its trading range...only those like me who want to make use of the way to 300 rush in a little earlier
Riz
(no financial advice intended)
So back to business now...
Time to start a proper ARM thread here...one of the most resilient and popular tech stocks...trading from over 900 last year to form year low at 255 in April finally falling -17.25 (-6.1%) to 263.25 on Friday after successfully testing year low intraday...
One thing about ARM is that they have insistingly refused to announce a profit warning, instead in their results they came up with 52% revenue growth in the first quarter of 2001, saying they were confident of the outlook for the 2nd and 3rd quarters. According to forecasts EPS increasing, from 3.26p in 2001 to 4.7p in 2002 thus price-earnings ratios about 53, still growth prospects, particularly from license revenues strong..
Goldman Sachs upgraded its rating for ARM to market outperformer from market performer saying the valuation has become attractive and the growth forecasts are intact, and despite they are not likely to exceed forecasts by much in the current business environment as thye did in the past...believing royalty revenues are under some pressure from the decline in the networking area, although this is fully offset by accelerating growth in license revenues...
Chartwise I'd suggest to wait for ARM to retest year low of 255 before starting its new trading range, only seeing it successfully testing that level on friday intraday, I did not want to wait and got in at 262...
Stochastics indicate they are much oversold with K ticking up and crossing over D which is flat...all other indicators not suggesting anything +ve yet...
ARM is normally a safe bet over 300, since once it gets there it normally turns 300 into a strong base of its trading range...only those like me who want to make use of the way to 300 rush in a little earlier
Riz
(no financial advice intended)
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