Arm Holdings plc (ARM) Had To Guide Up, Says Jim Cramer

We recently published 10 Stocks Jim Cramer Talked About As He Warned About “Have-Not” Stocks. Arm Holdings plc (NASDAQ:ARM) is one of the stocks Jim Cramer recently discussed.

Arm Holdings plc (NASDAQ:ARM) is a British semiconductor design company whose design blocks enable chip designers to create their products. Its shares have gained 8% year-to-date but dipped by 15.8% between late July and August start after the firm’s second quarter midpoint revenue forecast of $1.06 billion only managed to meet analyst estimates. Investors were expecting Arm Holdings plc (NASDAQ:ARM) to beat the estimates to showcase tailwinds from AI revenue. As part of his remarks, Cramer mentioned the forecast:

“Now Rene Haas, not prideful with a quarter that I thought was okay. But the stock is down 14%.

“You needed to guide. You did not get a guide up, and you need a big guide up.”

The CNBC TV host had previously discussed Arm Holdings plc (NASDAQ:ARM) in February. Here is what he said:

“Tomorrow, we’re going to hear from Arm. And you’re going to hear Arm saying listen we’re winning that arms race in CPUs too. So there’s just a lot of them and they have a confluence of things with Jensen. But I just come back and say, Rene Haas doing better, at Arm, Jensen Huang doing better in NVIDIA.”

While we acknowledge the potential of ARM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.