ARM
Arm Holdings plc American Depositary Shares
ARM has lower modeled downside risk, despite its lower overall score.
CRDO
Credo Technology Group Holding Ltd
CRDO has the edge over ARM overall, supported by stronger fundamentals and stronger valuation.
ARM Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Healthy | |
| Strong | |
| Strong |
ARM's revenue, profitability, cash flow and balance sheet are all currently healthy.
CRDO Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Strong | |
| Strong |
CRDO's revenue, profitability, cash flow and balance sheet are all currently healthy.
ARM PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 167x | $147 | -27% |
| Fair | 224x | $197 | -1.4% |
| Current | 227x | $200 | — |
| Expensive | 361x | $317 | +59% |
Historical ranges are pointers, not guarantees.
ARM's PE is in its fair range at 227x.
CRDO PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 17x | $140 | — |
| Current | 49x | $140 | — |
| Cheap | 75x | $212 | +52% |
| Fair | 124x | $353 | +152% |
| Expensive | 395x | $1,122 | +703% |
Historical ranges are pointers, not guarantees.
CRDO has the edge over ARM in the historical PE scenario, which offers more potential upside but is not a forecast.
ARM Forward outlook
| Metric | Outlook |
|---|---|
| -- | |
| Strong growth | |
| Strong growth | |
| Improving | |
| Moderate | |
| Moderate |
Analysts expect strong earnings and revenue growth for ARM, with profitability improving.
CRDO Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Moderate | |
| Moderate |
Analysts expect strong earnings and revenue growth for CRDO, with profitability improving.
ARM Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Q3 2026 | $0.88 | +13% |
| Q2 2026 | $0.98 | +48% |
| Q1 2026 | $0.85 | +13% |
| Q4 2025 | $0.75 | -1.3% |
| Q3 2025 | $0.78 | +30% |
| Q1 2025 | $0.75 | +159% |
| Q4 2024 | $0.76 | +850% |
| Q3 2024 | $0.60 | +233% |
ARM earned $0.88 per share over the past year, up 13% from the year before.
CRDO Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $8.35 | +194% |
| Q3 2026 | $2.84 | +312% |
| Q2 2026 | $2.51 | +766% |
| Q1 2026 | $1.82 | +18100% |
| Q4 2025 | $1.16 | +$1.31 |
| Q3 2025 | $0.69 | +$0.85 |
| Q2 2025 | $0.29 | +$0.47 |
| Q1 2025 | $0.01 | +$0.24 |
| Q4 2024 | -$0.15 | +$0.06 |
CRDO has the edge over ARM on earnings, with more consistent year-over-year improvement.
ARM Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $1.4B | +27% |
| Q2 2026 | $1.3B | +22% |
| Q1 2026 | $1.5B | +20% |
| Q4 2025 | $1.2B | +26% |
| Q3 2025 | $1.1B | +34% |
| Q2 2025 | $1.1B | +12% |
| Q1 2025 | $1.2B | +34% |
| Q4 2024 | $983M | +19% |
ARM's revenue has grown year over year for eight quarters in a row: $1.4B last quarter, up 27% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 14% | -0.4 points |
| Q2 2026 | 7.1% | -3.8 points |
| Q1 2026 | 29% | -3.6 points |
| Q4 2025 | 15% | -2.9 points |
| Q3 2025 | 14% | +6.8 points |
| Q2 2025 | 11% | -8.5 points |
| Q1 2025 | 33% | +31 points |
| Q4 2024 | 18% | +1.5 points |
ARM's operating margin was 14% last quarter, about level with the same quarter a year ago.
CRDO Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $479M | +115% |
| Q2 2026 | $437M | +157% |
| Q1 2026 | $407M | +201% |
| Q4 2025 | $268M | +272% |
| Q3 2025 | $223.1M | +274% |
| Q2 2025 | $170M | +180% |
| Q1 2025 | $135M | +154% |
| Q4 2024 | $72M | +64% |
CRDO has the edge over ARM on sales, with stronger typical year-over-year growth.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 25% | -2 points |
| Q2 2026 | 36% | +16 points |
| Q1 2026 | 37% | +17 points |
| Q4 2025 | 29% | +41 points |
| Q3 2025 | 27% | +51 points |
| Q2 2025 | 20% | +33 points |
| Q1 2025 | 19% | +31 points |
| Q4 2024 | -12% | +8.5 points |
CRDO has the edge over ARM on profitability, with a higher operating margin.
ARM Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $135M | -69% |
| Q2 2026 | $705M | +296% |
| Q1 2026 | $186M | +1.1% |
| Q4 2025 | $186M | -48% |
| Q3 2025 | $429M | +$476M |
| Q2 2025 | $178M | +$497M |
| Q1 2025 | $184M | -72% |
| Q4 2024 | $360M | +25% |
ARM generated $1.2B in free cash flow over the past year, up 5.3% from the year before.
CRDO Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $82.9M | +62% |
| Q2 2026 | $177.5M | +228% |
| Q1 2026 | $139.7M | +$140.1M |
| Q4 2025 | $38.5M | +$50.1M |
| Q3 2025 | $51.3M | +$64.4M |
| Q2 2025 | $54.2M | +5531% |
| Q1 2025 | -$383K | +$5.8M |
| Q4 2024 | -$11.7M | -494% |
CRDO has the edge over ARM on cash flow, with more consistent year-over-year improvement.
ARM Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | +0.1% | +1M shares |
| 1 year | +0.9% | +10M shares |
| 3 years | +5.2% | +53.7M shares |
ARM has the edge over CRDO on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q1 2023 | — |
| Q4 2022 | — |
| Q3 2022 | — |
| Q2 2022 | — |
CRDO Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | +3.3% | +6.1M shares |
| 1 year | +5.3% | +9.8M shares |
| 3 years | +30% | +45.1M shares |
| 5 years | +39% | +54.4M shares |
CRDO has 194M diluted shares, up 5.3% from a year ago.
| Quarter | Spent |
|---|---|
| Q2 2022 | — |
| Q4 2021 | — |
| Q3 2021 | — |
| Q2 2021 | — |
| Q1 2021 | — |
| Q4 2020 | $22.9M |
| Q3 2020 | — |
ARM Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q1 2023 | -1.6x | Net Cash |
ARM has more cash than debt.
CRDO Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | -0.9x | Net Cash |
| Q2 2026 | -2.4x | Net Cash |
| Q1 2026 | -3.5x | Net Cash |
| Q4 2025 | -2.5x | Net Cash |
| Q3 2025 | -1.6x | Net Cash |
| Q2 2025 | -4.0x | Net Cash |
| Q1 2025 | -22.2x | Net Cash |
CRDO has more cash than debt.
ARM Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 43.0 | Neutral |
| Stochastic | 11.0 | Oversold |
ARM's weekly RSI is 43 (neutral) and its Stochastic is 11 (oversold).
CRDO Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 42.0 | Neutral |
| Stochastic | 9.2 | Oversold |
CRDO's weekly RSI is 42 (neutral) and its Stochastic is 9 (oversold).
ARM PE vs Technology Sector
| Metric | ARM | Sector median | Relative |
|---|---|---|---|
| PE | 227x | 28x | 715% above |
| PE % | 51 | 23 | 28 pts above |
ARM is trading at 227x earnings, a 715% premium to the Technology sector's median of 28x.
CRDO PE vs Technology Sector
| Metric | CRDO | Sector median | Relative |
|---|---|---|---|
| PE | 49x | 28x | 77% above |
| PE % | 1 | 48 | 47 pts below |
CRDO has the edge over ARM on valuation relative to its sector.
ARM Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $237.8 | 16% below |
| 20 week MA | $257.3 | 22% below |
| 50 week MA | $213.9 | 6.6% below |
| 100 week MA | $176.5 | 13% above |
CRDO has stronger trend alignment. ARM is above 1 of 4 weekly averages versus CRDO above 2 of 5.
CRDO Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $171.8 | 19% below |
| 20 week MA | $199.0 | 30% below |
| 50 week MA | $174.7 | 20% below |
| 100 week MA | $134.3 | 4.1% above |
| 200 week MA | $78.2 | 79% above |
CRDO has pulled back, but its long-term trend is still up: it's below its 8-, 20- and 50-week averages, but 79% above its 200-week average.
ARM Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2023 | $60.8 | $75.2 | +24% |
| 2024 | $75.2 | $129.2 | +72% |
| 2025 | $129.2 | $110.3 | -15% |
| 2026 YTD | $110.3 | $199.8 | +81% |
ARM has the edge over CRDO on returns for 2026, with the stronger performance.
CRDO Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2022 | $11.2 | $13.0 | +16% |
| 2023 | $13.0 | $19.5 | +50% |
| 2024 | $19.5 | $69.3 | +256% |
| 2025 | $69.3 | $144.8 | +109% |
| 2026 YTD | $144.8 | $139.8 | -3.5% |
CRDO has finished every year since 2022 higher, and it's down 3.5% so far in 2026.