Why Arm Holdings Stock Soared Higher This Week

Source The Motley Fool

Shares of Arm Holdings (NASDAQ: ARM) were trading higher this week. The company's stock gained 8.9% as of market close but was up as much as 13% earlier in the week. The leg up comes as the S&P 500 and Nasdaq 100 were up 1.7% and 1.6%, respectively.

President Trump's new AI infrastructure initiative, Project Stargate, helped boost AI stocks across the board, but Arm's relationship with Oracle could mean it benefits more than most.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. See the 10 stocks »

Project Stargate will bring billions of dollars to American AI

Oracle CEO Larry Ellison, along with several other key players in artificial intelligence (AI), was with President Trump as he announced Project Stargate, an initiative that will bring $500 billion in private investment into the AI industry. President Trump hopes to accelerate the building of AI-related infrastructure.

This was good news for Arm. Apart from the general boost most AI stocks received, investors were especially keen on Arm given its close relationship with Oracle and by proxy, the White House. Arm's CEO appeared on CNBC soon after the project's announcement discussing how his company would benefit.

Arm plans to expand operations

This comes just after it was revealed the company is planning on significantly upping the fees it charges clients to license its critical technology, hopefully leading to a boost in its bottom line. Beyond this, however, Arm is looking into making its own AI chips in-house, a potentially highly lucrative operation and one that it currently does not do. News of this was received positively, sending the company's stock higher.

Don’t miss this second chance at a potentially lucrative opportunity

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

  • Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $381,744!*
  • Apple: if you invested $1,000 when we doubled down in 2008, you’d have $42,357!*
  • Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $531,127!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

Learn more »

*Stock Advisor returns as of January 21, 2025

Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Oracle. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Bitcoin CME gaps at $35,000, $27,000 and $21,000, which one gets filled first?Prioritize filling the $27,000 gap and even try higher.
Author  FXStreet
Aug 22, 2023
Prioritize filling the $27,000 gap and even try higher.
placeholder
Natural Gas sinks to pivotal level as China’s demand slumpsNatural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
Author  FXStreet
Jul 01, 2024
Natural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
placeholder
Elon Musk’s xAI and Neuralink Launch New Funding Rounds​Billionaire Elon Musk recently raised funds for his two high-profile tech companies, xAI and Neuralink.
Author  Insights
Jun 03, 2025
​Billionaire Elon Musk recently raised funds for his two high-profile tech companies, xAI and Neuralink.
placeholder
Silver Price Forecast: XAG/USD plummets below $76 as oil price posts fresh weekly highSilver price (XAG/USD) is down almost 2.3% to near $76.00 during the European trading session on Thursday. The white metal faces selling pressure as oil prices extends its winning streak for the third trading day on Thursday.
Author  FXStreet
Apr 23, Thu
Silver price (XAG/USD) is down almost 2.3% to near $76.00 during the European trading session on Thursday. The white metal faces selling pressure as oil prices extends its winning streak for the third trading day on Thursday.
placeholder
Japanese Yen extends the range play against USD; looks to BoJ for fresh impetusThe USD/JPY pair is seen consolidating in a narrow band around mid-159.00s during the Asian session on Tuesday as traders opt to wait for the crucial Bank of Japan (BoJ) before placing fresh directional bets.
Author  FXStreet
14 hours ago
The USD/JPY pair is seen consolidating in a narrow band around mid-159.00s during the Asian session on Tuesday as traders opt to wait for the crucial Bank of Japan (BoJ) before placing fresh directional bets.
goTop
quote