Zacks Investment Ideas feature highlights: Arm Holdings, NVIDIA, Advanced Micro Devices, Apple, Qualcomm and Meta Platforms

For Immediate ReleaseChicago, IL – March 26, 2026 – Today, Zacks Investment Ideas feature highlights Arm Holdings ARM, NVIDIA NVDA, Advanced Micro Devices AMD, Apple AAPL, Qualcomm QCOM and Meta Platforms META.Why ARM's New AI Chips Are a Game-ChangerWhat Does Arm Holdings Do?Zacks Rank #3 (Hold) stock Arm Holdings is a British software design company that is a foundational architect for the modern technological era. Unlike traditional semiconductor stocks like NVIDIA or Advanced Micro Devices, which design physical chips, ARM’s business focuses on designing the blueprints (processor architecture).Then, rather than producing the chips themselves, ARM licenses its architecture to major technology companies, including NVIDIA, Apple and Qualcomm. ARM’s RISC-based (Reduced Instruction Set Computing) processor is known for producing some of the most energy-efficient technology and is used in most of the world’s most popular consumer electronic devices, such as the Apple iPhone.ARM Holdings: A High Margin, Asset-Light BusinessBecause of ARM’s unique, asset light business model, the company enjoys a high-margin business. ARM collects upfront fees and royalties on every chip containing its technology. In other words, ARM has the holy grail for a fundamentally strong company – low costs and a recurring revenue stream that is independent of manufacturing expenses. ARM’s 97.5% gross margin (total revenue – cost of goods sold) is exceptional.Meanwhile, the company’s margins are likely to only expand from here. ARM’s latest Armv9 architecture is experiencing heavy demand and higher royalty rates per chip, especially in the booming premium smartphone and data center businesses.ARM Announces First In-house AI-Focused ChipAlthough ARM’s business is already strong, the company announced Tuesday that it will be releasing its own AI-focused data center chip. The chip will focus on powering Agentic AI in data centers. Agentic AI is currently the fastest-growing area of the AI industry. Adding credence to the new chip’s potential is the fact that Meta Platforms has agreed to be the “anchor customer” for the new chip. CEO Rene Haas indicated that the new data center chip will ignite revenue growth. In fact, Haas predicts that the new data center chip business could generate ~$15 billion in annual revenue in “about five years.”Considering that ARM’s 2025 annual revenue was roughly $4 billion, any revenue performance near the CEO’s prediction would be spectacular. Zacks Consensus Estimates suggest that ARM will grow revenue by ~20% over the next few years. However, I expect that Wall Street will be forced to raise forward estimates in the coming months as they factor in the large potential of an in-house chip.ARM News Produces Episodic PivotAn episodic pivot is a technical analysis pattern that occurs when a stock gaps up significantly on heavy trading volume in response to a major fundamental catalyst. ARM’s 15% gap on massive volume (5x the norm), coupled with the new chip catalyst, means that Wednesday’s gap up is buyable.Free: Instant Access to Zacks' Market-Crushing StrategiesSince 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.Get all the details here >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report QUALCOMM Incorporated (QCOM): Free Stock Analysis Report Apple Inc. (AAPL): Free Stock Analysis Report Advanced Micro Devices, Inc. (AMD): Free Stock Analysis Report NVIDIA Corporation (NVDA): Free Stock Analysis Report ARM Holdings PLC Sponsored ADR (ARM): Free Stock Analysis Report Meta Platforms, Inc. (META): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks