Arm Holdings ADR Plunges 11.8% as Intel's Weak Outlook Hits Chip Sector

Arm Holdings ADR shares plunged about 11.8% during trading after Intel issued a highly disappointing fourth-quarter outlook on October 29, forecasting revenue of $15-16 billion versus analyst expectations of roughly $17 billion and adjusted earnings per share of just $0.25, far below the consensus of $0.43. The selloff extended beyond Arm, with AMD, Qualcomm, Broadcom, and Marvell also posting significant declines, confirming an industry-wide ripple rather than Arm-specific issues. Arm's CFO Jason Child sold 10,400 shares for about $3.12 million under a pre-arranged 10b5-1 plan, and ongoing royalty disputes with Qualcomm continue to cloud near-term revenue prospects. Broader markets offered no refuge, as the NASDAQ fell 3.1%, the S&P 500 dropped 1.9%, and the Dow Jones Industrial Average declined 1.0%. Arm shares, already technically weak below key moving averages and richly valued after a strong 2026 run, hit an intraday low of $201.81 versus the prior close of $228.77 ahead of its November 4 earnings report.