Arm Holdings Shares Jump 14.35% on Nvidia’s RTX Spark and Vera Launch
ARM•Arm Holdings surged 14.35% intraday after Nvidia unveiled the RTX Spark Superchip and Vera data center processor built on Arm architecture, slated to ship in Q3 2026. In Q4 FY2026, Arm reported revenue of $1.49 billion, up 20% year-over-year, with licensing revenue climbing 29% to $819 million.
1. Nvidia Unveils Arm-Based RTX Spark and Vera Chips
Nvidia introduced the RTX Spark Superchip, co-designed with MediaTek for premium Windows PCs, and the Vera data center processor built on Arm's architecture, with over 30 PC designs set to launch this fall and Vera shipping in Q3 2026.
2. Q4 FY2026 Revenue and Earnings Growth
Arm reported $1.49 billion in Q4 revenue, a 20% increase year-over-year, with non-GAAP EPS of $0.60; licensing revenue rose 29% to $819 million, royalty revenue increased 11% to $671 million, and data center royalties more than doubled over the prior year.
3. AGI CPU Order Growth and Long-Term Targets
CEO Rene Haas noted committed customer demand for Arm's AGI CPU has reached over $2 billion for fiscal 2027 and 2028, double initial projections, as the company aims for $15 billion in AGI CPU revenue by FY2031 within a $100 billion CPU market opportunity by 2030.
4. Expanding Royalty Stream Drives Stock Surge
Arm’s royalty model means each shipped chip generates revenue, fueling a 14.35% intraday stock surge and a 240% share price rise over the past three months as its silicon footprint broadens across PCs and data centers.
