Arm Holdings fell 5.26% in premarket trading and is now trading at $248.24.

Arm Holdings fell 5.26% pre-market and is now trading at $248.24. In terms of news, HSBC downgraded Arm Holdings from "buy" to "hold", believing that its server CPU growth expectations are overly optimistic and that its valuation is too high, with production capacity bottlenecks dragging down pre-market performance.