Arm's total market value surpasses $300 billion for the first time, Masayoshi Son makes $220 billion, creating an investment legend.

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Driven by the surging global demand for AI computing power, Arm’s total market capitalization has surpassed the $300 billion mark for the first time.

At the start of US trading on May 21, Arm’s share price once soared 11% to a record high of $284.49, pushing its market value above $302.7 billion. In the previous trading session, the stock had already surged 15.05%, closing at $256.73, and had hit an intraday all-time high of $259.44.

This milestone has brought SoftBank and Masayoshi Son, the major shareholders, the most lucrative investment legend yet. According to calculations, SoftBank holds about 87% of Arm’s shares at a cost of around $40 billion, currently with a book profit exceeding $220 billion and a return rate of 550%.

Meanwhile, SoftBank's stock in Japan also soared nearly 20% today. In other news, OpenAI, in which SoftBank holds more than 10%, is reportedly planning to go public in the US, while its invested digital infrastructure company SB Energy is also said to be preparing a confidential registration statement.

Bernstein Assigns “Outperform” Rating to Arm

The catalyst for Arm’s latest surge comes from Bernstein’s latest report. The firm has given Arm an “outperform” rating with a target price of $300, representing an upside of about 16.8% from current levels. Bernstein believes that Arm is not only a beneficiary of the AI wave as a chip designer, but will structurally dominate the next era of computing.

Bernstein’s core thesis centers around the rise of agent-based AI. As the industry shifts from conversational chatbots to AI agents capable of autonomously conducting multi-step tasks, the central processor is returning to center stage in technology. With its energy efficiency advantages, Arm is expected to quadruple its CPU market share in the next four years, corresponding to a $137 billion addressable market. Bernstein forecasts that by 2030, Arm’s profits will increase fivefold.

This optimistic outlook is built on solid financials. In the most recent fiscal quarter, Arm’s net profit grew 49% year-on-year to $313 million and revenue grew 20% to $1.49 billion, reflecting continued expansion in demand for its chip architecture across fields from mobile devices to cloud computing.

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