Arm Holdings (NASDAQ: ARM) stock shot up big-time earlier this year following the release of its fiscal 2024 third-quarter results in February, which was not surprising, as management pointed out that the growing demand for artificial intelligence (AI) chips is turning out to be a catalyst for its business. However, things have been going downhill for the British chip designer since then.

Arm stock hit a 52-week high on Feb. 12, fueled by an impressive set of results that beat the market's expectations and guidance that exceeded analysts' estimates. However, shares of the company have slipped 27% since then, and its latest quarterly results don't seem to be helping, either.

Shares of Arm dropped more than 2% after the company released fiscal 2024 fourth-quarter results (for the three months ending March 31) on May 8. Let's see why that was the case and check if the pullback in the company's stock over the past three months is a buying opportunity.

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Source Fool.com