Arm shares post third daily loss with IPO buzz fizzling, short sellers hovering

Shares of Arm Holdings closed down 4.9% on Tuesday, in their third daily decline out of the stock’s first four sessions as a listed company, as investor interest faded in the biggest initial public offering (IPO) for the year so far.

With short sellers looking to profit from the stock, it closed at $55.17 after touching a high of $69 on Friday. The chip designer, in which Softbank holds a roughly 90% stake, closed at $63.59 on Thursday, which was almost 25% higher than its IPO price of $51.