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Arm’s share price has almost doubled since it announced its earnings last week, as the UK chipmaker continues to make strides on the US stock exchange.

Shares stood at $148.97 at market close on Monday, compared to $77.01 the Wednesday before, the same day the company released its earning figures.

Arm said in its earnings report that the demand for AI technology had boosted its sales, which subsequently caused its shares to soar.

The company, which is owned by Japan’s SoftBank, has had a solid introduction to the US stock exchange since it launched its $5 billion (€4.6 billion) IPO in September – the biggest of 2023.

Arm’s chip design is used in virtually all smartphones and the majority of tablets and digital TVs. More recently, Arm has expanded into AI, smart devices and cloud computing, as the AI boom continues to grip the world of business.

It’s an industry-wide phenomenon: US chip maker Nvidia has also seen its shares more than triple in value over the past year thanks to ever-growing demand for its AI chips.

The firm has become one of the most valuable publicly traded companies in the world, with a stock market valuation of around $1.8 trillion, allowing it to join the “Trillion-dollar club”, alongside Apple, Microsoft, Alphabet and Amazon.

Companies don’t directly use Arm’s products for AI tasks, but the likes of Nvidia use them to enhance the performance of their AI-specific chips.