Shares of Arm Holdings (ARM) are falling sharply in early trading. The chip company posted first quarter results that topped Street estimates on both the top and bottom lines, but its guidance for its fiscal second quarter was softer than analysts were hoping for.

Yahoo Finance tech editor Dan Howley recaps the results in the video above.

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Stephanie Mikulich.