Am I wrong in assuming that much of that valuation stems from the belief not that Arm is going to be a money making machine, but that it is a perennial takeover

Am I wrong in assuming that much of that valuation stems from the belief not that Arm is going to be a money making machine, but that it is a perennial takeover target, and all it will take is one new rumor of a tech giant thinking of acquiring it in the coming months for the stock to pop?