Credo Technology Group (NASDAQ:CRDO) Trading Down 4.2% – Here’s Why

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s stock price fell 4.2% during mid-day trading on Monday . The stock traded as low as $223.54 and last traded at $226.10. 11,462,694 shares changed hands during trading, an increase of 62% from the average session volume of 7,085,354 shares. The stock had previously closed at $236.03.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on CRDO shares. Needham & Company LLC restated a “buy” rating on shares of Credo Technology Group in a report on Monday. Craig Hallum reaffirmed a “buy” rating and issued a $200.00 price target on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Rothschild & Co Redburn initiated coverage on Credo Technology Group in a research report on Friday, May 1st. They issued a “buy” rating and a $206.00 price target on the stock. The Goldman Sachs Group raised their price target on Credo Technology Group from $150.00 to $170.00 and gave the company a “buy” rating in a research report on Thursday, April 16th. Finally, Weiss Ratings raised Credo Technology Group from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, May 26th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Buy” and an average price target of $214.18.

Credo Technology Group Stock Down 4.2%

The firm has a market capitalization of $41.70 billion, a price-to-earnings ratio of 125.61 and a beta of 3.22. The business has a 50-day moving average of $158.17 and a two-hundred day moving average of $144.80.

Credo Technology Group (NASDAQ:CRDO) last released its earnings results on Monday, March 2nd. The company reported $1.07 earnings per share for the quarter, topping analysts’ consensus estimates of $0.78 by $0.29. Credo Technology Group had a return on equity of 29.63% and a net margin of 31.81%.The business had revenue of $407.01 million for the quarter, compared to the consensus estimate of $385.94 million. During the same period last year, the business earned $0.25 earnings per share. The firm’s revenue for the quarter was up 201.5% compared to the same quarter last year. Equities analysts predict that Credo Technology Group Holding Ltd. will post 2.36 EPS for the current fiscal year.

Insider Transactions at Credo Technology Group

In other Credo Technology Group news, CEO William Joseph Brennan sold 50,000 shares of the firm’s stock in a transaction dated Wednesday, March 11th. The shares were sold at an average price of $117.68, for a total transaction of $5,884,000.00. Following the completion of the transaction, the chief executive officer owned 1,782,502 shares in the company, valued at $209,764,835.36. This trade represents a 2.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CTO Chi Fung Cheng sold 27,500 shares of the firm’s stock in a transaction dated Wednesday, March 11th. The stock was sold at an average price of $117.60, for a total transaction of $3,234,000.00. Following the transaction, the chief technology officer owned 6,272,370 shares of the company’s stock, valued at approximately $737,630,712. This represents a 0.44% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 386,608 shares of company stock valued at $50,371,351. Corporate insiders own 11.84% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CRDO. Atlantic Union Bankshares Corp bought a new position in Credo Technology Group during the third quarter worth about $25,000. Crewe Advisors LLC raised its stake in shares of Credo Technology Group by 163.1% in the fourth quarter. Crewe Advisors LLC now owns 171 shares of the company’s stock valued at $25,000 after acquiring an additional 106 shares during the last quarter. Reflection Asset Management bought a new position in shares of Credo Technology Group in the fourth quarter valued at approximately $25,000. Acumen Wealth Advisors LLC bought a new position in shares of Credo Technology Group in the fourth quarter valued at approximately $25,000. Finally, Flagship Harbor Advisors LLC bought a new position in shares of Credo Technology Group in the fourth quarter valued at approximately $32,000. Institutional investors own 80.46% of the company’s stock.

About Credo Technology Group

Credo Technology Group, Inc (NASDAQ: CRDO) is a fabless semiconductor company that develops high?speed connectivity solutions for cloud, enterprise and telecommunications infrastructure. The company focuses on semiconductors and related IP that enable reliable, low?latency movement of large volumes of data between servers, switches and optical modules in data centers and network equipment.

Credo’s product portfolio centers on high?speed analog and mixed?signal devices designed to preserve signal integrity and extend reach over copper and optical links.