Credo Technology Group (NASDAQ:CRDO) Stock Price Up 5.4% – Still a Buy?

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s share price was up 5.4% during mid-day trading on Tuesday . The stock traded as high as $252.70 and last traded at $234.32. Approximately 15,559,847 shares changed hands during trading, an increase of 110% from the average daily volume of 7,402,302 shares. The stock had previously closed at $222.27.

Credo Technology Group News Roundup

Here are the key news stories impacting Credo Technology Group this week:

• Positive Sentiment: Credo has been one of the best-performing semiconductor names recently, with the stock rising sharply over the past three months as AI infrastructure demand continues to support growth and investor enthusiasm. Credo Stock Surges 78% in 3 Months: Is It Still a Buying Opportunity?
• Positive Sentiment: Traders bought unusually large volumes of CRDO call options, suggesting bullish sentiment and expectations for continued strength in the shares.
• Positive Sentiment: The company recently reported quarterly results that beat analyst expectations on both earnings and revenue, with revenue up sharply year over year, reinforcing the growth narrative behind the stock.
• Neutral Sentiment: A large insider sale by Director Sylvia Acevedo may be viewed as routine profit-taking, but it can still catch investors’ attention because it reduces her stake in the company.
• Neutral Sentiment: CEO William Joseph Brennan also sold shares, which likewise may be interpreted as insider selling after a strong run in the stock, though it does not necessarily indicate a change in the business outlook.

Analyst Ratings Changes

Several equities research analysts have issued reports on CRDO shares. Rothschild & Co Redburn started coverage on shares of Credo Technology Group in a research report on Friday, May 1st. They set a “buy” rating and a $206.00 target price for the company. Craig Hallum reiterated a “buy” rating and set a $200.00 target price on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Roth Mkm lifted their target price on shares of Credo Technology Group from $200.00 to $300.00 and gave the company a “buy” rating in a research report on Tuesday, June 2nd. Jefferies Financial Group lifted their target price on shares of Credo Technology Group from $225.00 to $270.00 and gave the company a “buy” rating in a research report on Tuesday, June 2nd. Finally, Mizuho boosted their price objective on shares of Credo Technology Group from $260.00 to $290.00 and gave the stock an “outperform” rating in a report on Tuesday, June 2nd. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $248.41.

Credo Technology Group Trading Up 5.4%

The stock has a market capitalization of $43.22 billion, a P/E ratio of 94.48, a price-to-earnings-growth ratio of 1.34 and a beta of 3.22. The stock’s fifty day moving average price is $172.17 and its two-hundred day moving average price is $147.79.

Credo Technology Group (NASDAQ:CRDO) last announced its quarterly earnings data on Monday, June 1st. The company reported $1.16 earnings per share for the quarter, topping analysts’ consensus estimates of $1.02 by $0.14. The firm had revenue of $437.00 million during the quarter, compared to analyst estimates of $431.80 million. Credo Technology Group had a net margin of 35.37% and a return on equity of 36.99%. The business’s quarterly revenue was up 157.0% on a year-over-year basis. During the same period in the previous year, the business posted $0.20 EPS. As a group, analysts expect that Credo Technology Group Holding Ltd. will post 3.93 earnings per share for the current fiscal year.

Insider Activity at Credo Technology Group

In related news, CEO William Joseph Brennan sold 54,984 shares of the company’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $218.57, for a total transaction of $12,017,852.88. Following the completion of the sale, the chief executive officer directly owned 367,327 shares in the company, valued at $80,286,662.39. This represents a 13.02% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CTO Chi Fung Cheng sold 27,500 shares of the company’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $178.99, for a total transaction of $4,922,225.00. Following the sale, the chief technology officer owned 6,024,870 shares of the company’s stock, valued at $1,078,391,481.30. This represents a 0.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 443,800 shares of company stock worth $62,855,092 over the last ninety days. Insiders own 11.84% of the company’s stock.

Institutional Investors Weigh In On Credo Technology Group

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CRDO. NewEdge Advisors LLC raised its holdings in Credo Technology Group by 128.4% during the 1st quarter. NewEdge Advisors LLC now owns 7,066 shares of the company’s stock valued at $284,000 after buying an additional 3,972 shares during the last quarter. Goldman Sachs Group Inc. increased its position in Credo Technology Group by 63.0% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,524,788 shares of the company’s stock valued at $61,235,000 after purchasing an additional 589,151 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in Credo Technology Group by 2.3% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 310,763 shares of the company’s stock valued at $12,480,000 after purchasing an additional 7,107 shares during the period. CW Advisors LLC purchased a new position in Credo Technology Group during the 2nd quarter valued at $288,000. Finally, EverSource Wealth Advisors LLC increased its position in Credo Technology Group by 198.2% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 501 shares of the company’s stock valued at $46,000 after purchasing an additional 333 shares during the period. 80.46% of the stock is currently owned by institutional investors.

Credo Technology Group Company Profile

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.