William Blair Begins Coverage on Credo Technology Group (NASDAQ:CRDO)

Key Points

• William Blair has initiated coverage on Credo Technology Group, assigning an "outperform" rating to the stock.
• The company's recent earnings report showed a revenue increase of 273.6% year-over-year, despite missing earnings per share expectations.
• Institutional investors now own 80.46% of Credo Technology Group's stock, with significant recent purchases from firms like JPMorgan Chase and AllianceBernstein.

Investment analysts at William Blair assumed coverage on shares of Credo Technology Group (NASDAQ:CRDO - Get Free Report) in a research report issued on Thursday, Marketbeat reports. The firm set an "outperform" rating on the stock.

Several other brokerages also recently commented on CRDO. Mizuho lifted their target price on shares of Credo Technology Group from $135.00 to $155.00 and gave the stock an "outperform" rating in a report on Thursday, September 4th. Needham & Company LLC lifted their target price on shares of Credo Technology Group from $85.00 to $150.00 and gave the stock a "buy" rating in a report on Thursday, September 4th. Roth Capital lifted their target price on shares of Credo Technology Group from $95.00 to $160.00 and gave the stock a "buy" rating in a report on Thursday, September 4th. Barclays boosted their price objective on shares of Credo Technology Group from $85.00 to $165.00 and gave the stock an "overweight" rating in a report on Thursday, September 4th. Finally, TD Cowen boosted their price objective on shares of Credo Technology Group from $140.00 to $160.00 and gave the stock a "buy" rating in a report on Thursday, September 4th. Two analysts have rated the stock with a Strong Buy rating and thirteen have issued a Buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Buy" and a consensus target price of $126.27.

Credo Technology Group Price Performance

Credo Technology Group stock traded down $2.75 during midday trading on Thursday, reaching $169.56. The stock had a trading volume of 12,620,966 shares, compared to its average volume of 5,337,945. The firm's fifty day simple moving average is $123.01 and its two-hundred day simple moving average is $81.11. The firm has a market cap of $29.33 billion, a price-to-earnings ratio of 253.07 and a beta of 2.59. Credo Technology Group has a twelve month low of $28.31 and a twelve month high of $176.70.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last issued its earnings results on Wednesday, September 3rd. The company reported $0.34 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.36 by ($0.02). The company had revenue of $223.07 million for the quarter, compared to analyst estimates of $190.63 million. Credo Technology Group had a net margin of 20.85% and a return on equity of 19.02%. The company's quarterly revenue was up 273.6% on a year-over-year basis. During the same period last year, the business earned $0.04 EPS. Credo Technology Group has set its Q2 2026 guidance at EPS. As a group, sell-side analysts predict that Credo Technology Group will post 0.13 EPS for the current fiscal year.

Insiders Place Their Bets

In other Credo Technology Group news, Director Lip Bu Tan sold 80,000 shares of the firm's stock in a transaction that occurred on Tuesday, June 24th. The shares were sold at an average price of $90.77, for a total transaction of $7,261,600.00. Following the completion of the transaction, the director owned 479,428 shares in the company, valued at approximately $43,517,679.56. This trade represents a 14.30% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO William Joseph Brennan sold 150,000 shares of Credo Technology Group stock in a transaction on Friday, August 1st. The shares were sold at an average price of $106.87, for a total transaction of $16,030,500.00. Following the completion of the sale, the chief executive officer owned 2,061,978 shares of the company's stock, valued at $220,363,588.86. This represents a 6.78% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 871,163 shares of company stock worth $97,342,803. 11.84% of the stock is currently owned by insiders.

Institutional Trading of Credo Technology Group

A number of hedge funds and other institutional investors have recently bought and sold shares of CRDO. Operose Advisors LLC increased its stake in Credo Technology Group by 69.2% during the 1st quarter. Operose Advisors LLC now owns 616 shares of the company's stock valued at $25,000 after purchasing an additional 252 shares in the last quarter. Northwestern Mutual Wealth Management Co. bought a new stake in Credo Technology Group during the 1st quarter valued at $25,000. Mirae Asset Global Investments Co. Ltd. bought a new stake in Credo Technology Group during the 1st quarter valued at $27,000. Pinpoint Asset Management Singapore Pte. Ltd. purchased a new position in Credo Technology Group during the 2nd quarter worth $27,000. Finally, Harbour Investments Inc. purchased a new position in Credo Technology Group during the 1st quarter worth $29,000. Institutional investors own 80.46% of the company's stock.

About Credo Technology Group

Credo Technology Group Holding Ltd provides various high-speed connectivity Credo Technology Group Holding Ltd provides various high-speed connectivity solutions for optical and electrical Ethernet applications in the United States, Taiwan, Mainland China, Hong Kong, and internationally. Its products include HiWire active electrical cables, optical digital signal processors, low-power line card PHY, serializer/deserializer (SerDes) chiplets, and SerDes IP, as well as integrated circuits, active electrical cables.