Credo Technology Group (NASDAQ:CRDO) Rating Increased to Strong-Buy at Zacks Research

Key Points

• Credo Technology Group was upgraded by Zacks Research from a "hold" to a "strong-buy" rating, indicating increased confidence in the company's potential.
• Several analysts have raised their target prices for Credo, with Stifel Nicolaus and Mizuho both setting targets at $155.00, showcasing market optimism.
• The stock has recently experienced a 273.6% year-over-year revenue growth, highlighting significant financial performance despite missing quarterly EPS estimates.

Zacks Research upgraded shares of Credo Technology Group (NASDAQ:CRDO - Free Report) from a hold rating to a strong-buy rating in a report published on Monday morning,Zacks.com reports.

A number of other brokerages also recently issued reports on CRDO. Noble Financial upgraded Credo Technology Group to a "strong-buy" rating in a research report on Tuesday, June 3rd. TD Cowen raised their price objective on Credo Technology Group from $140.00 to $160.00 and gave the stock a "buy" rating in a research report on Thursday, September 4th. Needham & Company LLC raised their price objective on Credo Technology Group from $85.00 to $150.00 and gave the stock a "buy" rating in a research report on Thursday, September 4th. Barclays raised their price objective on Credo Technology Group from $85.00 to $165.00 and gave the stock an "overweight" rating in a research report on Thursday, September 4th. Finally, Susquehanna raised their price objective on Credo Technology Group from $115.00 to $165.00 and gave the stock a "positive" rating in a research report on Thursday, September 4th. Two equities research analysts have rated the stock with a Strong Buy rating and twelve have given a Buy rating to the company. According to MarketBeat.com, the company has a consensus rating of "Buy" and a consensus target price of $126.27.

Credo Technology Group Stock Up 1.7%

Shares of CRDO stock traded up $2.67 during mid-day trading on Monday, reaching $161.99. 3,545,961 shares of the stock traded hands, compared to its average volume of 5,306,212. The stock's fifty day simple moving average is $115.91 and its two-hundred day simple moving average is $77.00. Credo Technology Group has a 1-year low of $26.96 and a 1-year high of $168.42. The company has a market cap of $28.02 billion, a price-to-earnings ratio of 241.78 and a beta of 2.59.

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

Insider Activity

In other news, CEO William Joseph Brennan sold 46,444 shares of the business's stock in a transaction that occurred on Friday, August 1st. The stock was sold at an average price of $106.87, for a total transaction of $4,963,470.28. Following the completion of the sale, the chief executive officer owned 393,338 shares in the company, valued at $42,036,032.06. The trade was a 10.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Pantas Sutardja sold 1,875 shares of the business's stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $107.00, for a total value of $200,625.00. Following the sale, the director owned 5,898,652 shares of the company's stock, valued at approximately $631,155,764. This represents a 0.03% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 1,033,917 shares of company stock valued at $99,967,419. Corporate insiders own 11.84% of the company's stock.

Institutional Investors Weigh In On Credo Technology Group

Several hedge funds and other institutional investors have recently modified their holdings of the company. Nisa Investment Advisors LLC increased its holdings in shares of Credo Technology Group by 3.5% during the second quarter. Nisa Investment Advisors LLC now owns 3,684 shares of the company's stock valued at $341,000 after acquiring an additional 126 shares in the last quarter. Blue Trust Inc. boosted its position in shares of Credo Technology Group by 3.9% during the second quarter. Blue Trust Inc. now owns 4,108 shares of the company's stock valued at $380,000 after buying an additional 154 shares during the last quarter. Signaturefd LLC boosted its position in shares of Credo Technology Group by 32.4% during the second quarter. Signaturefd LLC now owns 703 shares of the company's stock valued at $65,000 after buying an additional 172 shares during the last quarter. Main Management ETF Advisors LLC boosted its position in shares of Credo Technology Group by 1.7% during the second quarter. Main Management ETF Advisors LLC now owns 11,728 shares of the company's stock valued at $1,086,000 after buying an additional 192 shares during the last quarter. Finally, Larson Financial Group LLC boosted its position in shares of Credo Technology Group by 21.5% during the first quarter. Larson Financial Group LLC now owns 1,386 shares of the company's stock valued at $56,000 after buying an additional 245 shares during the last quarter. Institutional investors own 80.46% of the company's stock.

Credo Technology Group Company Profile

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.