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

Key Points

• Zacks Research upgraded Credo Technology Group from hold to strong-buy, adding to broadly positive analyst sentiment on the stock. The consensus rating remains Buy, with a consensus price target of $207.71.
• Credo shares rose 8.3% and were trading at $182.98, near their 12-month high of $213.80. The company also carries a high valuation, with a P/E ratio of 101.66 and a beta of 3.17.
• The company’s latest earnings showed strong growth, with EPS of $1.07 versus the expected $0.78 and revenue of $407.01 million, up 201.5% year over year. Insider sales by the CEO and CTO were also noted, though institutional ownership remains high at 80.46%.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) was upgraded by stock analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a report issued on Tuesday,Zacks.com reports.

A number of other research firms have also commented on CRDO. Mizuho lowered their price objective on Credo Technology Group from $225.00 to $200.00 and set an "outperform" rating on the stock in a research note on Tuesday, March 3rd. Craig Hallum restated a "buy" rating and set a $200.00 price objective on shares of Credo Technology Group in a research note on Tuesday, March 3rd. Susquehanna lowered their price objective on Credo Technology Group from $230.00 to $170.00 and set a "positive" rating on the stock in a research note on Tuesday, March 3rd. Rothschild & Co Redburn began coverage on Credo Technology Group in a research note on Friday, May 1st. They set a "buy" rating and a $206.00 price objective on the stock. Finally, Rosenblatt Securities lifted their price target on Credo Technology Group from $125.00 to $175.00 and gave the company a "neutral" rating in a research note on Wednesday, April 15th. Two analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of "Buy" and a consensus target price of $207.71.

Credo Technology Group Stock Up 8.3%

CRDO opened at $182.98 on Tuesday. Credo Technology Group has a 12-month low of $59.00 and a 12-month high of $213.80. The stock has a market cap of $33.75 billion, a price-to-earnings ratio of 101.66 and a beta of 3.17. The business has a 50 day moving average of $143.14 and a 200-day moving average of $142.48.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last released its quarterly earnings results on Monday, March 2nd. The company reported $1.07 EPS for the quarter, beating the consensus estimate of $0.78 by $0.29. Credo Technology Group had a net margin of 31.81% and a return on equity of 29.63%. The business had revenue of $407.01 million for the quarter, compared to the consensus estimate of $385.94 million. During the same period in the prior year, the company posted $0.25 earnings per share. Credo Technology Group's revenue was up 201.5% compared to the same quarter last year. As a group, analysts expect that Credo Technology Group will post 2.36 earnings per share for the current year.

Insider Transactions at Credo Technology Group

In related news, CEO William Joseph Brennan sold 6,149 shares of the business's stock in a transaction on Sunday, April 5th. The stock was sold at an average price of $101.45, for a total transaction of $623,816.05. Following the sale, the chief executive officer owned 222,311 shares in the company, valued at $22,553,450.95. The trade was a 2.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CTO Chi Fung Cheng sold 27,500 shares of the business's stock in a transaction on Friday, May 1st. The stock was sold at an average price of $178.99, for a total value of $4,922,225.00. Following the sale, the chief technology officer owned 6,024,870 shares in the company, valued at $1,078,391,481.30. This represents a 0.45% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 386,608 shares of company stock worth $50,371,351. 11.84% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Credo Technology Group

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Western Wealth Management LLC bought a new stake in Credo Technology Group during the 1st quarter worth $38,000. Edgestream Partners L.P. grew its position in Credo Technology Group by 28.4% during the 1st quarter. Edgestream Partners L.P. now owns 22,168 shares of the company's stock worth $2,081,000 after acquiring an additional 4,904 shares during the last quarter. H&H International Investment LLC grew its position in Credo Technology Group by 431.6% during the 1st quarter. H&H International Investment LLC now owns 751,200 shares of the company's stock worth $70,515,000 after acquiring an additional 609,900 shares during the last quarter. Oaktree Capital Management LP bought a new stake in Credo Technology Group during the 1st quarter worth $50,596,000. Finally, Centaurus Financial Inc. bought a new stake in Credo Technology Group during the 1st quarter worth $426,000. Institutional investors own 80.46% of the company's stock.

Key Credo Technology Group News

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

• Positive Sentiment: Credo announced that CEO Bill Brennan and CFO Dan Fleming will present at upcoming investor conferences, which can increase visibility with institutional investors and keep attention on the stock. Credo to Present at Upcoming Investor Conferences
• Positive Sentiment: Credo also said it is working with Rebellions to improve operational efficiency in enterprise AI factories, reinforcing demand for its connectivity products in AI infrastructure. Credo and Rebellions Work Together to Maximize Operational Efficiency in Enterprise AI Factories
• Positive Sentiment: The stock is benefiting from renewed interest in AI data center connectivity and fresh analyst upgrades, which has helped offset a recent pullback and brought the valuation back into focus. A Look At Credo Technology Group Holding (CRDO) Valuation After AI Connectivity Interest And Analyst Upgrades
• Neutral Sentiment: Recent headlines also note that investors are positioning ahead of Credo’s upcoming Q4 and full-year 2026 earnings, suggesting the next catalyst will likely be the company’s results and guidance. Credo Technology (CRDO) Soars 8% as Investors Gear Up for Earnings
• Negative Sentiment: Some market commentary warned the recent selloff may reflect concerns about whether hyperscaler capex can justify Credo’s rich earnings multiple, which could limit upside if growth expectations cool. Buy, Sell or Hold Credo Technology After the Selloff to $150?

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.

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