Credo Technology Group (NASDAQ:CRDO) Shares Gap Down - Should You Sell?

Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Get Free Report)'s share price gapped down before the market opened on Tuesday . The stock had previously closed at $95.74, but opened at $93.22. Credo Technology Group shares last traded at $91.86, with a volume of 1,319,200 shares.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on CRDO shares. Cowen restated a "buy" rating on shares of Credo Technology Group in a report on Tuesday, June 3rd. Wall Street Zen cut Credo Technology Group from a "buy" rating to a "hold" rating in a report on Saturday, July 12th. Stifel Nicolaus upped their price target on Credo Technology Group from $80.00 to $115.00 and gave the stock a "buy" rating in a research note on Friday. Susquehanna increased their price objective on Credo Technology Group from $90.00 to $115.00 and gave the company a "positive" rating in a research note on Tuesday. Finally, TD Cowen increased their price objective on Credo Technology Group from $85.00 to $95.00 and gave the company a "buy" rating in a research note on Wednesday, June 18th. One research analyst has rated the stock with a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Buy" and an average target price of $87.91.

Credo Technology Group Price Performance

The stock has a market cap of $15.86 billion, a price-to-earnings ratio of 342.57, a P/E/G ratio of 1.68 and a beta of 2.57. The stock's 50-day moving average is $79.45 and its 200 day moving average is $63.78.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last announced its quarterly earnings data on Monday, June 2nd. The company reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.27 by $0.08. The firm had revenue of $170.00 million during the quarter, compared to the consensus estimate of $159.59 million. Credo Technology Group had a net margin of 11.95% and a return on equity of 8.77%. The firm's revenue was up 179.6% compared to the same quarter last year. During the same quarter last year, the firm earned $0.07 earnings per share. Analysts anticipate that Credo Technology Group Holding Ltd. will post 0.13 EPS for the current year.

Insider Transactions at Credo Technology Group

In other Credo Technology Group news, CFO Daniel W. Fleming sold 3,790 shares of Credo Technology Group stock in a transaction that occurred on Thursday, July 10th. The shares were sold at an average price of $97.29, for a total value of $368,729.10. Following the completion of the sale, the chief financial officer directly owned 582,428 shares of the company's stock, valued at approximately $56,664,420.12. The trade was a 0.65% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CTO Chi Fung Cheng sold 55,000 shares of the business's stock in a transaction on Monday, July 14th. The shares were sold at an average price of $98.53, for a total transaction of $5,419,150.00. Following the sale, the chief technology officer directly owned 7,273,961 shares of the company's stock, valued at $716,703,377.33. This represents a 0.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,023,139 shares of company stock worth $79,992,980 over the last ninety days. 16.04% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Credo Technology Group

Institutional investors have recently added to or reduced their stakes in the company. Operose Advisors LLC lifted its holdings in Credo Technology Group by 69.2% in the 1st quarter. Operose Advisors LLC now owns 616 shares of the company's stock worth $25,000 after buying an additional 252 shares in the last quarter. Northwestern Mutual Wealth Management Co. acquired a new stake in shares of Credo Technology Group in the 1st quarter valued at about $25,000. Mirae Asset Global Investments Co. Ltd. acquired a new stake in shares of Credo Technology Group in the 1st quarter valued at about $27,000. Harbour Investments Inc. acquired a new stake in shares of Credo Technology Group in the 1st quarter valued at about $29,000. Finally, Virtus Advisers LLC acquired a new stake in shares of Credo Technology Group in the 1st quarter valued at about $31,000. Institutional investors and hedge funds 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.

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