Credo Technology Group (NASDAQ:CRDO) Shares Gap Up - Here's What Happened

Key Points

• Credo Technology Group shares gapped up at the open, rising from a prior close of $236.88 to $252.51 before settling around $242.03 in early trading.
• Analyst sentiment remains bullish, with recent price-target hikes from firms including Mizuho, Bank of America, Evercore, Jefferies and JPMorgan; the consensus rating is a Buy with an average target of $263.11.
• The company delivered strong quarterly results, posting EPS of $1.16 versus $1.02 expected and revenue of $437 million, up 157% year over year.

Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Get Free Report)'s share price gapped up before the market opened on Tuesday . The stock had previously closed at $236.88, but opened at $252.51. Credo Technology Group shares last traded at $242.0270, with a volume of 538,238 shares.

Analyst Ratings Changes

A number of research analysts recently commented on CRDO shares. Mizuho upped their price objective on Credo Technology Group from $260.00 to $290.00 and gave the stock an "outperform" rating in a research note on Tuesday, June 2nd. Bank of America increased their target price on Credo Technology Group from $252.00 to $340.00 and gave the stock a "buy" rating in a research report on Tuesday, June 23rd. Evercore started coverage on Credo Technology Group in a research note on Monday, June 22nd. They issued an "outperform" rating and a $325.00 target price on the stock. Jefferies Financial Group boosted their price target on shares of Credo Technology Group from $225.00 to $270.00 and gave the company a "buy" rating in a report on Tuesday, June 2nd. Finally, JPMorgan Chase & Co. upped their price target on shares of Credo Technology Group from $230.00 to $250.00 and gave the stock an "overweight" rating in a research report on Tuesday, June 2nd. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have given a Hold rating to the company's stock. According to MarketBeat, Credo Technology Group currently has an average rating of "Buy" and a consensus price target of $263.11.

Credo Technology Group Stock Performance

The firm has a 50 day simple moving average of $230.01 and a two-hundred day simple moving average of $165.29. The stock has a market cap of $45.05 billion, a P/E ratio of 97.32, a P/E/G ratio of 1.18 and a beta of 3.20.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last announced its quarterly earnings results on Monday, June 1st. The company reported $1.16 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.02 by $0.14. The company had revenue of $437.00 million during the quarter, compared to analyst estimates of $431.80 million. Credo Technology Group had a return on equity of 32.30% and a net margin of 35.37%.The firm's quarterly revenue was up 157.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.20 EPS. As a group, equities research analysts predict that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current year.

Insider Activity at Credo Technology Group

In other Credo Technology Group news, CTO Chi Fung Cheng sold 3,790 shares of the business's stock in a transaction dated Wednesday, July 8th. The shares were sold at an average price of $258.71, for a total transaction of $980,510.90. Following the sale, the chief technology officer directly owned 140,358 shares in the company, valued at approximately $36,312,018.18. The trade was a 2.63% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Fariba Danesh sold 1,100 shares of the company's stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $236.34, for a total transaction of $259,974.00. Following the completion of the sale, the director directly owned 7,017 shares of the company's stock, valued at approximately $1,658,397.78. This represents a 13.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 367,162 shares of company stock worth $82,045,746. 11.84% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of CRDO. Crewe Advisors LLC lifted its holdings in Credo Technology Group by 163.1% in the 4th quarter. Crewe Advisors LLC now owns 171 shares of the company's stock valued at $25,000 after acquiring an additional 106 shares during the last quarter. Reflection Asset Management acquired a new position in shares of Credo Technology Group in the 4th quarter worth approximately $25,000. Acumen Wealth Advisors LLC bought a new stake in shares of Credo Technology Group in the 4th quarter worth approximately $25,000. Flagship Harbor Advisors LLC bought a new stake in shares of Credo Technology Group in the 4th quarter worth approximately $32,000. Finally, AlphaCentric Advisors LLC acquired a new stake in Credo Technology Group during the first quarter valued at approximately $33,000. Institutional investors own 80.46% of the company's stock.

About Credo Technology Group

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.