Credo Technology Group (NASDAQ:CRDO) Stock Price Up 5.4% - Still a Buy?

Key Points

• Credo Technology Group shares rose 5.4% on the day, with trading volume far above average, reflecting strong investor interest as the stock continues to trend higher.
• The company’s latest quarterly results were a major positive driver, as earnings and revenue both beat expectations and revenue jumped 157% year over year.
• Wall Street remains broadly constructive: several analysts recently raised price targets, and the consensus rating is still Moderate Buy with an average target price of $248.41.

Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Get Free Report) shares rose 5.4% on Tuesday . The company traded as high as $252.70 and last traded at $234.32. Approximately 15,559,847 shares traded hands during trading, an increase of 110% from the average daily volume of 7,402,302 shares. The stock had previously closed at $222.27.

Key Headlines Impacting Credo Technology Group

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

• Positive Sentiment: Credo has been one of the best-performing semiconductor names recently, with the stock rising sharply over the past three months as AI infrastructure demand continues to support growth and investor enthusiasm. Credo Stock Surges 78% in 3 Months: Is It Still a Buying Opportunity?
• Positive Sentiment: Traders bought unusually large volumes of CRDO call options, suggesting bullish sentiment and expectations for continued strength in the shares.
• Positive Sentiment: The company recently reported quarterly results that beat analyst expectations on both earnings and revenue, with revenue up sharply year over year, reinforcing the growth narrative behind the stock.
• Neutral Sentiment: A large insider sale by Director Sylvia Acevedo may be viewed as routine profit-taking, but it can still catch investors' attention because it reduces her stake in the company.
• Neutral Sentiment: CEO William Joseph Brennan also sold shares, which likewise may be interpreted as insider selling after a strong run in the stock, though it does not necessarily indicate a change in the business outlook.

Wall Street Analyst Weigh In

CRDO has been the topic of a number of recent analyst reports. Mizuho raised their price target on shares of Credo Technology Group from $260.00 to $290.00 and gave the company an "outperform" rating in a research report on Tuesday, June 2nd. Craig Hallum reissued a "buy" rating and set a $200.00 price target on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Roth Mkm raised their price target on shares of Credo Technology Group from $200.00 to $300.00 and gave the company a "buy" rating in a research report on Tuesday, June 2nd. TD Cowen raised their price target on shares of Credo Technology Group from $240.00 to $260.00 and gave the company a "buy" rating in a research report on Tuesday, June 2nd. Finally, Jefferies Financial Group lifted their price objective on shares of Credo Technology Group from $225.00 to $270.00 and gave the stock a "buy" rating in a research report on Tuesday, June 2nd. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $248.41.

Credo Technology Group Stock Up 5.4%

The firm has a market cap of $43.22 billion, a P/E ratio of 94.48, a price-to-earnings-growth ratio of 1.34 and a beta of 3.22. The firm's 50-day simple moving average is $172.17 and its 200 day simple moving average is $147.79.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last announced its quarterly earnings data on Monday, June 1st. The company reported $1.16 EPS for the quarter, topping the consensus estimate of $1.02 by $0.14. The business had revenue of $437.00 million for the quarter, compared to analyst estimates of $431.80 million. Credo Technology Group had a net margin of 35.37% and a return on equity of 36.99%. The company's revenue for the quarter was up 157.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.20 earnings per share. As a group, analysts forecast that Credo Technology Group Holding Ltd. will post 3.93 earnings per share for the current year.

Insider Activity

In other news, CTO Chi Fung Cheng sold 27,500 shares of Credo Technology Group stock in a transaction dated Wednesday, March 11th. The shares were sold at an average price of $117.60, for a total value of $3,234,000.00. Following the completion of the transaction, the chief technology officer owned 6,272,370 shares in the company, valued at $737,630,712. This trade represents a 0.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO William Joseph Brennan sold 54,984 shares of Credo Technology Group stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $218.57, for a total transaction of $12,017,852.88. Following the completion of the transaction, the chief executive officer owned 367,327 shares of the company's stock, valued at $80,286,662.39. The trade was a 13.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 443,800 shares of company stock valued at $62,855,092 in the last quarter. Corporate insiders own 11.84% of the company's stock.

Hedge Funds Weigh In On Credo Technology Group

Several large investors have recently modified their holdings of the business. NewEdge Advisors LLC increased its stake in shares of Credo Technology Group by 24.1% in the first quarter. NewEdge Advisors LLC now owns 5,883 shares of the company's stock worth $552,000 after purchasing an additional 1,141 shares in the last quarter. Glenmede Trust Co. NA grew its stake in Credo Technology Group by 2.0% during the first quarter. Glenmede Trust Co. NA now owns 5,706 shares of the company's stock valued at $536,000 after acquiring an additional 114 shares in the last quarter. Segall Bryant & Hamill LLC grew its stake in Credo Technology Group by 12.7% during the first quarter. Segall Bryant & Hamill LLC now owns 111,621 shares of the company's stock valued at $10,478,000 after acquiring an additional 12,616 shares in the last quarter. Verus Capital Partners LLC purchased a new position in Credo Technology Group during the first quarter valued at approximately $506,000. Finally, Western Wealth Management LLC purchased a new position in Credo Technology Group during the first quarter valued at approximately $38,000. Hedge funds and other institutional investors own 80.46% of the company's stock.

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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