Credo Technology Group (NASDAQ:CRDO) Trading 2.4% Higher - Here's What Happened

Key Points

• Credo's stock traded up 2.4% to about $198.29 on Wednesday with 6,018,090 shares changing hands (down ~15% from average), and the company carries a market cap near $36.6 billion and a P/E of ~110.
• The company posted a quarterly beat — EPS $1.07 vs $0.78 expected and revenue $407.0M vs $385.9M — with revenue up 201.5% year‑over‑year and a net margin of 31.8%.
• Analysts are broadly positive (consensus "Moderate Buy" with a $207.71 target and multiple recent buy ratings), while insiders have executed Rule 10b5‑1 sales totaling ~386,608 shares over 90 days though insiders still own 11.84% of the stock.

Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Get Free Report)'s stock price traded up 2.4% on Wednesday . The company traded as high as $198.58 and last traded at $198.29. 6,018,090 shares were traded during mid-day trading, a decline of 15% from the average session volume of 7,119,619 shares. The stock had previously closed at $193.57.

Analyst Upgrades and Downgrades

A number of equities analysts recently weighed in on the stock. Stifel Nicolaus set a $200.00 price objective on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Rothschild & Co Redburn assumed coverage on shares of Credo Technology Group in a research report on Friday, May 1st. They issued a "buy" rating and a $206.00 price objective on the stock. Craig Hallum reiterated a "buy" rating and issued a $200.00 price objective on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Susquehanna lowered their price objective on shares of Credo Technology Group from $230.00 to $170.00 and set a "positive" rating on the stock in a research report on Tuesday, March 3rd. Finally, The Goldman Sachs Group lifted their price objective on shares of Credo Technology Group from $150.00 to $170.00 and gave the company a "buy" rating in a research report on Thursday, April 16th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $207.71.

Credo Technology Group Stock Performance

The stock has a market capitalization of $36.57 billion, a PE ratio of 110.16 and a beta of 3.17. The business's 50-day moving average is $128.86 and its two-hundred day moving average is $140.36.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last issued its earnings results on Monday, March 2nd. The company reported $1.07 EPS for the quarter, topping the consensus estimate of $0.78 by $0.29. The company had revenue of $407.01 million for the quarter, compared to analyst estimates of $385.94 million. Credo Technology Group had a net margin of 31.81% and a return on equity of 29.63%. The business's revenue was up 201.5% on a year-over-year basis. During the same period in the previous year, the firm earned $0.25 EPS. Equities analysts forecast that Credo Technology Group Holding Ltd. will post 2.36 EPS for the current year.

Insider Activity at Credo Technology Group

In other Credo Technology Group news, CTO Chi Fung Cheng sold 27,500 shares of the business's stock in a transaction on Friday, May 1st. The shares were sold at an average price of $178.99, for a total transaction of $4,922,225.00. Following the sale, the chief technology officer directly owned 6,024,870 shares in the company, valued at approximately $1,078,391,481.30. The trade was a 0.45% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daniel W. Fleming sold 7,580 shares of the business's stock in a transaction on Tuesday, April 14th. The stock was sold at an average price of $152.63, for a total transaction of $1,156,935.40. Following the sale, the chief financial officer owned 433,678 shares in the company, valued at $66,192,273.14. The trade was a 1.72% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 386,608 shares of company stock valued at $50,371,351 over the last 90 days. Company insiders own 11.84% of the company's stock.

Institutional Investors Weigh In On Credo Technology Group

Several institutional investors have recently made changes to their positions in the stock. Kera Capital Partners Inc. purchased a new stake in shares of Credo Technology Group during the 1st quarter worth $6,601,000. Assetmark Inc. boosted its position in shares of Credo Technology Group by 8.6% in the 1st quarter. Assetmark Inc. now owns 2,882 shares of the company's stock worth $271,000 after buying an additional 228 shares in the last quarter. Financiere des Professionnels Fonds d investissement inc. purchased a new stake in shares of Credo Technology Group in the 1st quarter worth about $427,000. Bessemer Group Inc. boosted its position in shares of Credo Technology Group by 8.4% in the 1st quarter. Bessemer Group Inc. now owns 131,134 shares of the company's stock worth $12,310,000 after buying an additional 10,110 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC boosted its position in shares of Credo Technology Group by 155.3% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 561,176 shares of the company's stock worth $53,828,000 after buying an additional 341,356 shares in the last quarter. 80.46% of the stock is currently owned by hedge funds and other institutional investors.

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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