Bank of America Corp DE Purchases 262,479 Shares of Credo Technology Group Holding Ltd. $CRDO

Key Points

• Bank of America increased its Credo Technology Group stake by 13.7% in the second quarter, adding 262,479 shares to own 2.18 million shares valued at approximately $593.6 million. Institutional investors collectively hold 80.46% of the company.
• Credo reported quarterly revenue of $479 million, up 114.7% year over year, and earnings of $1.20 per share, exceeding analyst expectations. Growth is being driven by AI infrastructure demand, optical products and potential expansion through its OmniConnect platform.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $267.39, although several firms recently lowered targets. Investors remain focused on Credo’s premium valuation and risks from AI-spending normalization, customer concentration and competition.

Bank of America Corp DE increased its holdings in shares of Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Free Report) by 13.7% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 2,182,764 shares of the company's stock after acquiring an additional 262,479 shares during the period. Bank of America Corp DE owned approximately 1.17% of Credo Technology Group worth $593,603,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also bought and sold shares of the company. Geode Capital Management LLC increased its position in shares of Credo Technology Group by 5.0% during the fourth quarter. Geode Capital Management LLC now owns 3,862,041 shares of the company's stock valued at $555,117,000 after acquiring an additional 184,676 shares in the last quarter. Corient Private Wealth LLC lifted its holdings in shares of Credo Technology Group by 239,024.5% during the 4th quarter. Corient Private Wealth LLC now owns 3,598,823 shares of the company's stock valued at $517,835,000 after buying an additional 3,597,318 shares during the period. Goldman Sachs Group Inc. grew its holdings in shares of Credo Technology Group by 11.2% in the fourth quarter. Goldman Sachs Group Inc. now owns 2,021,020 shares of the company's stock worth $290,805,000 after acquiring an additional 203,462 shares during the period. Barclays PLC increased its position in Credo Technology Group by 33.8% during the fourth quarter. Barclays PLC now owns 1,448,004 shares of the company's stock valued at $208,353,000 after acquiring an additional 365,923 shares during the last quarter. Finally, Franklin Resources Inc. increased its position in Credo Technology Group by 3.4% during the fourth quarter. Franklin Resources Inc. now owns 1,125,369 shares of the company's stock valued at $161,929,000 after acquiring an additional 36,681 shares during the last quarter. Hedge funds and other institutional investors own 80.46% of the company's stock.

Credo Technology Group News Roundup

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

• Positive Sentiment: OmniConnect could expand Credo’s addressable market. Recent coverage highlights management’s view that OmniConnect could become a multibillion-dollar AI inference opportunity, with thousands of dollars of potential content per GPU and a possible contribution to fiscal 2028 revenue. This gives investors a new growth catalyst beyond existing connectivity products. Can Credo's OmniConnect Unlock a New AI Inference Growth Engine?
• Positive Sentiment: Credo is positioned to benefit from continued AI infrastructure spending. The company is showcasing new optical and copper interconnect products at the AI Infra Summit, reinforcing its role in helping hyperscalers scale data centers as AI workloads shift increasingly toward inference. Credo to Showcase High-Speed Connectivity Innovations
• Positive Sentiment: Recent growth remains exceptionally strong. Commentary points to quarterly revenue of $479 million, up 115% year over year, seven straight quarters of triple-digit growth, and management expectations for more than 85% fiscal 2027 revenue growth. Optical revenue, silicon photonics, ZeroFlap, and optical DSP products are identified as additional growth drivers. I Doubled Down Aggressively After Credo's Brutal Crash
• Neutral Sentiment: Analysts are comparing CRDO with Marvell and Broadcom. The comparisons underscore Credo’s faster growth and AI-connectivity exposure, but also raise questions about valuation, margins, customer risks, and the advantages of larger competitors with broader portfolios and established hyperscaler relationships. Credo vs. Broadcom
• Negative Sentiment: Investors remain concerned about AI-spending normalization and valuation. Credo’s sharp prior selloff reflects worries that AI capital expenditure could slow, while its premium valuation leaves the stock sensitive to any disappointment in growth, customer demand, or new-product execution. Credo vs. Marvell

Credo Technology Group Stock Up 0.2%

Shares of Credo Technology Group stock opened at $150.39 on Wednesday. The company has a market capitalization of $28.27 billion, a price-to-earnings ratio of 53.52, a PEG ratio of 0.60 and a beta of 3.22. The stock's 50-day simple moving average is $217.44 and its 200-day simple moving average is $191.27. Credo Technology Group Holding Ltd. has a 52 week low of $86.49 and a 52 week high of $308.67.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last released its earnings results on Tuesday, September 1st. The company reported $1.20 EPS for the quarter, topping the consensus estimate of $1.17 by $0.03. Credo Technology Group had a net margin of 33.83% and a return on equity of 28.77%. The firm had revenue of $479.00 million for the quarter, compared to the consensus estimate of $473.30 million. During the same quarter in the previous year, the firm earned $0.52 earnings per share. The company's quarterly revenue was up 114.7% compared to the same quarter last year. On average, equities analysts expect that Credo Technology Group Holding Ltd. will post 5.02 earnings per share for the current year.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the company. JPMorgan Chase & Co. cut their price target on Credo Technology Group from $335.00 to $310.00 and set an "overweight" rating for the company in a research note on Wednesday, September 2nd. Roth Capital increased their price objective on shares of Credo Technology Group from $200.00 to $300.00 and gave the stock a "buy" rating in a research note on Tuesday, June 2nd. Zacks Research downgraded shares of Credo Technology Group from a "strong-buy" rating to a "hold" rating in a report on Monday, August 3rd. Bank of America cut their target price on shares of Credo Technology Group from $340.00 to $275.00 and set a "buy" rating for the company in a research report on Wednesday, September 2nd. Finally, Evercore set a $292.00 target price on shares of Credo Technology Group in a report on Wednesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $267.39.

Insider Transactions at Credo Technology Group

In other Credo Technology Group news, CFO Daniel Fleming sold 7,580 shares of the business's stock in a transaction that occurred on Wednesday, July 8th. The stock was sold at an average price of $245.88, for a total transaction of $1,863,770.40. Following the sale, the chief financial officer directly owned 504,708 shares of the company's stock, valued at $124,097,603.04. The trade was a 1.48% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Chi Cheng sold 3,790 shares of the business's stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $170.00, for a total value of $644,300.00. Following the transaction, the chief technology officer directly owned 136,568 shares in the company, valued at approximately $23,216,560. This represents a 2.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 285,574 shares of company stock worth $65,043,841 in the last three months. Insiders own 9.06% of the company's stock.

About Credo Technology Group

Credo Technology Group Holding Ltd. develops high-speed connectivity solutions for the data infrastructure market. Its products are designed to help move data efficiently within and between networking, storage and computing systems, with applications in artificial intelligence, cloud computing, telecommunications and enterprise data centers.

The company's portfolio includes serializer/deserializer (SerDes) integrated circuits, retimers, optical digital signal processors and active electrical cables.

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