Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. Decreases Stock Holdings in Credo Technology Group Holding Ltd. $CRDO

Key Points

• Mitsubishi UFJ Morgan Stanley Securities cut its Credo Technology Group stake by 56.8% in Q1, selling 4,259 shares and ending with 3,241 shares worth about $304,000.
• Wall Street remains bullish on CRDO, with multiple analysts raising price targets and the stock holding a consensus Buy rating and average target price of $263.11.
• Credo posted a strong quarter, reporting $1.16 EPS on $437 million in revenue, with revenue up 157% year over year as the stock traded near its 52-week high.

Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. reduced its stake in shares of Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Free Report) by 56.8% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 3,241 shares of the company's stock after selling 4,259 shares during the quarter. Mitsubishi UFJ Morgan Stanley Securities Co. Ltd.'s holdings in Credo Technology Group were worth $304,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Mirae Asset Global Investments Co. Ltd. raised its stake in shares of Credo Technology Group by 9.4% during the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 271,067 shares of the company's stock worth $39,004,000 after buying an additional 23,332 shares during the last quarter. M&T Bank Corp increased its holdings in Credo Technology Group by 428.8% during the 4th quarter. M&T Bank Corp now owns 13,427 shares of the company's stock valued at $1,932,000 after acquiring an additional 10,888 shares in the last quarter. FengHe Fund Management Pte. Ltd. raised its position in Credo Technology Group by 5.7% during the fourth quarter. FengHe Fund Management Pte. Ltd. now owns 162,269 shares of the company's stock worth $23,349,000 after acquiring an additional 8,769 shares during the last quarter. Second Line Capital LLC purchased a new stake in shares of Credo Technology Group in the third quarter valued at about $4,283,000. Finally, Nordea Investment Management AB acquired a new stake in shares of Credo Technology Group in the fourth quarter valued at approximately $2,084,000. 80.46% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on CRDO. Rothschild & Co Redburn began coverage on Credo Technology Group in a research report on Friday, May 1st. They set a "buy" rating and a $206.00 price objective for the company. Bank of America increased their target price on Credo Technology Group from $252.00 to $340.00 and gave the company a "buy" rating in a report on Tuesday, June 23rd. Susquehanna raised their price target on Credo Technology Group from $200.00 to $235.00 and gave the stock a "positive" rating in a research report on Tuesday, June 2nd. TD Cowen boosted their price target on Credo Technology Group from $240.00 to $260.00 and gave the stock a "buy" rating in a report on Tuesday, June 2nd. Finally, Rosenblatt Securities boosted their price target on Credo Technology Group from $175.00 to $215.00 and gave the stock a "neutral" rating in a report on Tuesday, June 2nd. Two analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, Credo Technology Group currently has a consensus rating of "Buy" and an average target price of $263.11.

Insiders Place Their Bets

In related news, CTO Chi Fung Cheng sold 27,500 shares of the company's stock in a transaction on Friday, April 10th. The stock was sold at an average price of $118.25, for a total value of $3,251,875.00. Following the completion of the transaction, the chief technology officer directly owned 6,134,870 shares in the company, valued at approximately $725,448,377.50. This represents a 0.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William Joseph Brennan sold 54,984 shares of the company's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $218.57, for a total value 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 ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 363,372 shares of company stock valued at $76,926,125 in the last quarter. 11.84% of the stock is currently owned by company insiders.

Credo Technology Group Price Performance

NASDAQ:CRDO opened at $258.69 on Thursday. The firm has a 50 day simple moving average of $225.11 and a 200-day simple moving average of $163.09. The firm has a market cap of $48.24 billion, a PE ratio of 104.31, a P/E/G ratio of 1.13 and a beta of 3.20. Credo Technology Group Holding Ltd. has a 1-year low of $86.49 and a 1-year high of $308.67.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last announced its 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 firm 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 32.30%. Credo Technology Group's revenue was up 157.0% compared to the same quarter last year. During the same quarter last year, the business earned $0.20 earnings per share. As a group, sell-side analysts expect that Credo Technology Group Holding Ltd. will post 4.84 earnings per share for the current fiscal year.

Key Stories Impacting Credo Technology Group

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

• Positive Sentiment: CRDO was included on Zacks’ Rank #1 (Strong Buy) growth stocks list, which can boost investor confidence in the stock’s near-term outlook.
• Positive Sentiment: MarketBeat highlighted Credo as one of several quiet AI revenue accelerators, pointing to strong sales growth and solid Buy ratings that support the bullish case for the semiconductor supplier.
• Positive Sentiment: Seeking Alpha noted that Credo scored a major win from Nvidia’s delay, suggesting competitive timing could improve demand for Credo’s connectivity products.
• Positive Sentiment: Recent comparison pieces framing Credo against Marvell emphasized Credo’s triple-digit revenue growth and role in AI infrastructure, reinforcing a growth-stock narrative.
• Neutral Sentiment: Semiconductor stocks have been volatile, with intraday rallies and selloffs swinging with broader market weakness and geopolitics. These moves may be influencing CRDO alongside the rest of the chip sector.
• Negative Sentiment: One Seeking Alpha article argued that Credo’s next quarter may not be as strong, which could temper enthusiasm if investors worry that recent growth will slow.

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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