Talos Eurisko Asset Management LP Makes New Investment in Credo Technology Group Holding Ltd. $CRDO

Key Points

• Talos Eurisko Asset Management opened a new position in Credo Technology Group during the fourth quarter, buying 77,600 shares worth about $11.2 million. The stake represents about 2.0% of the fund’s holdings and is its 19th largest position.
• Institutional and analyst sentiment remains positive, with several firms raising price targets and the stock carrying a consensus Moderate Buy rating. Analysts’ average target price is $248.41, even as some warn the valuation has become rich after the rally.
• Credo reported strong quarterly results, posting $1.16 EPS versus $1.02 expected and revenue of $437 million, up 157% year over year. The company is also benefiting from AI data-center demand, though insiders have recently sold shares, including the CFO and CEO.

Talos Eurisko Asset Management LP acquired a new position in Credo Technology Group Holding Ltd. (NASDAQ:CRDO - Free Report) during the fourth quarter, according to the company in its most recent filing with the SEC. The fund acquired 77,600 shares of the company's stock, valued at approximately $11,166,000. Credo Technology Group makes up 2.0% of Talos Eurisko Asset Management LP's holdings, making the stock its 19th biggest holding.

A number of other institutional investors have also modified their holdings of CRDO. NewEdge Advisors LLC raised its stake in shares of Credo Technology Group by 128.4% in the 1st quarter. NewEdge Advisors LLC now owns 7,066 shares of the company's stock valued at $284,000 after purchasing an additional 3,972 shares in the last quarter. Goldman Sachs Group Inc. raised its stake in shares of Credo Technology Group by 63.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,524,788 shares of the company's stock valued at $61,235,000 after purchasing an additional 589,151 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Credo Technology Group by 2.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 310,763 shares of the company's stock valued at $12,480,000 after purchasing an additional 7,107 shares in the last quarter. CW Advisors LLC acquired a new stake in shares of Credo Technology Group in the 2nd quarter valued at about $288,000. Finally, EverSource Wealth Advisors LLC raised its stake in shares of Credo Technology Group by 198.2% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 501 shares of the company's stock valued at $46,000 after purchasing an additional 333 shares in the last quarter. Institutional investors and hedge funds own 80.46% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the stock. Needham & Company LLC increased their price objective on shares of Credo Technology Group from $220.00 to $275.00 and gave the stock a "buy" rating in a research note on Monday, June 1st. Jefferies Financial Group increased 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 note on Tuesday, June 2nd. Mizuho increased their price objective on shares of Credo Technology Group from $260.00 to $290.00 and gave the stock an "outperform" rating in a research note on Tuesday, June 2nd. Craig Hallum reiterated a "buy" rating and set a $200.00 price objective on shares of Credo Technology Group in a research note on Tuesday, March 3rd. Finally, Zacks Research upgraded shares of Credo Technology Group from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, May 19th. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, Credo Technology Group has a consensus rating of "Moderate Buy" and a consensus target price of $248.41.

Key Headlines Impacting Credo Technology Group

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

• Positive Sentiment: Credo remains a beneficiary of the AI data-center upgrade cycle, with analysts citing stronger demand for its connectivity products and growing optical-scale opportunities. Credo Technology Rides the AI Interconnect Upgrade Cycle
• Positive Sentiment: Recent commentary continued to frame CRDO as a momentum name after its strong earnings-driven rally, reinforcing bullish interest in the stock. Credo Technology Group Holding Ltd. (CRDO) is a Great Momentum Stock: Should You Buy?
• Neutral Sentiment: CFO Daniel Fleming sold 40,000 shares under a 10b5-1 plan to cover tax obligations related to equity vesting, which is more administrative than a negative business signal. SEC Form 4 filing
• Negative Sentiment: Some reports warned that after a steep rally, CRDO’s valuation is becoming rich, leaving the shares vulnerable if growth, margins, or customer ramps disappoint. Is CRDO Stock Still Worth Buying After Its Massive Run Higher?

Credo Technology Group Price Performance

Credo Technology Group stock opened at $259.41 on Tuesday. The firm has a 50 day simple moving average of $187.62 and a 200-day simple moving average of $151.53. The stock has a market capitalization of $47.85 billion, a PE ratio of 104.60, a price-to-earnings-growth ratio of 1.32 and a beta of 3.22. Credo Technology Group Holding Ltd. has a 12-month low of $75.50 and a 12-month high of $270.21.

Credo Technology Group (NASDAQ:CRDO - Get Free Report) last posted its quarterly earnings data on Monday, June 1st. The company reported $1.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.02 by $0.14. The business had revenue of $437.00 million during the quarter, compared to analysts' expectations of $431.80 million. Credo Technology Group had a net margin of 35.37% and a return on equity of 36.99%. The business's revenue was up 157.0% on a year-over-year basis. During the same period last year, the firm posted $0.20 earnings per share. On average, analysts forecast that Credo Technology Group Holding Ltd. will post 4.84 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Daniel W. Fleming sold 40,000 shares of the company's stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $249.48, for a total value of $9,979,200.00. Following the completion of the sale, the chief financial officer owned 501,873 shares in the company, valued at approximately $125,207,276.04. This represents a 7.38% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William Joseph Brennan sold 54,984 shares of the company's stock in a transaction that occurred on Friday, June 5th. The shares were sold at an average price of $218.57, for a total transaction of $12,017,852.88. Following the completion of the sale, the chief executive officer owned 367,327 shares of the company's stock, valued at approximately $80,286,662.39. This trade represents a 13.02% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 389,384 shares of company stock worth $66,025,968 in the last quarter. Corporate insiders own 11.84% 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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