Credo Technology Group (NASDAQ:CRDO) Shares Up 4.2% – Here’s Why

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s stock price was up 4.2% during trading on Wednesday . The company traded as high as $261.87 and last traded at $249.33. Approximately 7,401,692 shares changed hands during mid-day trading, a decline of 2% from the average daily volume of 7,529,636 shares. The stock had previously closed at $239.18.

More Credo Technology Group News

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

• Positive Sentiment: Jim Cramer publicly praised Credo, saying “Credo’s just so good,” which can reinforce investor confidence and attract more momentum buyers. Jim Cramer Says “Credo’s Just so Good”
• Positive Sentiment: New articles framed CRDO as a leading AI connectivity play, with emphasis on optical networking demand and margin expansion, supporting the stock’s growth narrative. Credo: The AI Connectivity Winner Emerges
• Positive Sentiment: Mizuho reiterated an Outperform rating and lifted its price target to $290, signaling that Wall Street still sees meaningful upside after the recent rally. Mizuho Reiterates Outperform on Credo Technology Group Holding Ltd (CRDO)
• Positive Sentiment: Credo’s strong earnings beat and upbeat growth outlook remain key catalysts, helping explain why the stock has been bid up sharply. Credo Technology Group Holding (CRDO) Is Up 21.2% After Earnings Beat And DustPhotonics Deal – What’s Changed
• Neutral Sentiment: CFO Daniel W. Fleming sold 40,000 shares under a pre-arranged 10b5-1 plan to cover tax withholding on vested equity awards, which is usually not a strong negative signal. SEC Form 4 filing
• Negative Sentiment: Some commentary says valuation is becoming stretched after the huge run-up, so the stock could be more vulnerable if execution or growth expectations fall short. Is CRDO Stock Still Worth Buying After Its Massive Run Higher?

Analysts Set New Price Targets

A number of equities research analysts recently commented on CRDO shares. Susquehanna boosted their target price 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. Rothschild & Co Redburn started coverage on Credo Technology Group in a research report on Friday, May 1st. They issued a “buy” rating and a $206.00 target price on the stock. The Goldman Sachs Group reiterated a “buy” rating and issued a $250.00 target price on shares of Credo Technology Group in a research report on Tuesday, June 2nd. TD Cowen boosted their target price on Credo Technology Group from $240.00 to $260.00 and gave the stock a “buy” rating in a research report on Tuesday, June 2nd. Finally, Needham & Company LLC boosted their target price on Credo Technology Group from $220.00 to $275.00 and gave the stock a “buy” rating in a research report on Monday, June 1st. One equities research 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. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $248.41.

Credo Technology Group Price Performance

The business has a 50-day simple moving average of $190.37 and a 200-day simple moving average of $152.06. The firm has a market capitalization of $45.99 billion, a PE ratio of 100.54, a P/E/G ratio of 1.36 and a beta of 3.22.

Credo Technology Group (NASDAQ:CRDO) last issued its quarterly earnings data on Monday, June 1st. The company reported $1.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.02 by $0.14. Credo Technology Group had a return on equity of 36.99% and a net margin of 35.37%.The business had revenue of $437.00 million for the quarter, compared to the consensus estimate of $431.80 million. During the same period in the prior year, the business posted $0.20 earnings per share. The company’s quarterly revenue was up 157.0% compared to the same quarter last year. On average, research analysts expect that Credo Technology Group Holding Ltd. will post 4.84 earnings per share for the current year.

Insider Buying and Selling at Credo Technology Group

In other Credo Technology Group news, CTO Chi Fung Cheng sold 27,500 shares of the company’s stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $259.53, for a total transaction of $7,137,075.00. Following the sale, the chief technology officer directly owned 5,992,370 shares in the company, valued at $1,555,199,786.10. This represents a 0.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. 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, 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 sale, the chief financial officer owned 501,873 shares in the company, valued at approximately $125,207,276.04. This trade represents a 7.38% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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. Over the last 90 days, insiders sold 389,384 shares of company stock valued at $66,025,968. Corporate insiders own 11.84% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Mirae Asset Global Investments Co. Ltd. grew its stake in shares of Credo Technology Group by 9.4% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 271,067 shares of the company’s stock valued at $39,004,000 after buying an additional 23,332 shares during the last quarter. FengHe Fund Management Pte. Ltd. grew its stake in shares of 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 valued at $23,349,000 after buying an additional 8,769 shares during the last quarter. M&T Bank Corp grew its stake in shares of Credo Technology Group by 428.8% during the fourth quarter. M&T Bank Corp now owns 13,427 shares of the company’s stock valued at $1,932,000 after buying an additional 10,888 shares during the last quarter. TD Asset Management Inc bought a new position in shares of Credo Technology Group during the third quarter valued at approximately $17,454,000. Finally, Second Line Capital LLC bought a new position in shares of Credo Technology Group during the third quarter valued at approximately $4,283,000. Institutional investors own 80.46% of the company’s stock.

About Credo Technology Group

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.