Credo Technology Group (NASDAQ:CRDO) Shares Gap Up – Still a Buy?

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s stock price gapped up before the market opened on Monday . The stock had previously closed at $259.90, but opened at $274.44. Credo Technology Group shares last traded at $274.7160, with a volume of 1,298,285 shares trading hands.

Key Headlines Impacting Credo Technology Group

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

• Positive Sentiment: TD Cowen raised its price target to $300 from $260 and maintained a “buy” rating, implying substantial upside from the recently reported trading level. Benzinga
• Positive Sentiment: Analysts continue to expect strong fiscal 2027 growth, with revenue projected to increase more than 80%, supported by Credo’s optical and copper connectivity businesses. The key question is whether margins can remain strong as research and development spending rises. Will Credo Maintain Strong Margins Despite Higher R&D Spending in FY27?
• Positive Sentiment: Credo is being highlighted as a potential beneficiary of the next phase of AI infrastructure investment because its high-speed connectivity products help link data-center equipment. Investors had also been positioning for upcoming earnings, with revenue expected to more than double year over year. Meet the Super Semiconductor Stock Crushing Nvidia in 2026
• Neutral Sentiment: Brokerage price targets remain generally supportive, with the reported consensus target near $266.17, although the stock’s premium valuation leaves it sensitive to changes in growth expectations. Brokerages Set Credo Technology Group Holding Ltd. PT at $266.17
• Negative Sentiment: Credo, Sandisk, Micron and other AI-related stocks experienced a sharp reversal as the major indexes gave back recent gains. The move suggests investors are taking profits and trimming risk across the high-beta chip group. Dow Jones Futures: Sandisk, Micron, Credo Lead AI Rug Pull
• Negative Sentiment: The broader semiconductor rally has quickly encountered renewed selling pressure, affecting chip names including Intel and Marvell. This sector weakness is the primary near-term factor weighing on CRDO despite favorable company-specific growth expectations. Why Intel, Marvell Stocks Are Dropping After Chip Stocks Enter New Bull Market

Analyst Ratings Changes

A number of research firms have recently commented on CRDO. Wall Street Zen cut Credo Technology Group from a “buy” rating to a “hold” rating in a research note on Saturday, August 1st. The Goldman Sachs Group reiterated a “buy” rating and issued a $250.00 price target on shares of Credo Technology Group in a research note on Tuesday, June 2nd. Rothschild & Co Redburn initiated coverage on shares of Credo Technology Group in a research report on Friday, May 1st. They set a “buy” rating and a $206.00 price objective on the stock. Barclays raised their price objective on shares of Credo Technology Group from $260.00 to $300.00 and gave the company an “overweight” rating in a research note on Monday, July 20th. Finally, Evercore initiated coverage on shares of Credo Technology Group in a report on Monday, June 22nd. They issued an “outperform” rating and a $325.00 target price for the company. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, Credo Technology Group has a consensus rating of “Moderate Buy” and a consensus price target of $268.39.

Credo Technology Group Trading Down 13.0%

The firm has a fifty day moving average of $242.63 and a 200 day moving average of $180.78. The company has a market capitalization of $45.87 billion, a P/E ratio of 99.18, a P/E/G ratio of 1.19 and a beta of 3.23.

Credo Technology Group (NASDAQ:CRDO) last posted its earnings results 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. Credo Technology Group had a net margin of 35.37% and a return on equity of 32.30%. The business had revenue of $437.00 million for the quarter, compared to analysts’ expectations of $431.80 million. During the same quarter in the prior year, the business earned $0.20 EPS. The business’s revenue for the quarter was up 157.0% compared to the same quarter last year. Sell-side analysts anticipate that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current fiscal year.

Insider Buying and Selling at Credo Technology Group

In other Credo Technology Group news, CFO Daniel W. Fleming sold 7,580 shares of the company’s stock in a transaction that occurred on Wednesday, July 8th. The shares were sold at an average price of $245.88, for a total transaction of $1,863,770.40. Following the completion of the sale, the chief financial officer directly owned 504,708 shares of the company’s stock, valued at approximately $124,097,603.04. This represents a 1.48% decrease in their ownership of the stock. The sale was disclosed in a filing 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, CTO Chi Fung Cheng sold 27,473 shares of the company’s stock in a transaction on Friday, July 31st. The stock was sold at an average price of $209.53, for a total value of $5,756,417.69. Following the completion of the sale, the chief technology officer owned 5,772,397 shares of the company’s stock, valued at $1,209,490,343.41. This trade represents a 0.47% 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. In the last ninety days, insiders sold 435,076 shares of company stock worth $101,043,506. Insiders own 11.84% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of CRDO. Corient Private Wealth LLC boosted its position in Credo Technology Group by 239,024.5% during the fourth quarter. Corient Private Wealth LLC now owns 3,598,823 shares of the company’s stock valued at $517,835,000 after purchasing an additional 3,597,318 shares in the last quarter. Amundi lifted its position in shares of Credo Technology Group by 28,478.2% during the fourth quarter. Amundi now owns 1,559,796 shares of the company’s stock valued at $224,439,000 after buying an additional 1,554,338 shares during the last quarter. Janus Henderson Group PLC boosted its holdings in shares of Credo Technology Group by 841.9% in the 4th quarter. Janus Henderson Group PLC now owns 1,591,348 shares of the company’s stock valued at $228,979,000 after buying an additional 1,422,391 shares in the last quarter. Bank of America Corp DE grew its position in shares of Credo Technology Group by 161.5% in the 3rd quarter. Bank of America Corp DE now owns 2,278,073 shares of the company’s stock worth $331,710,000 after buying an additional 1,406,752 shares during the last quarter. Finally, Alliancebernstein L.P. raised its stake in shares of Credo Technology Group by 66.0% during the 2nd quarter. Alliancebernstein L.P. now owns 3,064,891 shares of the company’s stock worth $283,778,000 after acquiring an additional 1,218,504 shares in the last quarter. Institutional investors own 80.46% 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.