Credo Technology Group (NASDAQ:CRDO) Shares Down 1.4% – Here’s What Happened

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) fell 1.4% on Wednesday . The stock traded as low as $259.72 and last traded at $268.2260. Approximately 6,505,885 shares were traded during mid-day trading, a decline of 14% from the average session volume of 7,577,122 shares. The stock had previously closed at $272.01.

Trending Headlines about Credo Technology Group

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

• Positive Sentiment: Evercore ISI initiated coverage on Credo Technology with an Outperform rating and a $325 price target, saying the company could benefit from expanding demand for optical AI connectivity. Credo Technology (CRDO) Starts With Outperform Rating as Optical AI Connectivity Opportunity Expands
• Positive Sentiment: Bank of America raised its price target on CRDO to $340 from $252 and reiterated a Buy rating, while Roth MKM also maintained a Buy stance. Benzinga report on Bank of America price target increase
• Positive Sentiment: Credo was also highlighted on Zacks’ Strong Buy growth list, reinforcing the view that earnings momentum and AI exposure remain attractive to growth investors. Best Growth Stocks to Buy for June 23rd
• Positive Sentiment: Brown Capital Management said it owns CRDO because of its multiple durable growth drivers, suggesting institutional confidence in the company’s long-term AI connectivity opportunity. The Brown Capital Management Small Company Fund Picked Credo Technology (CRDO) Amid Multiple Durable Growth Drivers
• Neutral Sentiment: Some market commentary continues to frame Credo as a strong AI infrastructure winner, which helps explain why the stock has been trading near record levels. Credo Technologies Accelerates AI—Its Stock Price Will Follow
• Negative Sentiment: A separate article flagged replacement risk concerns, implying some investors worry Credo’s products could face competitive displacement over time. Credo Technology (CRDO) Slid Amid Replacement Risk Concerns
• Negative Sentiment: One Seeking Alpha piece took the opposite view and issued a sell downgrade, adding a note of caution to the otherwise bullish analyst backdrop. Credo Is Not Micron; Sell (Rating Downgrade)

Analyst Upgrades and Downgrades

A number of research analysts recently commented on CRDO shares. Roth Mkm raised their price target on Credo Technology Group from $200.00 to $300.00 and gave the stock a “buy” rating in a research report on Tuesday, June 2nd. Craig Hallum reaffirmed a “buy” rating and set a $200.00 price objective on shares of Credo Technology Group in a research report on Tuesday, March 3rd. JPMorgan Chase & Co. increased their price objective on shares of Credo Technology Group from $230.00 to $250.00 and gave the stock an “overweight” rating in a research note on Tuesday, June 2nd. Rosenblatt Securities raised their target price on shares of Credo Technology Group from $175.00 to $215.00 and gave the company a “neutral” rating in a report on Tuesday, June 2nd. Finally, Bank of America boosted their target price on shares of Credo Technology Group from $252.00 to $340.00 and gave the company a “buy” rating in a research report on Tuesday. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Buy” and an average target price of $263.11.

Credo Technology Group Stock Performance

The company has a market capitalization of $50.02 billion, a P/E ratio of 108.16, a price-to-earnings-growth ratio of 1.59 and a beta of 3.22. The firm’s fifty day moving average is $206.78 and its 200-day moving average is $155.42.

Credo Technology Group (NASDAQ:CRDO) last issued its quarterly earnings data on Monday, June 1st. The company reported $1.16 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 during the quarter, compared to the consensus estimate of $431.80 million. During the same quarter in the prior year, the firm earned $0.20 EPS. The firm’s revenue was up 157.0% compared to the same quarter last year. As a group, analysts expect that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current fiscal year.

Insider Transactions at Credo Technology Group

In other news, CTO Chi Fung Cheng sold 27,500 shares of the 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 position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daniel W. Fleming sold 40,000 shares of the firm’s stock in a transaction 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 directly owned 501,873 shares in the company, valued at approximately $125,207,276.04. This trade represents a 7.38% decrease in their position. The SEC filing for this sale provides additional information. 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 ninety days, insiders sold 389,384 shares of company stock worth $70,041,518. Corporate insiders own 11.84% of the company’s stock.

Institutional Trading of Credo Technology Group

Hedge funds and other institutional investors have recently made changes to their positions in the company. Corient Private Wealth LLC raised its holdings in Credo Technology Group by 239,024.5% in 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 last quarter. Amundi grew its holdings in Credo Technology Group by 28,478.2% during the 4th quarter. Amundi now owns 1,559,796 shares of the company’s stock worth $224,439,000 after acquiring an additional 1,554,338 shares during the last quarter. Janus Henderson Group PLC increased its position in 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 acquiring an additional 1,422,391 shares during the period. Bank of America Corp DE increased its position in 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 valued at $331,710,000 after acquiring an additional 1,406,752 shares during the period. Finally, Rafferty Asset Management LLC bought a new position in shares of Credo Technology Group during the third quarter valued at $183,553,000. 80.46% of the stock is currently owned by institutional investors.

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.