Credo Technology Group (NASDAQ:CRDO) Stock Price Down 10.1% – Here’s What Happened

Shares of Credo Technology Group Holding Ltd. (NASDAQ:CRDO) dropped 10.1% on Tuesday . The company traded as low as $265.53 and last traded at $272.01. Approximately 10,321,867 shares were traded during trading, an increase of 36% from the average session volume of 7,571,133 shares. The stock had previously closed at $302.52.

More Credo Technology Group News

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

• Positive Sentiment: Stifel raised its price target on Credo Technology Group to $350 from $250 and kept a Buy rating, signaling confidence in continued growth. Why Is Credo Technology Stock Soaring Monday?
• Positive Sentiment: Bank of America lifted its price target to $340 from $252 and reiterated a Buy rating, implying substantial upside from recent trading levels. Bank of America raises CRDO target
• Positive Sentiment: Evercore upgraded Credo to Strong Buy with a $325 target, citing expanding opportunities in AI networking infrastructure and a broader move beyond copper-based connections. Evercore upgrades CRDO
• Positive Sentiment: Credo was also added to Zacks’ Rank #1 (Strong Buy) growth list, reinforcing the market’s bullish growth outlook for the name. Best Growth Stocks to Buy for June 23rd
• Positive Sentiment: Recent coverage highlighted strong demand in AI data-center interconnects, including active electrical cables and optical products, which investors are viewing as a major long-term growth driver. Credo Technology Earns New Analyst Upgrade

Wall Street Analyst Weigh In

Several analysts recently issued reports on CRDO shares. Rosenblatt Securities upped their price target 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. Roth Mkm raised their price objective on shares of Credo Technology Group from $200.00 to $300.00 and gave the stock a “buy” rating in a report on Tuesday, June 2nd. Bank of America boosted their target price on shares of Credo Technology Group from $252.00 to $340.00 and gave the stock a “buy” rating in a research report on Tuesday. Craig Hallum reaffirmed a “buy” rating and set a $200.00 price target on shares of Credo Technology Group in a research report on Tuesday, March 3rd. Finally, Rothschild & Co Redburn assumed 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 target on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Buy” and an average target price of $263.11.

Credo Technology Group Stock Down 10.1%

The stock has a market cap of $50.72 billion, a P/E ratio of 109.68, a price-to-earnings-growth ratio of 1.43 and a beta of 3.22. The firm’s 50 day simple moving average is $203.74 and its two-hundred day simple moving average is $154.84.

Credo Technology Group (NASDAQ:CRDO) last posted its quarterly 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. Credo Technology Group had a net margin of 35.37% and a return on equity of 32.30%. The company had revenue of $437.00 million for the quarter, compared to the consensus estimate of $431.80 million. During the same period last year, the firm posted $0.20 EPS. The company’s revenue for the quarter was up 157.0% on a year-over-year basis. As a group, equities analysts predict that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current year.

Insider Activity

In other Credo Technology Group news, CEO William Joseph Brennan sold 54,984 shares of the stock in a transaction on Friday, June 5th. The stock was sold at an average price of $218.57, for a total value of $12,017,852.88. Following the sale, the chief executive officer directly owned 367,327 shares of the company’s stock, valued at $80,286,662.39. This trade represents a 13.02% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CTO Chi Fung Cheng sold 27,500 shares of the firm’s stock in a transaction on Friday, April 10th. The shares were sold at an average price of $118.25, for a total value of $3,251,875.00. Following the completion of the sale, the chief technology officer owned 6,134,870 shares in the company, valued at $725,448,377.50. The trade was a 0.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 389,384 shares of company stock valued at $70,041,518. 11.84% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Credo Technology Group

Hedge funds and other institutional investors have recently made changes to their positions in the business. Corient Private Wealth LLC grew its stake in shares of Credo Technology Group by 239,024.5% in the fourth quarter. Corient Private Wealth LLC now owns 3,598,823 shares of the company’s stock worth $517,835,000 after purchasing an additional 3,597,318 shares in the last quarter. Amundi lifted its holdings in Credo Technology Group by 28,478.2% in the fourth quarter. Amundi now owns 1,559,796 shares of the company’s stock worth $224,439,000 after purchasing an additional 1,554,338 shares during the period. Janus Henderson Group PLC lifted its holdings in Credo Technology Group by 841.9% in the fourth quarter. Janus Henderson Group PLC now owns 1,591,348 shares of the company’s stock worth $228,979,000 after purchasing an additional 1,422,391 shares during the period. Bank of America Corp DE grew 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 buying an additional 1,406,752 shares in the last quarter. Finally, Rafferty Asset Management LLC acquired a new position in Credo Technology Group during the 3rd quarter valued at about $183,553,000. 80.46% of the stock is currently owned by institutional investors and hedge funds.

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.