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

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s share price gapped up before the market opened on Thursday . The stock had previously closed at $226.49, but opened at $239.15. Credo Technology Group shares last traded at $236.8320, with a volume of 946,525 shares changing hands.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the stock. Bank of America lifted their price objective on shares of Credo Technology Group from $252.00 to $340.00 and gave the company a “buy” rating in a research note on Tuesday, June 23rd. Barclays increased their target price on shares of Credo Technology Group from $260.00 to $300.00 and gave the stock an “overweight” rating in a research report on Monday, July 20th. Evercore assumed coverage on Credo Technology Group in a report on Monday, June 22nd. They set an “outperform” rating and a $325.00 target price on the stock. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $215.00 price target on shares of Credo Technology Group in a research report on Monday. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $250.00 price target on shares of Credo Technology Group in a research note on Tuesday, June 2nd. One analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $268.39.

Credo Technology Group Trading Up 5.0%

The stock has a market cap of $44.34 billion, a P/E ratio of 95.84, a P/E/G ratio of 1.04 and a beta of 3.23. The firm’s fifty day moving average is $240.05 and its 200 day moving average is $185.65.

Credo Technology Group (NASDAQ:CRDO) last released its earnings results on Monday, June 1st. The company reported $1.16 earnings per share 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 firm had revenue of $437.00 million during the quarter, compared to analyst estimates of $431.80 million. During the same quarter in the previous year, the business earned $0.20 EPS. The business’s revenue was up 157.0% on a year-over-year basis. Research 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, COO Yat Tung Lam sold 55,441 shares of the business’s stock in a transaction dated Friday, July 31st. The stock was sold at an average price of $213.02, for a total transaction of $11,810,041.82. Following the completion of the transaction, the chief operating officer owned 2,529,169 shares of the company’s stock, valued at approximately $538,763,580.38. The trade was a 2.15% decrease in their position. The transaction was disclosed in a document filed 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, CEO William Joseph Brennan sold 54,984 shares of the stock in a transaction that occurred on Friday, June 5th. The shares were sold at an average price of $218.57, for a total value of $12,017,852.88. Following the sale, the chief executive officer owned 367,327 shares of the company’s stock, valued at approximately $80,286,662.39. The trade was a 13.02% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 435,076 shares of company stock worth $101,043,506 over the last quarter. 11.84% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Credo Technology Group

Several hedge funds have recently modified their holdings of the business. Reflection Asset Management acquired a new stake in shares of Credo Technology Group in the fourth quarter worth $25,000. Acumen Wealth Advisors LLC acquired a new position in Credo Technology Group during the 4th quarter valued at $25,000. Orion Capital Management LLC acquired a new position in Credo Technology Group during the 2nd quarter valued at $27,000. AlphaCentric Advisors LLC bought a new stake in Credo Technology Group in the 1st quarter valued at $33,000. Finally, Van ECK Associates Corp bought a new stake in Credo Technology Group in the 4th quarter valued at $37,000. 80.46% of the stock is owned by institutional investors.

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.