Credo Technology Group (NASDAQ:CRDO) Trading Down 9.9% – Here’s Why

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) shares dropped 9.9% during mid-day trading on Friday . The company traded as low as $209.55 and last traded at $213.15. Approximately 5,893,708 shares traded hands during trading, a decline of 23% from the average daily volume of 7,655,609 shares. The stock had previously closed at $236.50.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the stock. Rothschild & Co Redburn initiated coverage on shares of Credo Technology Group in a report on Friday, May 1st. They issued a “buy” rating and a $206.00 target price for the company. Needham & Company LLC boosted their price target on shares of Credo Technology Group from $220.00 to $275.00 and gave the stock a “buy” rating in a report on Monday, June 1st. Stifel Nicolaus upped their price objective on shares of Credo Technology Group from $250.00 to $350.00 and gave the stock a “buy” rating in a research report on Monday, June 22nd. The Goldman Sachs Group reiterated a “buy” rating and issued a $250.00 price objective on shares of Credo Technology Group in a research note on Tuesday, June 2nd. Finally, Susquehanna boosted their target price on Credo Technology Group from $235.00 to $250.00 and gave the stock a “positive” rating in a research note on Tuesday. Two research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, Credo Technology Group currently has a consensus rating of “Buy” and a consensus price target of $266.17.

Credo Technology Group Price Performance

The business’s fifty day moving average is $234.46 and its 200-day moving average is $169.58. The firm has a market cap of $39.75 billion, a PE ratio of 85.95, a P/E/G ratio of 1.04 and a beta of 3.20.

Credo Technology Group (NASDAQ:CRDO) last announced its quarterly earnings data on Monday, June 1st. The company reported $1.16 EPS for the quarter, topping the consensus estimate of $1.02 by $0.14. The business had revenue of $437.00 million for the quarter, compared to analyst estimates of $431.80 million. Credo Technology Group had a net margin of 35.37% and a return on equity of 32.30%. The company’s revenue for the quarter was up 157.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.20 earnings per share. Analysts forecast that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current year.

Insider Activity at Credo Technology Group

In other Credo Technology Group news, Director Sylvia Acevedo sold 2,208 shares of the stock in a transaction on Friday, June 5th. The stock was sold at an average price of $211.00, for a total transaction of $465,888.00. Following the completion of the transaction, the director directly owned 16,337 shares of the company’s stock, valued at approximately $3,447,107. This represents a 11.91% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Daniel W. Fleming sold 7,580 shares of the firm’s stock in a transaction on Wednesday, July 8th. The stock was sold at an average price of $245.88, for a total value 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 $124,097,603.04. This represents a 1.48% 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 quarter, insiders sold 302,162 shares of company stock worth $70,897,646. Company insiders own 11.84% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. increased its holdings in Credo Technology Group by 0.4% in the 4th quarter. Vanguard Group Inc. now owns 16,585,229 shares of the company’s stock worth $2,386,449,000 after acquiring an additional 59,849 shares during the last quarter. State Street Corp lifted its holdings in Credo Technology Group by 23.4% during the fourth quarter. State Street Corp now owns 4,486,320 shares of the company’s stock valued at $645,537,000 after purchasing an additional 849,654 shares during the last quarter. Geode Capital Management LLC lifted its holdings in Credo Technology Group by 5.0% during the fourth quarter. Geode Capital Management LLC now owns 3,862,041 shares of the company’s stock valued at $555,117,000 after purchasing an additional 184,676 shares during the last quarter. 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 worth $517,835,000 after purchasing an additional 3,597,318 shares during the period. Finally, Alliancebernstein L.P. boosted its position in Credo Technology Group by 66.0% during the second quarter. Alliancebernstein L.P. now owns 3,064,891 shares of the company’s stock worth $283,778,000 after purchasing an additional 1,218,504 shares during the period. 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.