Credo Technology Group (NASDAQ:CRDO) Shares Gap Down on Analyst Downgrade

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s share price gapped down before the market opened on Wednesday after Bank of America lowered their price target on the stock from $340.00 to $275.00. The stock had previously closed at $206.63, but opened at $188.64. Bank of America currently has a buy rating on the stock. Credo Technology Group shares last traded at $169.56, with a volume of 4,818,274 shares traded.

CRDO has been the topic of a number of other research reports. Wall Street Zen cut Credo Technology Group from a “buy” rating to a “hold” rating in a research note on Saturday, August 1st. Evercore started 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. Weiss Ratings reissued a “hold (c+)” rating on shares of Credo Technology Group in a research report on Friday, August 21st. Mizuho upped their price target on shares of Credo Technology Group from $260.00 to $290.00 and gave the company an “outperform” rating in a research report on Tuesday, June 2nd. Finally, Roth Capital boosted their target price on shares of Credo Technology Group from $200.00 to $300.00 and gave the company a “buy” rating in a research note on Tuesday, June 2nd. One research 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 stock. According to data from MarketBeat, Credo Technology Group has an average rating of “Moderate Buy” and a consensus target price of $265.89.

Insider Activity at Credo Technology Group

In other Credo Technology Group news, CTO Chi Fung Cheng sold 27,500 shares of Credo Technology Group stock in a transaction on Tuesday, July 7th. The shares were sold at an average price of $243.06, for a total transaction of $6,684,150.00. Following the completion of the sale, the chief technology officer owned 5,882,370 shares of the company’s stock, valued at $1,429,768,852.20. This trade represents a 0.47% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at 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 business’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $218.57, for a total transaction of $12,017,852.88. Following the transaction, the chief executive officer owned 367,327 shares in the company, valued at approximately $80,286,662.39. This represents a 13.02% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 435,076 shares of company stock worth $101,043,506 in the last 90 days. 9.06% of the stock is owned by corporate insiders.

Key Headlines Impacting Credo Technology Group

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

• Positive Sentiment: Credo reported fiscal Q1 2027 earnings of $1.20 per share, above the $1.17 consensus estimate, while revenue of $479 million exceeded expectations of $473.3 million. Revenue increased 114.7% year over year, supported by optical products and strong active electrical cable demand. Credo Q1 earnings and revenue beat estimates
• Positive Sentiment: Management guided fiscal Q2 revenue to $525 million-$535 million, ahead of the $513.8 million analyst consensus. The outlook reinforces expectations for continued AI infrastructure and hyperscale connectivity demand. Credo Q2 revenue guidance
• Positive Sentiment: Analysts remain constructive overall. Bank of America maintained a Buy rating with a $275 price target, while Rosenblatt raised its target to $235, although it retained a Neutral rating. Analyst forecasts following Q1 results

Institutional Investors Weigh In On Credo Technology Group

Several large investors have recently made changes to their positions in CRDO. City Center Advisors LLC raised its position in Credo Technology Group by 2.1% during the second quarter. City Center Advisors LLC now owns 2,595 shares of the company’s stock valued at $706,000 after acquiring an additional 53 shares in the last quarter. Versant Capital Management Inc grew its position in Credo Technology Group by 8.0% in the second quarter. Versant Capital Management Inc now owns 755 shares of the company’s stock worth $205,000 after acquiring an additional 56 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its position in Credo Technology Group by 16.2% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 552 shares of the company’s stock worth $80,000 after acquiring an additional 77 shares in the last quarter. QRG Capital Management Inc. increased its stake in shares of Credo Technology Group by 1.7% during the 1st quarter. QRG Capital Management Inc. now owns 5,402 shares of the company’s stock worth $507,000 after purchasing an additional 91 shares during the last quarter. Finally, Bank of Nova Scotia increased its stake in shares of Credo Technology Group by 1.6% during the 1st quarter. Bank of Nova Scotia now owns 6,026 shares of the company’s stock worth $566,000 after purchasing an additional 92 shares during the last quarter. Institutional investors own 80.46% of the company’s stock.

Credo Technology Group Trading Down 17.1%

The business’s fifty day moving average price is $235.81 and its two-hundred day moving average price is $188.53. The firm has a market cap of $32.20 billion, a P/E ratio of 68.84, a P/E/G ratio of 1.02 and a beta of 3.22.

Credo Technology Group (NASDAQ:CRDO) last announced its earnings results on Tuesday, September 1st. The company reported $1.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.17 by $0.03. Credo Technology Group had a return on equity of 32.30% and a net margin of 35.37%.The firm had revenue of $479.00 million during the quarter, compared to analysts’ expectations of $473.30 million. During the same quarter in the prior year, the business earned $0.52 earnings per share. The company’s revenue was up 114.7% on a year-over-year basis. Research analysts predict that Credo Technology Group Holding Ltd. will post 4.89 EPS for the current fiscal year.

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.