Credo Technology Group (NASDAQ:CRDO) Trading Down 4.7% – Here’s Why

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) shares were down 4.7% during trading on Wednesday . The company traded as low as $253.52 and last traded at $259.09. Approximately 7,914,183 shares traded hands during mid-day trading, an increase of 1% from the average daily volume of 7,861,588 shares. The stock had previously closed at $271.95.

Analyst Ratings Changes

CRDO has been the subject of a number of recent research reports. Needham & Company LLC boosted their price objective on Credo Technology Group from $220.00 to $275.00 and gave the company a “buy” rating in a research note on Monday, June 1st. Evercore initiated coverage on Credo Technology Group in a research report on Monday, June 22nd. They issued an “outperform” rating and a $325.00 price objective on the stock. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $250.00 price objective on shares of Credo Technology Group in a research note on Tuesday, June 2nd. Weiss Ratings upgraded Credo Technology Group from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, May 26th. Finally, Susquehanna boosted their price target on Credo Technology Group from $200.00 to $235.00 and gave the stock a “positive” rating in a report on Tuesday, June 2nd. Two research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and an average price target of $263.11.

Credo Technology Group Stock Performance

The company has a market capitalization of $48.32 billion, a P/E ratio of 104.47, a P/E/G ratio of 1.12 and a beta of 3.22. The business’s fifty day simple moving average is $217.01 and its 200-day simple moving average is $158.44.

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

Insider Buying and Selling at Credo Technology Group

In other news, CTO Chi Fung Cheng sold 27,500 shares of the company’s stock in a transaction that occurred on Friday, April 10th. The stock was sold at an average price of $118.25, for a total transaction of $3,251,875.00. Following the sale, the chief technology officer directly owned 6,134,870 shares of the company’s stock, valued at $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 available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Daniel W. Fleming sold 40,000 shares of the stock in a transaction that occurred 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 transaction, the chief financial officer owned 501,873 shares of the company’s stock, valued at $125,207,276.04. This represents a 7.38% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 389,384 shares of company stock worth $74,982,168 in the last quarter. 11.84% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Credo Technology Group

Institutional investors and hedge funds have recently made changes to their positions in the business. Northwestern Mutual Wealth Management Co. increased its holdings in shares of Credo Technology Group by 16.2% in the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 552 shares of the company’s stock worth $80,000 after buying an additional 77 shares during the last quarter. QRG Capital Management Inc. lifted its holdings in shares of Credo Technology Group by 1.7% in the 1st quarter. QRG Capital Management Inc. now owns 5,402 shares of the company’s stock valued at $507,000 after acquiring an additional 91 shares during the last quarter. Bank of Nova Scotia grew its position in Credo Technology Group by 1.6% in the first quarter. Bank of Nova Scotia now owns 6,026 shares of the company’s stock worth $566,000 after acquiring an additional 92 shares in the last quarter. Mark Sheptoff Financial Planning LLC grew its position in Credo Technology Group by 2.0% in the fourth quarter. Mark Sheptoff Financial Planning LLC now owns 5,150 shares of the company’s stock worth $741,000 after acquiring an additional 100 shares in the last quarter. Finally, Spirepoint Private Client LLC increased its stake in Credo Technology Group by 6.6% during the fourth quarter. Spirepoint Private Client LLC now owns 1,688 shares of the company’s stock worth $243,000 after acquiring an additional 105 shares during the last quarter. 80.46% of the stock is owned by hedge funds and other 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.