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

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) gapped down before the market opened on Tuesday after Susquehanna lowered their price target on the stock from $230.00 to $170.00. The stock had previously closed at $114.22, but opened at $101.00. Susquehanna currently has a positive rating on the stock. Credo Technology Group shares last traded at $94.0860, with a volume of 5,275,507 shares traded.

Several other equities research analysts have also issued reports on CRDO. Weiss Ratings restated a “hold (c)” rating on shares of Credo Technology Group in a research note on Monday, December 29th. New Street Research set a $240.00 price objective on Credo Technology Group in a report on Tuesday, December 2nd. Mizuho lowered their target price on Credo Technology Group from $225.00 to $200.00 and set an “outperform” rating on the stock in a research note on Tuesday. TD Cowen reaffirmed a “buy” rating on shares of Credo Technology Group in a research report on Tuesday, December 2nd. Finally, KGI Securities raised Credo Technology Group from a “hold” rating to an “outperform” rating and set a $230.00 price objective for the company in a report on Tuesday, December 2nd. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $206.33.

Insider Buying and Selling at Credo Technology Group

In other Credo Technology Group news, CFO Daniel W. Fleming sold 3,902 shares of the firm’s stock in a transaction on Thursday, January 8th. The shares were sold at an average price of $140.15, for a total value of $546,865.30. Following the completion of the transaction, the chief financial officer directly owned 446,178 shares of the company’s stock, valued at $62,531,846.70. This trade represents a 0.87% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO William Joseph Brennan sold 18,016 shares of Credo Technology Group stock in a transaction on Thursday, January 29th. The shares were sold at an average price of $127.69, for a total value of $2,300,463.04. Following the sale, the chief executive officer directly owned 252,625 shares of the company’s stock, valued at $32,257,686.25. This represents a 6.66% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 917,976 shares of company stock worth $136,567,647 in the last three months. 11.84% of the stock is currently owned by corporate insiders.

Trending Headlines about Credo Technology Group

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

• Positive Sentiment: Strong beat: CRDO reported Q3 revenue of $407M (≈+201% YoY) and $1.07 EPS, materially above estimates — evidence of robust demand and execution. Credo quarterly earnings transcript
• Positive Sentiment: Guidance beat: management gave Q4 revenue guidance (~$425M–$435M) above Street consensus and projected >50% revenue growth for FY2027, supporting the multi-quarter growth narrative. BusinessWire: Q3 results press release
• Positive Sentiment: Product & partnerships: Credo is accelerating ZeroFlap optics ramp and expanding partnerships (TensorWave, CoMira), which lengthens the TAM for optical interconnects in AI datacenters. These are constructive for medium-term revenue growth. Zacks: Credo & TensorWave team-up
• Neutral Sentiment: Mixed analyst views: several firms reiterated buys but some lowered price targets — the consensus view still bullish on long-term upside but with nearer-term model adjustments. Benzinga: analysts revise forecasts
• Neutral Sentiment: Short-interest data currently shows no meaningful days-to-cover signal; not a clear driver of today’s volume spike.
• Negative Sentiment: Trade hangover / profit-taking: CRDO was caught in a sector-wide pullback after a recent surge — heavy selling pressure drove a double-digit drop as traders rotated out of high-flyers. 247WallSt: AI stocks diverge
• Negative Sentiment: Deceleration & margin concerns: despite beat and guidance, commentary and Q4 gross-margin guidance were viewed as conservative — analysts and investors fear AEC growth could slow into FY27, prompting re-rating. Seeking Alpha: Is AI Broken?
• Negative Sentiment: Macro risk-off: broader market volatility (geopolitical headlines, futures weakness) amplified selling in tech/AI names, increasing intraday volume and downside pressure on CRDO. Benzinga: futures plunge, market in focus

Institutional Investors Weigh In On Credo Technology Group

Institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. grew its stake 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 buying an additional 59,849 shares in the last quarter. JPMorgan Chase & Co. grew its position in Credo Technology Group by 18.3% in the third quarter. JPMorgan Chase & Co. now owns 7,699,456 shares of the company’s stock worth $1,121,118,000 after acquiring an additional 1,190,522 shares in the last quarter. State Street Corp increased its stake in Credo Technology Group by 23.4% in the fourth quarter. State Street Corp now owns 4,486,320 shares of the company’s stock valued at $645,537,000 after acquiring an additional 849,654 shares during the last quarter. Geode Capital Management LLC raised its position 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 in the last quarter. Finally, Corient Private Wealth LLC lifted its stake 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 last quarter. 80.46% of the stock is owned by hedge funds and other institutional investors.

Credo Technology Group Price Performance

The company has a 50 day simple moving average of $132.06 and a 200-day simple moving average of $143.44. The stock has a market cap of $17.58 billion, a P/E ratio of 54.06 and a beta of 2.67.

Credo Technology Group (NASDAQ:CRDO) last released its earnings results on Monday, March 2nd. The company reported $1.07 earnings per share for the quarter, topping analysts’ consensus estimates of $0.78 by $0.29. Credo Technology Group had a return on equity of 37.17% and a net margin of 31.81%.The company had revenue of $407.01 million during the quarter, compared to the consensus estimate of $385.94 million. During the same quarter in the previous year, the company posted $0.25 EPS. Credo Technology Group’s quarterly revenue was up 201.5% compared to the same quarter last year. As a group, research analysts expect that Credo Technology Group Holding Ltd. will post 0.13 earnings per share for the current year.

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.