Credo Technology Group (NASDAQ:CRDO) Shares Gap Down – Here’s What Happened

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s stock price gapped down prior to trading on Friday . The stock had previously closed at $207.97, but opened at $193.53. Credo Technology Group shares last traded at $196.7420, with a volume of 1,935,122 shares traded.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on CRDO. Weiss Ratings raised Credo Technology Group from a “hold (c)” rating to a “hold (c+)” rating in a research note on Tuesday, May 26th. Needham & Company LLC boosted their target price on shares of Credo Technology Group from $220.00 to $275.00 and gave the company a “buy” rating in a report on Monday, June 1st. Jefferies Financial Group upped their target price on shares of Credo Technology Group from $225.00 to $270.00 and gave the stock a “buy” rating in a research report on Tuesday, June 2nd. Stifel Nicolaus increased their price target on shares of Credo Technology Group from $250.00 to $350.00 and gave the stock a “buy” rating in a research note on Monday, June 22nd. Finally, JPMorgan Chase & Co. increased their price target on shares of Credo Technology Group from $230.00 to $250.00 and gave the stock an “overweight” rating in a research note on Tuesday, June 2nd. Two research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus target price of $263.11.

Credo Technology Group Stock Performance

The company has a market cap of $37.21 billion, a P/E ratio of 80.08, a price-to-earnings-growth ratio of 1.04 and a beta of 3.20. The stock has a 50-day moving average of $231.82 and a two-hundred day moving average of $166.88.

Credo Technology Group (NASDAQ:CRDO) last announced its quarterly earnings data on Monday, June 1st. The company reported $1.16 earnings per share (EPS) 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 business had revenue of $437.00 million during the quarter, compared to analysts’ expectations of $431.80 million. During the same quarter in the previous year, the business earned $0.20 earnings per share. The firm’s quarterly revenue was up 157.0% compared to the same quarter last year. Research analysts predict that Credo Technology Group Holding Ltd. will post 4.84 EPS for the current year.

Insider Transactions at Credo Technology Group

In other news, CTO Chi Fung Cheng sold 27,500 shares of Credo Technology Group stock in a transaction dated Tuesday, June 30th. The stock was sold at an average price of $269.84, for a total value of $7,420,600.00. Following the completion of the transaction, the chief technology officer owned 5,909,870 shares of the company’s stock, valued at $1,594,719,320.80. The trade was a 0.46% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through 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 company’s stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $249.48, for a total transaction of $9,979,200.00. Following the completion of the transaction, the chief financial officer owned 501,873 shares in the company, valued at approximately $125,207,276.04. The trade was a 7.38% decrease in their position. The disclosure for this sale is available in the SEC filing. 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 a total of 329,662 shares of company stock valued at $76,068,196 in the last quarter. 11.84% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of CRDO. Crewe Advisors LLC grew its holdings in shares of Credo Technology Group by 163.1% during the fourth quarter. Crewe Advisors LLC now owns 171 shares of the company’s stock valued at $25,000 after buying an additional 106 shares during the last quarter. Reflection Asset Management bought a new stake in shares of Credo Technology Group during the fourth quarter valued at approximately $25,000. Acumen Wealth Advisors LLC purchased a new position in Credo Technology Group in the 4th quarter worth approximately $25,000. Flagship Harbor Advisors LLC bought a new position in Credo Technology Group in the 4th quarter valued at approximately $32,000. Finally, AlphaCentric Advisors LLC bought a new position in Credo Technology Group in the 1st quarter valued at approximately $33,000. 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.