Credo Technology Group (NASDAQ:CRDO) Hits New 12-Month High Following Strong Earnings

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) shares hit a new 52-week high during mid-day trading on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $213.80 and last traded at $205.9930, with a volume of 5270940 shares. The stock had previously closed at $171.13.

The company reported $0.67 earnings per share for the quarter, topping analysts’ consensus estimates of $0.49 by $0.18. Credo Technology Group had a return on equity of 30.68% and a net margin of 26.63%.The company had revenue of $268.03 million during the quarter, compared to analysts’ expectations of $234.99 million. During the same quarter in the prior year, the firm posted $0.07 EPS. Credo Technology Group’s quarterly revenue was up 272.1% compared to the same quarter last year.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the stock. Susquehanna boosted their price target on shares of Credo Technology Group from $165.00 to $175.00 and gave the stock a “positive” rating in a report on Wednesday, October 22nd. Stifel Nicolaus set a $160.00 target price on shares of Credo Technology Group in a research report on Wednesday, October 1st. Weiss Ratings reissued a “hold (c)” rating on shares of Credo Technology Group in a research note on Wednesday, October 8th. KGI Securities raised shares of Credo Technology Group to an “outperform” rating and set a $230.00 price target on the stock in a research note on Tuesday. Finally, Bank of America boosted their price objective on Credo Technology Group from $165.00 to $240.00 and gave the stock a “buy” rating in a research note on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $206.85.

Insiders Place Their Bets

In related news, CEO William Joseph Brennan sold 18,016 shares of the stock in a transaction that occurred on Thursday, October 30th. The stock was sold at an average price of $171.23, for a total value of $3,084,879.68. Following the completion of the sale, the chief executive officer owned 319,907 shares of the company’s stock, valued at approximately $54,777,675.61. This trade represents a 5.33% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, COO Yat Tung Lam sold 80,000 shares of Credo Technology Group stock in a transaction that occurred on Wednesday, October 29th. The stock was sold at an average price of $169.27, for a total value of $13,541,600.00. Following the transaction, the chief operating officer owned 770,000 shares in the company, valued at approximately $130,337,900. The trade was a 9.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 973,161 shares of company stock valued at $149,011,579. Insiders own 11.84% of the company’s stock.

Institutional Investors Weigh In On Credo Technology Group

A number of hedge funds have recently modified their holdings of the company. Operose Advisors LLC raised its stake in Credo Technology Group by 69.2% during the first quarter. Operose Advisors LLC now owns 616 shares of the company’s stock worth $25,000 after purchasing an additional 252 shares during the period. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of Credo Technology Group during the 1st quarter valued at approximately $25,000. Atlantic Union Bankshares Corp purchased a new stake in shares of Credo Technology Group during the 3rd quarter valued at approximately $25,000. First Horizon Corp acquired a new position in Credo Technology Group in the third quarter valued at approximately $26,000. Finally, Pinpoint Asset Management Singapore Pte. Ltd. purchased a new position in Credo Technology Group in the second quarter worth approximately $27,000. Hedge funds and other institutional investors own 80.46% of the company’s stock.

Credo Technology Group Price Performance

The company has a market cap of $32.73 billion, a price-to-earnings ratio of 165.96 and a beta of 2.63. The firm has a 50 day simple moving average of $153.83 and a 200-day simple moving average of $122.11.

Credo Technology Group Company Profile

Credo Technology Group Holding Ltd provides various high-speed connectivity Credo Technology Group Holding Ltd provides various high-speed connectivity solutions for optical and electrical Ethernet applications in the United States, Taiwan, Mainland China, Hong Kong, and internationally. Its products include HiWire active electrical cables, optical digital signal processors, low-power line card PHY, serializer/deserializer (SerDes) chiplets, and SerDes IP, as well as integrated circuits, active electrical cables.