Credo Technology Group (NASDAQ:CRDO) Trading Down 5.2% After Insider Selling

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s share price was down 5.2% on Tuesday following insider selling activity. The stock traded as low as $129.51 and last traded at $132.95. Approximately 7,325,332 shares changed hands during mid-day trading, an increase of 4% from the average daily volume of 7,055,267 shares. The stock had previously closed at $140.24.

Specifically, CTO Chi Fung Cheng sold 30,000 shares of the company’s stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $143.61, for a total transaction of $4,308,300.00. Following the completion of the transaction, the chief technology officer owned 6,418,961 shares of the company’s stock, valued at approximately $921,826,989.21. This represents a 0.47% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Analyst Ratings Changes

Several brokerages have recently issued reports on CRDO. TD Cowen boosted their price objective on shares of Credo Technology Group from $190.00 to $240.00 and gave the company a “buy” rating in a research note on Tuesday, December 2nd. William Blair initiated coverage on Credo Technology Group in a research note on Thursday, September 18th. They set an “outperform” rating for the company. New Street Research set a $240.00 price objective on Credo Technology Group in a research note on Tuesday, December 2nd. Bank of America increased their target price on shares of Credo Technology Group from $165.00 to $240.00 and gave the stock a “buy” rating in a research report on Tuesday, December 2nd. Finally, Needham & Company LLC raised their price target on shares of Credo Technology Group from $190.00 to $220.00 and gave the company a “buy” rating in a report on Tuesday, December 2nd. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Buy” and a consensus target price of $206.85.

Key Headlines Impacting Credo Technology Group

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

• Positive Sentiment: Credo reported a substantial earnings and revenue beat (Q revenue +272% YoY; EPS well ahead of estimates), which underpins investor confidence in growth and margins. MarketBeat Coverage
• Positive Sentiment: Analysts and bullish write-ups highlight Credo’s opportunity from AI/data‑center demand and expanded addressable market — several firms raised targets and reiterated buy/overweight ratings, supporting upside expectations. Yahoo Article
• Positive Sentiment: Credo holds a large cash balance (~$813.6M) that management can deploy for R&D, M&A or to scale its AI-focused platform — a balance-sheet strength cited as a competitive advantage. Zacks Article
• Positive Sentiment: Unusually large options activity — a ~38% rise in call volume (28,094 calls) — suggests short‑term bullish positioning by traders, which can amplify upside moves.
• Neutral Sentiment: Management will present at the Needham Growth Conference (Jan 14), offering an opportunity for further investor updates and Q&A that could drive short‑term attention but not immediate fundamentals. BusinessWire
• Neutral Sentiment: Institutional ownership is high (~80%); that can support price stability but also limits new institutional buying catalysts absent fresh fundamental news. MarketBeat
• Negative Sentiment: Insider selling: CTO Chi Fung Cheng sold 30,000 shares (part of a series of recent dispositions). Repeated insider sales can be interpreted as a near‑term bearish signal by some investors. SEC Filing
• Negative Sentiment: Valuation and volatility risks: CRDO trades with a high P/E (~116x) and elevated beta (~2.66), so upside is coupled with higher drawdown risk if growth expectations slip.

Credo Technology Group Stock Up 6.1%

The firm has a market cap of $25.47 billion, a price-to-earnings ratio of 123.69 and a beta of 2.66. The company has a 50 day moving average of $155.53 and a 200 day moving average of $136.06.

Credo Technology Group (NASDAQ:CRDO) last posted its quarterly earnings data on Monday, December 1st. The company reported $0.67 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.49 by $0.18. The company had revenue of $268.03 million for the quarter, compared to the consensus estimate of $234.99 million. Credo Technology Group had a return on equity of 25.28% and a net margin of 26.63%.Credo Technology Group’s revenue for the quarter was up 272.1% compared to the same quarter last year. During the same period in the previous year, the business earned $0.07 EPS. As a group, equities research analysts expect that Credo Technology Group Holding Ltd. will post 0.13 earnings per share for the current fiscal year.

Institutional Trading of Credo Technology Group

Institutional investors have recently added to or reduced their stakes in the stock. AQR Capital Management LLC grew its holdings in Credo Technology Group by 50.2% during the 1st quarter. AQR Capital Management LLC now owns 195,193 shares of the company’s stock worth $7,839,000 after acquiring an additional 65,236 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Credo Technology Group by 5.9% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 84,461 shares of the company’s stock worth $3,392,000 after purchasing an additional 4,735 shares in the last quarter. NewEdge Advisors LLC increased its holdings in Credo Technology Group by 128.4% in the first quarter. NewEdge Advisors LLC now owns 7,066 shares of the company’s stock valued at $284,000 after buying an additional 3,972 shares during the last quarter. Goldman Sachs Group Inc. raised its stake in Credo Technology Group by 63.0% during the first quarter. Goldman Sachs Group Inc. now owns 1,524,788 shares of the company’s stock valued at $61,235,000 after buying an additional 589,151 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Credo Technology Group by 2.3% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 310,763 shares of the company’s stock worth $12,480,000 after buying an additional 7,107 shares during the last quarter. 80.46% of the stock is owned by institutional investors and hedge funds.

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.