Credo Technology Group (NASDAQ:CRDO) Trading Down 2.8% – Should You Sell?

Credo Technology Group Holding Ltd. (NASDAQ:CRDO)’s share price traded down 2.8% during mid-day trading on Wednesday . The stock traded as low as $148.58 and last traded at $156.84. 4,895,211 shares changed hands during trading, a decline of 25% from the average session volume of 6,487,641 shares. The stock had previously closed at $161.38.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. Stifel Nicolaus set a $160.00 target price on Credo Technology Group in a research note on Wednesday, October 1st. Mizuho lifted their price objective on Credo Technology Group from $165.00 to $225.00 and gave the stock an “outperform” rating in a report on Tuesday, December 2nd. Cowen reiterated a “buy” rating on shares of Credo Technology Group in a research note on Tuesday, December 2nd. Roth Capital lifted their price target on shares of Credo Technology Group from $170.00 to $250.00 and gave the stock a “buy” rating in a research note on Tuesday, December 2nd. Finally, JPMorgan Chase & Co. started coverage on shares of Credo Technology Group in a research note on Friday, October 17th. They set an “overweight” rating and a $165.00 price objective on the stock. Two research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Credo Technology Group has a consensus rating of “Buy” and an average price target of $220.42.

Credo Technology Group Price Performance

The company has a fifty day moving average price of $152.88 and a 200 day moving average price of $138.70. The company has a market capitalization of $27.27 billion, a P/E ratio of 132.43 and a beta of 2.66.

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

Insiders Place Their Bets

In other Credo Technology Group news, COO Yat Tung Lam sold 370,000 shares of the firm’s stock in a transaction that occurred on Thursday, December 11th. The shares were sold at an average price of $153.19, for a total value of $56,680,300.00. Following the sale, the chief operating officer owned 400,000 shares in the company, valued at approximately $61,276,000. This trade represents a 48.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CTO Chi Fung Cheng sold 55,000 shares of the firm’s stock in a transaction that occurred on Monday, October 27th. The shares were sold at an average price of $156.32, for a total value of $8,597,600.00. Following the completion of the sale, the chief technology officer owned 6,668,961 shares in the company, valued at approximately $1,042,491,983.52. This represents a 0.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 1,090,476 shares of company stock worth $167,418,363. Insiders own 11.84% of the company’s stock.

Institutional Trading of Credo Technology Group

A number of hedge funds and other institutional investors have recently made changes to their positions in CRDO. Crewe Advisors LLC increased its stake 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 acquiring an additional 106 shares during the period. Atlantic Union Bankshares Corp bought a new stake in shares of Credo Technology Group in the 3rd quarter worth $25,000. First Horizon Corp bought a new stake in shares of Credo Technology Group in the 3rd quarter worth $26,000. Smartleaf Asset Management LLC boosted its stake in Credo Technology Group by 133.6% during the third quarter. Smartleaf Asset Management LLC now owns 257 shares of the company’s stock valued at $38,000 after buying an additional 147 shares in the last quarter. Finally, Park Place Capital Corp bought a new position in Credo Technology Group during the third quarter valued at about $41,000. 80.46% of the stock is currently owned by 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.