Credo Technology Group (NASDAQ:CRDO) Stock Price Down 8.7% on Insider Selling

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) dropped 8.7% during trading on Friday after an insider sold shares in the company. The stock traded as low as $144.44 and last traded at $150.99. 12,388,149 shares were traded during mid-day trading, an increase of 62% from the average daily volume of 7,628,844 shares. The stock had previously closed at $165.29.

Specifically, CTO Chi Cheng sold 27,500 shares of the company’s stock in a transaction that occurred on Tuesday, October 27th. The stock was sold at an average price of $164.12, for a total transaction of $4,513,300.00. Following the transaction, the chief technology officer directly owned 5,552,397 shares of the company’s stock, valued at $911,259,395.64. This represents a 0.49% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

Several analysts recently issued reports on CRDO shares. Rosenblatt Securities reissued a “neutral” rating and issued a $235.00 price target on shares of Credo Technology Group in a research report on Thursday, October 15th. TD Cowen raised their price objective on shares of Credo Technology Group from $260.00 to $300.00 and gave the company a “buy” rating in a research note on Tuesday, August 18th. Stifel Nicolaus dropped their price objective on shares of Credo Technology Group from $350.00 to $310.00 and set a “buy” rating on the stock in a research note on Monday, October 5th. JPMorgan Chase & Co. reduced their price objective on shares of Credo Technology Group from $335.00 to $310.00 and set an “overweight” rating for the company in a report on Wednesday, September 2nd. Finally, Wall Street Zen downgraded shares of Credo Technology Group from a “buy” rating to a “hold” rating in a research report on Saturday, August 1st. One analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $262.67.

Credo Technology Group Stock Performance

The company’s 50 day moving average price is $190.00 and its 200-day moving average price is $180.87. The stock has a market cap of $28.38 billion, a P/E ratio of 53.73, a price-to-earnings-growth ratio of 0.69 and a beta of 3.25.

Credo Technology Group (NASDAQ:CRDO) last announced its earnings results on Tuesday, September 1st. The company reported $1.20 earnings per share for the quarter, topping analysts’ consensus estimates of $1.17 by $0.03. Credo Technology Group had a return on equity of 28.77% and a net margin of 33.83%. The firm had revenue of $479.00 million for the quarter, compared to the consensus estimate of $473.30 million. During the same quarter in the previous year, the business earned $0.52 EPS. The company’s revenue was up 114.7% compared to the same quarter last year. On average, analysts forecast that Credo Technology Group Holding Ltd. will post 5.02 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Credo Technology Group

Several institutional investors have recently bought and sold shares of CRDO. Orion Capital Management LLC purchased a new position in shares of Credo Technology Group during the 2nd quarter valued at $27,000. Hoey Investments Inc. purchased a new stake in Credo Technology Group in the 3rd quarter worth about $31,000. AlphaCentric Advisors LLC bought a new stake in shares of Credo Technology Group in the first quarter valued at approximately $33,000. Burkett Financial Services LLC bought a new stake in Credo Technology Group during the 3rd quarter valued at $33,000. Finally, Western Wealth Management LLC bought a new position in shares of Credo Technology Group in the first quarter worth $38,000. Hedge funds and other institutional investors own 80.46% of the company’s stock.

About Credo Technology Group

Credo Technology Group Holding Ltd. is a fabless semiconductor and connectivity solutions company that develops high-speed data-infrastructure technologies. Its products are designed to help data centers and communications networks move large volumes of information with lower power consumption and improved signal integrity.

The company’s portfolio includes serializer/deserializer (SerDes) intellectual property, application-specific integrated circuits, active electrical cables, optical digital signal processors and related connectivity platforms.