Credo Technology Group (NASDAQ:CRDO) Stock Price Down 13% – Here’s Why

Credo Technology Group Holding Ltd. (NASDAQ:CRDO) shares fell 13% during mid-day trading on Tuesday . The stock traded as low as $240.00 and last traded at $245.97. 7,681,250 shares traded hands during mid-day trading, an increase of 4% from the average daily volume of 7,392,999 shares. The stock had previously closed at $282.82.

Analyst Ratings Changes

Several research firms have recently commented on CRDO. Barclays raised their target price on shares of Credo Technology Group from $260.00 to $300.00 and gave the stock an “overweight” rating in a research note on Monday, July 20th. TD Cowen increased their price target on shares of Credo Technology Group from $260.00 to $300.00 and gave the stock a “buy” rating in a report on Tuesday. Rothschild & Co Redburn began coverage on shares of Credo Technology Group in a research report on Friday, May 1st. They issued a “buy” rating and a $206.00 price objective for the company. Wall Street Zen lowered Credo Technology Group from a “buy” rating to a “hold” rating in a report on Saturday, August 1st. Finally, Rosenblatt Securities boosted their target price on Credo Technology Group from $175.00 to $215.00 and gave the stock a “neutral” rating in a research report on Tuesday, June 2nd. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, Credo Technology Group currently has an average rating of “Moderate Buy” and a consensus price target of $268.39.

Credo Technology Group Trading Down 13.0%

The firm has a market capitalization of $45.87 billion, a price-to-earnings ratio of 99.18, a PEG ratio of 1.19 and a beta of 3.23. The stock’s 50 day moving average price is $242.40 and its two-hundred day moving average price is $179.97.

Credo Technology Group (NASDAQ:CRDO) last announced its quarterly earnings data on Monday, June 1st. The company reported $1.16 EPS for the quarter, beating the consensus estimate of $1.02 by $0.14. The firm had revenue of $437.00 million during the quarter, compared to analysts’ expectations of $431.80 million. Credo Technology Group had a net margin of 35.37% and a return on equity of 32.30%. The business’s revenue for the quarter was up 157.0% compared to the same quarter last year. During the same quarter last year, the business earned $0.20 earnings per share. On average, sell-side analysts forecast that Credo Technology Group Holding Ltd. will post 4.84 earnings per share for the current fiscal year.

Insider Transactions at Credo Technology Group

In other Credo Technology Group news, CTO Chi Fung Cheng sold 27,500 shares of the stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $243.06, for a total transaction of $6,684,150.00. Following the sale, the chief technology officer owned 5,882,370 shares in the company, valued at approximately $1,429,768,852.20. This represents a 0.47% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William Joseph Brennan sold 54,984 shares of Credo Technology Group stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $218.57, for a total value of $12,017,852.88. Following the sale, the chief executive officer owned 367,327 shares of the company’s stock, valued at approximately $80,286,662.39. This represents a 13.02% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 435,076 shares of company stock worth $101,043,506. Corporate insiders own 11.84% of the company’s stock.

Institutional Investors Weigh In On Credo Technology Group

Several hedge funds have recently made changes to their positions in the business. FengHe Fund Management Pte. Ltd. boosted its holdings in shares of Credo Technology Group by 5.7% in the 4th quarter. FengHe Fund Management Pte. Ltd. now owns 162,269 shares of the company’s stock valued at $23,349,000 after purchasing an additional 8,769 shares during the last quarter. M&T Bank Corp increased its holdings in shares of Credo Technology Group by 428.8% during the 4th quarter. M&T Bank Corp now owns 13,427 shares of the company’s stock worth $1,932,000 after buying an additional 10,888 shares during the last quarter. California State Teachers Retirement System raised its position in shares of Credo Technology Group by 2.2% in the 1st quarter. California State Teachers Retirement System now owns 240,886 shares of the company’s stock worth $22,612,000 after buying an additional 5,113 shares during the period. Teacher Retirement System of Texas boosted its holdings in Credo Technology Group by 486.2% in the fourth quarter. Teacher Retirement System of Texas now owns 239,721 shares of the company’s stock valued at $34,493,000 after acquiring an additional 198,826 shares during the last quarter. Finally, TimesSquare Capital Management LLC boosted its holdings in Credo Technology Group by 5.5% in the fourth quarter. TimesSquare Capital Management LLC now owns 264,181 shares of the company’s stock valued at $38,013,000 after acquiring an additional 13,881 shares during the last quarter. Institutional investors and hedge funds own 80.46% of the company’s stock.

About Credo Technology Group

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.