Credo Technology Group (NASDAQ:CRDO) Shares Down 4.8% After Insider Selling

Shares of Credo Technology Group Holding Ltd. (NASDAQ:CRDO) fell 4.8% during trading on Thursday following insider selling activity. The stock traded as low as $160.40 and last traded at $165.29. Approximately 6,751,276 shares changed hands during mid-day trading, a decline of 11% from the average session volume of 7,603,385 shares. The stock had previously closed at $173.69.

Specifically, CTO Chi Cheng sold 27,500 shares of the stock in a transaction dated Tuesday, October 27th. The stock was sold at an average price of $164.12, for a total value of $4,513,300.00. Following the transaction, the chief technology officer owned 5,552,397 shares of the company’s stock, valued at approximately $911,259,395.64. This represents a 0.49% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

CRDO has been the subject of a number of recent research reports. JPMorgan Chase & Co. cut their price objective on Credo Technology Group from $335.00 to $310.00 and set an “overweight” rating for the company in a research note on Wednesday, September 2nd. Wall Street Zen lowered Credo Technology Group from a “buy” rating to a “hold” rating in a research note on Saturday, August 1st. Rosenblatt Securities restated a “neutral” rating and issued a $235.00 target price on shares of Credo Technology Group in a report on Thursday, October 15th. Bank of America cut their price objective on shares of Credo Technology Group from $340.00 to $275.00 and set a “buy” rating on the stock in a research report on Wednesday, September 2nd. Finally, Evercore set a $292.00 price target on Credo Technology Group in a research note on Wednesday, September 2nd. One equities research 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’s stock. Based on data from MarketBeat, Credo Technology Group has an average rating of “Moderate Buy” and a consensus target price of $262.67.

Credo Technology Group Stock Performance

The firm has a market capitalization of $31.07 billion, a price-to-earnings ratio of 58.82, a PEG ratio of 0.59 and a beta of 3.25. The firm’s 50 day simple moving average is $191.39 and its 200 day simple moving average is $180.79.

Credo Technology Group (NASDAQ:CRDO) last issued its quarterly earnings data on Tuesday, September 1st. The company reported $1.20 EPS for the quarter, topping analysts’ consensus estimates of $1.17 by $0.03. The business had revenue of $479.00 million for the quarter, compared to analysts’ expectations of $473.30 million. Credo Technology Group had a net margin of 33.83% and a return on equity of 28.77%. The business’s revenue was up 114.7% on a year-over-year basis. During the same quarter last year, the company earned $0.52 EPS. As a group, sell-side analysts forecast that Credo Technology Group Holding Ltd. will post 5.02 earnings per share for the current year.

Institutional Trading of Credo Technology Group

Large investors have recently made changes to their positions in the company. Bank Julius Baer & Co. Ltd Zurich lifted its stake in shares of Credo Technology Group by 48.2% in the third quarter. Bank Julius Baer & Co. Ltd Zurich now owns 11,286 shares of the company’s stock worth $2,197,000 after buying an additional 3,673 shares in the last quarter. Nippon Life Global Investors Americas Inc. acquired a new stake in Credo Technology Group during the third quarter worth $388,000. Hoey Investments Inc. purchased a new stake in Credo Technology Group in the 3rd quarter valued at about $31,000. Sumitomo Mitsui Trust Group Inc. raised its stake in shares of Credo Technology Group by 7.6% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 383,367 shares of the company’s stock valued at $74,676,000 after acquiring an additional 27,241 shares during the period. Finally, Mirae Asset Global Investments Co. Ltd. acquired a new position in Credo Technology Group during the third quarter worth $70,844,000. 80.46% of the stock is currently owned by hedge funds and other institutional investors.

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.