Credo Technology Group Holding Ltd (NASDAQ: CRDO) has seen a rise in its stock price by 3.87 in relation to its previous close of 42.07. However, the company has experienced a -20.80% decline in its stock price over the last five trading sessions. seekingalpha.com reported 2025-03-09 that Credo Technology reported strong Q3 earnings, beating expectations and raising Q4 revenue guidance, driven by robust AEC product shipments and expanding hyperscaler customer base. Despite 86% of Q3 revenues coming from Amazon’s AWS, this concentration risk is mitigated by AWS’s investment in Credo and potential diversification of suppliers. Credo remains undervalued with a forward valuation of 37x FY26 EBITDA appealing, given its entry into new markets and strong balance sheet.
Is It Worth Investing in Credo Technology Group Holding Ltd (NASDAQ: CRDO) Right Now?
The price-to-earnings ratio for Credo Technology Group Holding Ltd (NASDAQ: CRDO) is above average at 3189.78x. The 36-month beta value for CRDO is also noteworthy at 2.26. There are mixed opinions on the stock, with 7 analysts rating it as a “buy,” 4 rating it as “overweight,” 1 rating it as “hold,” and 0 rating it as “sell.”
The public float for CRDO is 144.02M, and at present, short sellers hold a 5.36% of that float. The average trading volume of CRDO on March 10, 2025 was 5.52M shares.
CRDO’s Market Performance
CRDO stock saw a decrease of -20.80% in the past week, with a monthly decline of -45.09% and a quarterly a decrease of -38.18%. The volatility ratio for the week is 12.86%, and the volatility levels for the last 30 days are 10.43% for Credo Technology Group Holding Ltd (CRDO). The simple moving average for the last 20 days is -30.02% for CRDO stock, with a simple moving average of -0.92% for the last 200 days.
Analysts’ Opinion of CRDO
Many brokerage firms have already submitted their reports for CRDO stocks, with Susquehanna repeating the rating for CRDO by listing it as a “Neutral.” The predicted price for CRDO in the upcoming period, according to Susquehanna is $80 based on the research report published on December 17, 2024 of the previous year 2024.
BofA Securities, on the other hand, stated in their research note that they expect to see CRDO reach a price target of $80. The rating they have provided for CRDO stocks is “Buy” according to the report published on December 03rd, 2024.
TD Cowen gave a rating of “Buy” to CRDO, setting the target price at $75 in the report published on December 03rd of the previous year.
CRDO Trading at -36.20% from the 50-Day Moving Average
After a stumble in the market that brought CRDO to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -49.59% of loss for the given period.
Volatility was left at 10.43%, however, over the last 30 days, the volatility rate increased by 12.86%, as shares sank -45.13% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -36.21% lower at present.
During the last 5 trading sessions, CRDO fell by -20.80%, which changed the moving average for the period of 200-days by +131.34% in comparison to the 20-day moving average, which settled at $62.45. In addition, Credo Technology Group Holding Ltd saw -34.98% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CRDO starting from ACEVEDO SYLVIA, who proposed sale 7,500 shares at the price of $41.98 back on Mar 07 ’25. After this action, ACEVEDO SYLVIA now owns shares of Credo Technology Group Holding Ltd, valued at $314,878 using the latest closing price.
ACEVEDO SYLVIA, the Director of Credo Technology Group Holding Ltd, proposed sale 24,791 shares at $41.54 during a trade that took place back on Mar 07 ’25, which means that ACEVEDO SYLVIA is holding shares at $1,029,838 based on the most recent closing price.
Stock Fundamentals for CRDO
Current profitability levels for the company are sitting at:
- -0.15 for the present operating margin
- 0.62 for the gross margin
The net margin for Credo Technology Group Holding Ltd stands at -0.1. The total capital return value is set at -0.06. Equity return is now at value 0.89, with 0.78 for asset returns.
Based on Credo Technology Group Holding Ltd (CRDO), the company’s capital structure generated 0.02 points at debt to capital in total, while cash flow to debt ratio is standing at 0.48.
Currently, EBITDA for the company is -22.52 million with net debt to EBITDA at 9.23. When we switch over and look at the enterprise to sales, we see a ratio of 28.84. The receivables turnover for the company is 2.41for trailing twelve months and the total asset turnover is 0.38. The liquidity ratio also appears to be rather interesting for investors as it stands at 7.67.
Conclusion
In summary, Credo Technology Group Holding Ltd (CRDO) has had a bad performance as of late. Analysts have bullish opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
