Credo Technology Group (CRDO) has climbed 18.8% since its last earnings report, sitting at $241.91 as of Friday’s open. That move puts the stock well ahead of the S&P 500 over the same stretch.
Credo Technology Group Holding Ltd, CRDO
The company’s Q4 fiscal 2026 results were the catalyst. Revenue hit $437 million, up 157% year over year and ahead of the $430.1 million consensus. Non-GAAP diluted EPS came in at $1.16, beating estimates of $1.03 by 12.6%.
Management made a point worth noting: Q4 revenue alone exceeded the company’s entire fiscal 2025 revenue. That’s how fast the AI infrastructure buildout is moving through CRDO’s order book.
Fiscal 2026 full-year revenues topped $1.3 billion, more than tripling from the year before. Four hyperscaler customers each accounted for at least 10% of total revenue, with the top three contributing 34%, 27%, and 16%.
Non-GAAP gross margin came in at 68.3% for the quarter, up from 67.4% a year earlier. Net margin reached 51.9%, and free cash flow hit a record $177.5 million. The balance sheet closed the quarter with $1.4 billion in cash and short-term investments.
For Q1 fiscal 2027, Credo guided revenue of $465–$475 million. For the full year, it’s targeting more than 80% revenue growth, with optical revenues expected to surpass $600 million.
The company’s optical push is getting a boost from its Dust Photonics acquisition. The deal brings silicon photonics PIC technology and adds 800G and 1.6T solutions to the portfolio, with 3.2T in development.
Management expects ZeroFlap optics, silicon photonics PICs, and optical DSPs to each contribute more than $100 million in fiscal 2027.
Analyst estimate revisions have moved sharply higher in the past month. The consensus EPS estimate has shifted up 18.12% since the earnings report. Zacks rates CRDO a Rank #1 (Strong Buy).
On the institutional side, Vanguard, State Street, and Geode all added to their positions in Q4. Alliancebernstein lifted its stake by 66% during Q2. Institutional ownership now stands at 80.46%.
Insider selling has drawn some attention. CFO Daniel W. Fleming sold 40,000 units on June 11 at an average of $249.48, raising roughly $9.98 million. The sale was made under a pre-arranged Rule 10b5-1 plan to cover tax obligations tied to equity vesting. CTO Chi Fung Cheng sold 27,500 units in April under a similar plan.
Representative Gilbert Ray Cisneros, Jr. also disclosed a sale of between $1,001 and $15,000 in CRDO on June 30.
Wall Street remains broadly positive. Evercore initiated with an Outperform and a $325 price target on June 22. JPMorgan raised its target to $250 with an Overweight rating.
The consensus target sits at $263.11 across 19 analysts, with 17 rated Buy or Strong Buy and two at Hold.
CRDO has a 12-month high of $308.67 and a 12-month low of $86.49.
The post Credo Technology (CRDO) Stock Jumps 19% After Earnings — Is It Too Late to Buy? appeared first on CoinCentral.
