June 4, 2023 – Credo Technology Group Holding Ltd (NASDAQ: CRDO) recently experienced an unusual surge in options trading activity with investors acquiring 3,309 call options on Friday. This figure represents a staggering increase of 198% when compared to the average daily volume of 1,112 call options.
This development is not the only interesting news surrounding the company at present. CEO William Joseph Brennan appears to have recently cashed out on a significant number of shares. On March 9th this year, he sold 24,446 shares at an average price of $9.95 per share, totaling $243,237.70. Following the sale, he now holds just over 225,554 direct shares in the company valued at approximately $2.2 million.
CTO Chi Fung Cheng also parted with a significant chunk of his holdings when he sold 240,000 shares for $10.51 each on May 22nd this year – netting him a total of over $2.5 million in proceeds from that sale alone.
It’s worth noting that these sales are just two examples taken from insider trading disclosure documents filed with the SEC in recent months; insiders have sold a total of nearly 286k shares in the company during this period.
While insider trading activity always attracts attention from analysts and speculators alike, several research firms have already published insights into CRDO’s stock position independently over recent months. Here are some highlights:
Since February of this year:
Goldman Sachs has dropped their price objective from $19 to $14 and retained a “buy” rating for CRDO’s stocks.
Needham & Company has increased their price objective from $15 to $17.
Bank of America downgraded CRDO’s stock rating from “Buy” to “Underperform.”
BNP Paribas rated CRDO stocks as “outperform” and set a target price of $13.
Cowen downgraded their rating from “outperform” to “market perform” and set a target price of $11.
These ratings are reflected by Bloomberg.com, where the overall consensus rating for Credo Technology Group is currently listed as “Moderate Buy” with an average target price of $14.11.
However, it’s also worth noting that on March 1st this year, CRDO released its Q1 earnings report which indicated an EPS of $0.02 for the quarter – exceeding previous analyst consensus estimates by a cent. Additionally, they reported revenues of $54.27 million for the quarter compared to anticipated revenues of $52 million – indicating stronger than expected growth over the period.
Taking all these factors into account, it seems clear that there are many unknowns surrounding Credo Technology Group at present, making it an interesting stock to watch for speculative investors. Whether insiders selling stock makes other investors more bullish or more wary remains to be seen – but either way, the company’s recent upward trend in call options trading activity seems likely to continue throughout Q2 of 2023 and beyond.
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Institutional Investors and Hedge Funds Take Notice of Credo Technology Group’s Recent Performance on NASDAQ:CRDO
The business world is constantly changing, and the stock market’s ups and downs reflect this. One particular company that has recently caught the attention of a number of institutional investors and hedge funds is Credo Technology Group (NASDAQ:CRDO). Looking at recent trading data, it’s clear that many of these investors have bought and sold shares of this company over the past few months.
One of the companies that has recently acquired a position in Credo Technology Group is Royal Bank of Canada. This acquisition was made in the 1st quarter of this year and was valued at around $26,000. Similarly, Ameritas Investment Partners Inc. purchased a new position in Credo Technology Group during the first quarter for approximately $26,000 as well.
In addition to these two companies, Assetmark Inc. also increased its stake in Credo Technology Group by 35.9% during the fourth quarter. The total value of Assetmark’s stake is now estimated to be around $28,000 after acquiring an additional 563 shares during the last quarter.
Other firms that have acquired positions in Credo Technology Group include IFP Advisors Inc., which acquired a new stake in the third quarter worth $27,000. Harvest Fund Management Co. Ltd also purchased a new investment during the first quarter, valued at $25,000. As of June 4th, 2023, approximately 40.46%of CRDO’s stock is owned by institutional investors and hedge funds.
With regard to trading activity on Friday June 4th, shares of NASDAQ:CRDO traded down $0.14 at $16.40 per share with about 1,278,460 shares exchanged compared to its average volume of 2,161,946 shares.The stock’s 50-day moving average price is $9.39 with a corresponding value for its 200 day moving average standing at $12.01 . Over the past year, Credo Technology Group’s stock has ranged from a low of $7.20 to a high of $19.46, showcasing its impressive volatility.
In conclusion, although CRDO’s recent trading performance is not without its fluctuations, it appears that many investors are still interested in investing with this company. As we await further data and results on how the market performs and what Credo Technology Group can produce alongside it’s continued evolution as a technology company will be looked upon intently over the coming weeks and months by both institutional investors and traders alike.
