In a report released today, Quinn Bolton from Needham maintained a Buy rating on Credo Technology Group Holding Ltd, with a price target of $220.00.
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Quinn Bolton has given his Buy rating due to a combination of factors that highlight Credo Technology Group Holding Ltd’s strong performance and growth potential. The company has exceeded expectations with its revenue guidance, driven by the strength of its Active Electrical Cables (AEC) across its customer base. This has led to a significant increase in revenue projections for the upcoming fiscal year.
Furthermore, Credo’s revenue diversification is notable, with four major customers contributing over 10% each to its revenue, and a fifth customer expected to reach similar levels in the future. Additionally, the company is expanding its market opportunities with new growth pillars such as ZeroFlap Optics, ALCs, and OmniConnect Gearboxes. These factors, combined with a favorable valuation model, support the Buy rating.
Bolton covers the Technology sector, focusing on stocks such as Lattice Semiconductor, Monolithic Power, and Super Micro Computer. According to TipRanks, Bolton has an average return of 28.7% and a 54.51% success rate on recommended stocks.
In another report released today, Mizuho Securities also reiterated a Buy rating on the stock with a $225.00 price target.