William Blair analyst Sebastien Naji has reiterated their bullish stance on CRDO stock, giving a Buy rating today.
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Sebastien Naji’s rating is based on several compelling factors that highlight Credo Technology Group Holding Ltd’s strong performance and growth potential. The company reported an impressive second fiscal quarter, driven by the widespread adoption of its Active Electrical Cables (AECs) among a growing number of hyperscaler customers. This success is further supported by an expanding product lineup, including innovative offerings like Zero-Flap optics and Active LED Cables, which are expected to sustain robust top-line growth over the coming years.
Moreover, Credo’s financial metrics underscore its strong market position. The company achieved a remarkable 272% year-over-year increase in second-quarter revenue, significantly surpassing consensus estimates. This growth was fueled by contributions from major customers such as Amazon and Meta. Additionally, Credo’s third-quarter revenue guidance also exceeded expectations, indicating continued demand from its key customers and the addition of Oracle as a new revenue source. These factors collectively affirm the company’s potential for sustained success, justifying the Buy rating.
In another report released today, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $199.00 price target.