Credo Technology Group Holding Ltd (NASDAQ:CRDO) shares are trading higher Thursday after the company reported better-than-expected first quarter financial results and issued second quarter sales guidance above estimates on Wednesday after the market closed.
What To Know: The company reported adjusted earnings per share of 52 cents, beating the consensus estimate of 36 cents. In addition, the company reported sales of $223.07 million, beating the consensus estimate of $190.77 million.
Credo reported non-GAAP net income of $98.3 million, or 52 cents per share. The company posted a GAAP gross margin of 67.4% and a non-GAAP gross margin of 67.6%.
Q2 Outlook: The company sees sales from $230.00 million to $240.00 million, versus the consensus estimate of $202.16 million.
Analyst Changes: Following the earnings report, multiple analysts issued price target adjustments.
- Barclays analyst Thomas O’Malley maintained an Overweight rating on Credo and raised the price target from $85 to $165.
- Susquehanna analyst Christopher Rolland maintained a Positive rating on Credo and raised the price target from $115 to $165.
- Needham analyst N. Quinn Bolton maintained a Buy rating on Credo and raised the price target from $85 to $150.
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CRDO Price Action: At the time of publication, Credo stock is trading 8.19% higher at $135.19, according to data from Benzinga Pro.
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