CRDO

Credo's shares declined more than 36% despite strong fiscal fourth-quarter earnings, expanding cash reserves, and continued positive forward revenue revisions. Fiscal fourth quarter revenue rose 157% year-over-year, while adjusted EPS increased 231%, demonstrating meaningful operating leverage and robust free-cash-flow conversion. ZeroFlap AECs remain critical for reliable AI cluster connectivity, while DustPhotonics broadens Credo's optical portfolio and potential efficiency advantages.

ASAN, AFRM and CRDO made it to the Zacks Rank #1 (Strong Buy) growth stocks list on July 28, 2026.

AI data center networking demand is surging as AI clusters grow. See why Marvell, Broadcom, Credo and Astera Labs are stocks to watch in August.

Credo and Marvell are riding surging AI connectivity demand, but their growth, margins and outlooks offer different risk-reward profiles.

Credo Technology (CRDO) is finally upgraded to Buy after a sharp 40% pullback, with its valuation now more attractive near a 30x forward earnings multiple. CRDO's earnings profile has improved dramatically, with forward EPS estimates rising nearly 300% year-over-year, driven by AI infrastructure and optical platform growth. The best is yet to be. Competitive risks from Broadcom and Marvell persist, but hyperscaler CapEx, Meta's AI ambitions, and SpaceX-linked opportunities underpin robust medium-term revenue prospects.

Credo Technology (NASDAQ:CRDO | CRDO Price Prediction) has become the pure-play backbone stock of the AI data center buildout, selling the Active Electrical Cables and SerDes retimers that hyperscalers use to connect racks of GPUs.

Shares of Credo Technology Group Holding Ltd (NASDAQ:CRDO) are climbing 6.3%, last seen at $215.43.

TER, FORM, AMKR and CRDO decline about 30% in a month, but AI chip testing, packaging and high-speed connectivity demand may support a recovery.

I keep hitting the “Buy” button on Credo Technology Group (NASDAQ:CRDO | CRDO Price Prediction) because I have not found another pure-play way to own the wiring of the AI data center at this scale.

CRDO's free cash flow surges to $177.5 million, strengthening liquidity for innovation, acquisitions and AI-driven connectivity growth.