Mizuho Raises PT on Credo Technology (CRDO) After FQ4 2026 Earnings

Credo Technology Group Holding Ltd (NASDAQ:CRDO) is one of the Best Up and Coming AI Stocks to Buy Now. The company recently reported its fiscal Q4 2026 earnings on June 1. Following the release on June 2, Mizuho analyst Vijay Rakesh raised the price target on Credo Technology Group Holding Ltd (NASDAQ:CRDO) from $260 to $290 and maintained an Outperform rating on the shares.

​During the quarter, the company reported strong results with revenue growing 157% year-over-year to $437 million, ahead of the expected $433.3 million. The EPS of $1.16 also topped the $1.03 consensus estimate. Management noted the growth to be driven by surging demand for Active Electrical Cables and AI data center connectivity solutions. The company noted that customers are scaling larger GPU clusters, and Credo is benefiting directly.

​Notably, gross margins remained healthy at around 68%, and non-GAAP net income for the quarter came in at $277 million. Looking ahead, management guided Q1 fiscal 2027 revenue between $465 million and $475 million.

​Analyst Rakesh noted the quarter to be solid and also pointed out the guidance to be above consensus, hence increased the price target.

Founded in 2008, Credo Technology Group Holding Ltd (NASDAQ:CRDO) develops high-speed connectivity products and solutions for the data infra market (specifically optical and electrical Ethernet and PCIe applications), including SerDes chiplets, integrated circuits, and electrical cables. The company is based in the Cayman Islands.

While we acknowledge the risk and potential of CRDO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CRDO and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 9 Most Undervalued Foreign Stocks to Buy Now and 10 Most Undervalued US Stocks According to Hedge Funds. 

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1