What to Expect from Credo Technology Group's Earnings

Credo Technology Group (NASDAQ:CRDO) is gearing up to announce its quarterly earnings on Wednesday, 2025-09-03. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Credo Technology Group will report an earnings per share (EPS) of $0.32.

Investors in Credo Technology Group are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Historical Earnings Performance

During the last quarter, the company reported an EPS beat by $0.08, leading to a 14.8% increase in the share price on the subsequent day.

Here's a look at Credo Technology Group's past performance and the resulting price change:

Market Performance of Credo Technology Group's Stock

Shares of Credo Technology Group were trading at $123.055 as of September 01. Over the last 52-week period, shares are up 288.0%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analyst Opinions on Credo Technology Group

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Credo Technology Group.

The consensus rating for Credo Technology Group is Outperform, based on 4 analyst ratings. With an average one-year price target of $115.75, there's a potential 5.94% downside.

Comparing Ratings with Competitors

The below comparison of the analyst ratings and average 1-year price targets of First Solar, ON Semiconductor and GLOBALFOUNDRIES, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for First Solar, with an average 1-year price target of $223.09, suggesting a potential 81.29% upside.
• Analysts currently favor an Neutral trajectory for ON Semiconductor, with an average 1-year price target of $59.26, suggesting a potential 51.84% downside.
• Analysts currently favor an Neutral trajectory for GLOBALFOUNDRIES, with an average 1-year price target of $41.29, suggesting a potential 66.45% downside.

Key Findings: Peer Analysis Summary

The peer analysis summary offers a detailed examination of key metrics for First Solar, ON Semiconductor and GLOBALFOUNDRIES, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

Credo Technology Group ranks highest in Revenue Growth among its peers. It also leads in Gross Profit margin. However, it has the lowest Return on Equity. Overall, Credo Technology Group is positioned at the top compared to its peers in the analysis.

All You Need to Know About Credo Technology Group

Credo Technology Group Holding Ltd delivers high-speed solutions to break bandwidth barriers on every wired connection in the data infrastructure market. It provides secure, high-speed connectivity solutions that deliver improved power and cost efficiency as data rates and corresponding bandwidth requirements increase exponentially throughout the data infrastructure market. It has a geographic presence in Hong Kong, the United States, Mainland China, Taiwan, and the Rest of the World.

Financial Milestones: Credo Technology Group's Journey

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Over the 3 months period, Credo Technology Group showcased positive performance, achieving a revenue growth rate of 179.73% as of 30 April, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Credo Technology Group's net margin excels beyond industry benchmarks, reaching 21.52%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.63%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Credo Technology Group's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.79% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.02, Credo Technology Group adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Credo Technology Group visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.