Seeking Alpha Backs Credo as Strong Buy After 82% 6-Month Gain
Updated
Updated · Seeking Alpha · Jun 16
Seeking Alpha Backs Credo as Strong Buy After 82% 6-Month Gain
2 articles · Updated · Seeking Alpha · Jun 16
Summary
Credo Technology was highlighted as a Strong Buy despite the semiconductor pullback, with Seeking Alpha saying the recent sell-off looks driven more by sentiment than by weakening fundamentals.
82% six-month share gains have not stretched Credo's valuation framework, the analysts said, while its growth grade stayed at A+ and profitability improved to A- from B.
206% year-over-year revenue growth and a 39% projected EPS growth rate versus 18% for the sector underpin the bullish call, helped by demand for AI data-center connectivity, Ethernet and optical cable products.
12th out of 69 semiconductor stocks and 30th out of 532 IT names, Credo is also one of Alpha Picks' top performers, up about 275% since its February 2025 inclusion.
The broader chip retreat was tied to geopolitical volatility and concerns that AI stocks had become overextended, even as many semiconductor companies continued beating earnings and revenue expectations.