Bank of America reduced its price target for Credo Technology Group Holding Ltd to $275 from $340. The firm maintained its buy rating for the stock.
Credo reported its first-quarter fiscal 2027 earnings on September 1st. Revenue reached $479 million, marking a 114.7% increase year-over-year. Adjusted earnings per share hit $1.20, surpassing analyst expectations.
The stock price declined significantly despite the earnings beat and positive forward guidance. Investors cited concerns regarding margin pressures and the company's high valuation. These factors triggered widespread profit-taking following the report.