Credo Technology Group (CRDO) Stock Analysis
This is a peer-relative look at Credo Technology Group (CRDO): its performance, risk, profitability, financial strength, dividend, and valuation are each measured against its Semiconductors & Semiconductor Equipment peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | CRDO |
|---|---|
| Name | Credo Technology Group Holding Ltd. |
| Country/Region | Cayman Islands |
| GICS Sector | Information Technology |
| GICS Industry Group | Semiconductors & Semiconductor Equipment |
| GICS Industry | Semiconductors & Semiconductor Equipment |
| GICS Sub-Industry | Semiconductors |
| Market Capitalization | 56.41 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | January 27, 2022 |
| Security Type | Common Stock |
Performance
Cumulative Growth
Trailing Returns
Performance at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| Total Return (1Y) | 253.78% | 180.36% |
Risk
Drawdown
Risk at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 87.00% | 67.01% |
| Beta (5Y) | 3.17 | 1.77 |
Profitability
ROE (TTM)
Credo Technology Group (CRDO) posts ROE of 34.41%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.
CRDO
Semiconductors & Semiconductor Equipment industry group
34.41%
Group distribution
- Max
- 39.82%
- CRDO
- 34.41%
- Q3
- 17.52%
- Median
- 6.57%
- Q1
- -4.94%
- Min
- -35.15%
Largest peers
- NVDA
- 114.29%
- ASML
- 52.24%
- MU
- 39.82%
- AVGO
- 37.28%
- TSM
- 36.21%
- CRDO
- 34.41%
- AMD
- 8.06%
Net Margin (TTM)
Credo Technology Group (CRDO) keeps 35.37% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.
CRDO
Semiconductors & Semiconductor Equipment industry group
35.37%
Group distribution
- Max
- 57.72%
- CRDO
- 35.37%
- Q3
- 20.98%
- Median
- 7.10%
- Q1
- -3.84%
- Min
- -32.92%
Largest peers
- NVDA
- 62.97%
- TSM
- 46.51%
- MU
- 41.49%
- AVGO
- 38.85%
- CRDO
- 35.37%
- ASML
- 29.71%
- AMD
- 13.37%
Operating Margin (TTM)
Credo Technology Group (CRDO) turns 35.66% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.
CRDO
Semiconductors & Semiconductor Equipment industry group
35.66%
Group distribution
- Max
- 65.60%
- CRDO
- 35.66%
- Q3
- 21.58%
- Median
- 9.68%
- Q1
- -8.51%
- Min
- -46.64%
Largest peers
- MU
- 67.62%
- NVDA
- 65.60%
- TSM
- 58.11%
- AVGO
- 48.99%
- ASML
- 36.02%
- CRDO
- 35.66%
- AMD
- 14.40%
Profitability at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| ROE (TTM) | 34.41% | 6.57% |
| ROA (TTM) | 17.92% | 3.08% |
| Net Margin (TTM) | 35.37% | 7.10% |
| Operating Margin (TTM) | 35.66% | 9.68% |
| Gross Margin (TTM) | 68.04% | 46.35% |
Financial Strength
Current Ratio (MRQ)
Credo Technology Group (CRDO) has current ratio of 10.15, above the industry’s typical middle range. Liquidity looks ample versus peers, though an unusually high cushion can also mean idle current assets or inefficient working capital.
CRDO
Semiconductors & Semiconductor Equipment industry group
10.15
Group distribution
- Max
- 11.30
- CRDO
- 10.15
- Q3
- 6.01
- Median
- 3.26
- Q1
- 2.37
- Min
- 0.51
Largest peers
- CRDO
- 10.15
- NVDA
- 3.44
- MU
- 2.90
- AMD
- 2.73
- TSM
- 2.49
- AVGO
- 2.24
- ASML
- 1.36
Debt / Equity (MRQ)
Credo Technology Group (CRDO) has debt-to-equity ratio of 0.01, in the lower-leverage quartile for its industry. Borrowing is modest relative to equity compared with most peers, which can leave more flexibility through a cycle.
CRDO
Semiconductors & Semiconductor Equipment industry group
0.01
Group distribution
- Max
- 1.53
- Q3
- 0.64
- Median
- 0.21
- Q1
- 0.04
- CRDO
- 0.01
- Min
- 0.00
Largest peers
- AVGO
- 0.74
- TSM
- 0.18
- MU
- 0.15
- ASML
- 0.13
- NVDA
- 0.07
- AMD
- 0.06
- CRDO
- 0.01
Financial Strength at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 10.15 | 3.26 |
| Debt / Equity (MRQ) | 0.01 | 0.21 |
| Net Debt / EBITDA | -2.96 | -0.25 |
Dividends
Dividend Yield (TTM)
Credo Technology Group (CRDO) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.
CRDO
Semiconductors & Semiconductor Equipment industry group
0.00%
Group distribution
- CRDO
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- AVGO
- 0.69%
- ASML
- 0.49%
- CRDO
- 0.00%
- NVDA
- 0.00%
- TSM
- 0.00%
- MU
- 0.00%
- AMD
- 0.00%
Dividend Payout Ratio (TTM)
Credo Technology Group (CRDO) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.
CRDO
Semiconductors & Semiconductor Equipment industry group
0.00%
Group distribution
- Max
- 41.26%
- Q3
- 19.05%
- CRDO
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- AVGO
- 41.26%
- ASML
- 25.82%
- CRDO
- 0.00%
- AMD
- 0.00%
- NVDA
- --
- TSM
- --
- MU
- --
Dividends at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Credo Technology Group (CRDO) trades at P/E ratio of 120.53, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.
CRDO
Semiconductors & Semiconductor Equipment industry group
120.53
Group distribution
- Max
- 290.37
- Q3
- 149.77
- CRDO
- 120.53
- Median
- 73.50
- Q1
- 52.35
- Min
- 6.22
Largest peers
- AMD
- 179.72
- CRDO
- 120.53
- AVGO
- 68.22
- ASML
- 64.45
- MU
- 53.41
- TSM
- 39.74
- NVDA
- 32.26
P/S Ratio (TTM)
Credo Technology Group (CRDO) trades at 42.25 on P/S ratio, above the industry benchmark range. The stock is being valued at an unusually rich price per dollar of trailing revenue.
CRDO
Semiconductors & Semiconductor Equipment industry group
42.25
Group distribution
- CRDO
- 42.25
- Max
- 38.08
- Q3
- 23.03
- Median
- 11.02
- Q1
- 4.71
- Min
- 0.02
Largest peers
- CRDO
- 42.25
- AVGO
- 25.93
- AMD
- 23.39
- ASML
- 22.07
- MU
- 22.00
- NVDA
- 20.13
- TSM
- 0.58
P/B Ratio (MRQ)
Credo Technology Group (CRDO) trades at 27.18 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.
CRDO
Semiconductors & Semiconductor Equipment industry group
27.18
Group distribution
- Max
- 28.42
- CRDO
- 27.18
- Q3
- 15.74
- Median
- 8.60
- Q1
- 4.34
- Min
- 0.22
Largest peers
- ASML
- 1,714.71
- TSM
- 70.69
- CRDO
- 27.18
- NVDA
- 26.11
- AVGO
- 22.32
- MU
- 17.65
- AMD
- 13.59
Valuation at a Glance
| Metric | Current stock: CRDO | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | 120.53 | 73.50 |
| P/S Ratio (TTM) | 42.25 | 11.02 |
| P/B Ratio (MRQ) | 27.18 | 8.60 |
| Free Cash Flow Yield (TTM) | 0.44% | 0.68% |