CRDO
Earnings that looked good on paper
Credo Technology came out swinging in fiscal Q1 2027: revenue hit about $479 million, ahead of the $471.77 million analysts were looking for, and adjusted EPS came in at $1.20 versus $1.17 expected. Not exactly a dumpster fire.
But the stock still took a hit
Here’s the weird part: shares fell 10.3% to $185.32 in pre-market trading. Translation: the market is acting like the kid who gets dessert and still complains the slice isn’t big enough. Credo also guided Q2 revenue to $525 million to $535 million, above the Street’s $515.79 million estimate, with adjusted gross margin expected between 67% and 69%.
Analysts did the post-game film session
B of A Securities kept its Buy rating but cut its price target from $340 to $275. Rosenblatt stayed Neutral and nudged its target up from $215 to $235. So the analyst vibe was basically: "Nice quarter, but maybe let’s not get carried away." That matters because price targets can reset expectations fast, especially for a stock that’s been living off the AI-infrastructure enthusiasm trade.
Big picture
Credo’s pitch is still intact — it wants to be the connective tissue for AI data centers, from optics to copper, across distances that sound more like a geography quiz than a chip market. But when a beat, a raise, and a healthy guide still can’t keep the stock up, you know the bar has gotten very, very high.