Credo is holding above its gamma flip at $207.88 after a pullback, with a projected price path to $220 by October 9, $240 by October 23 and $308.67 by November 27. x.comÂ
Donald Dean
Economist & Technical Analyst, Fibonacci/Gamma Trading
Credo's W-shaped chart points to a bounce, while a large upper node on its options-positioning heatmap hints at a potentially sizable move next week. The heatmap alone is not enough to bet on, and the bounce may take longer than expected. x.comÂ
Credo's near-total share of AI data-center cables and unchanged estimates make its lower multiple look like a fear-driven opportunity. Its stock went from 27x to 20x forward earnings while the supply chain building those systems guided 2027 revenue to double. Buyers this week will probably be very happy a year from now. x.comÂ
Credo was overpriced even with great earnings, and it is still a little pricey at $190. Per @wallstengine, revenue rose 114.7% to $479.0M, beating estimates, and Q2 guidance of $525M-$535M also topped expectations, yet the stock is down $112 from its high of a few months ago. Valuation matters, and $150-$170 would be a decent entry point. x.comÂ
Credo is a steal at about 70 times forward free cash flow given how fast cash generation is growing, supporting a raised target of $280 by the end of 2027. Revenue is expected to grow more than 80% year over year, and free cash flow reached about $178 million this quarter, up over 225%, with a credible path to roughly $600 million a year. It has no debt and expanding profitability. Any after-hours weakness misses the point; what matters is where the stock will be next year. x.comÂ
Credo Technology's chart has turned bullish: it broke above its descending trend two days ago, with whale accumulation rising steadily. The $150-153 range is temporary resistance, and a break above it could trigger stronger momentum. x.comÂ
Credo needs a slightly lower price before adding. FY28 EPS of about $10, a 70% growth rate from today, would support a $350 stock at 35x, a 0.5x PEG. x.comÂ
Credo's revenue is projected to double by 2029, which makes the stock hard not to be bullish on. x.comÂ
Credo is worth buying on its post-earnings dip. x.comÂ
Credo's results were underwhelming for a company that added $32 billion in market value in a few months, and shorts may punish the stock. Per @WisemanCap, fiscal Q4 EPS of $1.16 beat the $1.02 estimate and revenue of $437 million was just above estimates, while Q1 fiscal 2027 revenue guidance of $465-476 million was roughly in line with the $464.7 million consensus. x.com x.comÂ
Credo's growth rides surging AI interconnect demand, and management expects revenue to grow more than 85% in FY27. F1Q27 revenue rose 115% to $479 million, EPS of $1.20 slightly beat, and F2Q27 guidance is $525-535 million. Active electrical cables remain the near-term engine as adoption broadens across hyperscalers and neoclouds; FY27 optical revenue is still expected above $600 million, though a higher optical mix dilutes gross margin. The $227 target rests on 20x FY28 EPS of $11.40. x.comÂ