Credo Technology Group Stock Fundamentals
| CRDO Stock | USD 45.84 0.44 0.95% |
Credo Technology Group fundamentals help investors to digest information that contributes to Credo Technology's financial success or failures. It also enables traders to predict the movement of Credo Stock. The fundamental analysis module provides a way to measure Credo Technology's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Credo Technology stock.
At this time, Credo Technology's Tax Provision is very stable compared to the past year. As of the 25th of November 2024, Interest Expense is likely to grow to about 7.9 M, while Depreciation And Amortization is likely to drop about 7.1 M. Credo | Select Account or Indicator |
Credo Technology Group Company Operating Margin Analysis
Credo Technology's Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Current Credo Technology Operating Margin | (0.24) % |
Most of Credo Technology's fundamental indicators, such as Operating Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Credo Technology Group is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
| Competition |
Based on the recorded statements, Credo Technology Group has an Operating Margin of -0.242%. This is 97.26% lower than that of the Semiconductors & Semiconductor Equipment sector and 97.53% lower than that of the Information Technology industry. The operating margin for all United States stocks is 95.61% lower than that of the firm.
Credo Technology Fundamental Drivers Relationships
Comparative valuation techniques use various fundamental indicators to help in determining Credo Technology's current stock value. Our valuation model uses many indicators to compare Credo Technology value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Credo Technology competition to find correlations between indicators driving Credo Technology's intrinsic value. More Info.Credo Technology Group is rated below average in return on equity category among its peers. It is rated below average in return on asset category among its peers . At this time, Credo Technology's Return On Equity is very stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Credo Technology's earnings, one of the primary drivers of an investment's value.Credo Technology's Earnings Breakdown by Geography
Credo Operating Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Credo Technology's direct or indirect competition against its Operating Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Credo Technology could also be used in its relative valuation, which is a method of valuing Credo Technology by comparing valuation metrics of similar companies.Credo Technology is currently under evaluation in operating margin category among its peers.
Credo Technology ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Credo Technology's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Credo Technology's managers, analysts, and investors.Environmental | Governance | Social |
Credo Fundamentals
| Return On Equity | -0.0582 | ||||
| Return On Asset | -0.0437 | ||||
| Profit Margin | (0.12) % | ||||
| Operating Margin | (0.24) % | ||||
| Current Valuation | 7.23 B | ||||
| Shares Outstanding | 166.06 M | ||||
| Shares Owned By Insiders | 15.87 % | ||||
| Shares Owned By Institutions | 76.85 % | ||||
| Number Of Shares Shorted | 5.93 M | ||||
| Price To Book | 13.76 X | ||||
| Price To Sales | 34.99 X | ||||
| Revenue | 192.97 M | ||||
| Gross Profit | 65.77 M | ||||
| EBITDA | (22.52 M) | ||||
| Net Income | (28.37 M) | ||||
| Cash And Equivalents | 243.78 M | ||||
| Cash Per Share | 1.67 X | ||||
| Total Debt | 11.13 M | ||||
| Debt To Equity | 0.05 % | ||||
| Current Ratio | 8.12 X | ||||
| Book Value Per Share | 3.33 X | ||||
| Cash Flow From Operations | 32.74 M | ||||
| Short Ratio | 2.69 X | ||||
| Earnings Per Share | (0.16) X | ||||
| Price To Earnings To Growth | 0.90 X | ||||
| Target Price | 37.58 | ||||
| Number Of Employees | 500 | ||||
| Beta | 2.19 | ||||
| Market Capitalization | 7.61 B | ||||
| Total Asset | 601.93 M | ||||
| Retained Earnings | (135.34 M) | ||||
| Working Capital | 485.64 M | ||||
| Net Asset | 601.93 M |
About Credo Technology Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Credo Technology Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Credo Technology using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Credo Technology Group based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for Next Year | ||
| Current Deferred Revenue | 3.9 M | 2.9 M | |
| Total Revenue | 193 M | 131.2 M | |
| Cost Of Revenue | 73.5 M | 48.9 M | |
| Stock Based Compensation To Revenue | 0.20 | 0.09 | |
| Sales General And Administrative To Revenue | 0.17 | 0.13 | |
| Research And Ddevelopement To Revenue | 0.50 | 0.45 | |
| Capex To Revenue | 0.08 | 0.17 | |
| Revenue Per Share | 1.24 | 1.20 | |
| Ebit Per Revenue | (0.19) | (0.18) |
Pair Trading with Credo Technology
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Credo Technology position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Credo Technology will appreciate offsetting losses from the drop in the long position's value.Moving against Credo Stock
| 0.86 | BKRKY | Bank Rakyat | PairCorr |
| 0.73 | ICG | Intchains Group | PairCorr |
| 0.71 | TER | Teradyne | PairCorr |
| 0.68 | ACLS | Axcelis Technologies | PairCorr |
| 0.63 | CDW | CDW Corp | PairCorr |
The ability to find closely correlated positions to Credo Technology could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Credo Technology when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Credo Technology - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Credo Technology Group to buy it.
The correlation of Credo Technology is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Credo Technology moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Credo Technology moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Credo Technology can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Credo Technology Piotroski F Score and Credo Technology Altman Z Score analysis. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Credo Technology. If investors know Credo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Credo Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.87) | Earnings Share (0.16) | Revenue Per Share 1.368 | Quarterly Revenue Growth 0.702 | Return On Assets (0.04) |
The market value of Credo Technology is measured differently than its book value, which is the value of Credo that is recorded on the company's balance sheet. Investors also form their own opinion of Credo Technology's value that differs from its market value or its book value, called intrinsic value, which is Credo Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Credo Technology's market value can be influenced by many factors that don't directly affect Credo Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Credo Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if Credo Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Credo Technology's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.