Credo Is Up 71% This Year and Wall Street Just Raised Its Targets Again

Credo Technology (CRDO) has experienced a remarkable 157% surge in revenue for the fourth quarter of 2026, resulting in a 71% increase year-to-date. This growth has earned the company a "BUY" rating with a $247 price target. Marvell Technology (MRVL) has surpassed CRDO with a 155% year-to-date gain, while Broadcom (AVGO) trades at about half of Credo's earnings multiple, positioning CRDO as a higher-risk investment.

A significant 87% of CRDO's revenue comes from four hyperscaler clients, indicating that any substantial pullback from a single client could push the stock down to a price of $196. Despite this concentration risk, analysts remain optimistic, with one who predicted NVIDIA's rise in 2010 now naming Credo among his top 10 AI stocks – a company that, however, did not make the cut.

The company's shares have climbed 70.94% year-to-date as hyperscaler demand for high-speed connectivity grows. 24/7 Wall St. forecasts a modest upside potential of 5.12% from the current level, with a price target of $246.78, implying a 5.12% upside. The recommendation is to buy with high confidence.