Credo Technology Sees Bullish Options Activity Amid Analyst Upgrades

Credo Technology Group is experiencing increased bullish sentiment from investors, highlighted by significant options activity. Analysts also maintain positive outlooks, projecting substantial price targets that could impact the stock significantly in the near term.

Date: 01-04-2025

AI Rating: 7

Credo Technology Group (CRDO) has attracted significant bullish activity from deep-pocketed investors, as indicated by extraordinary options trading patterns. With 20 notable options transactions reported, comprising 16 calls and only 4 puts, investors are expressing a predominantly positive sentiment towards this tech stock. The higher volume of call options, valued at over $996,000, signals strong confidence among market participants about a potential uptick in CRDO's stock price.

Expected Price Movements
Notably, whale traders are anticipating a price range for CRDO between $17.50 to $50.00 over the last three months, which reflects higher speculative interest. The reported options activity can lead to price volatility, suggesting that investors need to pay close attention to market movements around these strike prices.

Current Market Position
Currently, CRDO is trading at $40.15, down by -0.89%. The recent decline might be a cause for concern; however, the relative strength index (RSI) suggests that the stock may be approaching oversold conditions, which could attract bargain hunters. Thus, investors might view the current price as a buying opportunity in light of the bullish options activity.

Analyst Ratings and Targets
The bullish sentiment is further reinforced by analysts, who have set an average target price of $68.75. Analysts from B of A Securities uphold a strong buy rating with a target price of $75, while Susquehanna has upgraded its rating to positive with a target of $60. These ratings reflect a consensus among experts about the company’s future prospects, providing a supportive backdrop for potential upward movements in stock price.

With earnings anticipated in about two months, this period may generate heightened interest and trading activity. Should the company meet or exceed earnings expectations, it could further propel stock prices upward, validating the bullish options data observed.

Stocks: CRDO