Price Decrease: US$0.003 compared to US$0.019 in 3Q 2023

Credo Technology Group Holding: Promising Future, Unimpressive Financial Performance and Cautionary Signals for Investors

Credo Technology Group Holding (NASDAQ: CRDO) has released their third quarter 2024 financial results, showing a revenue of US$53.1m, which was a 2.2% decrease from the same period in 2023. The net income for the quarter was US$428.0k, down 85% from the previous year. The profit margin decreased to 0.8%, compared to 5.2% in 3Q 2023, primarily due to higher expenses. Earnings per share also declined to US$0.003 from US$0.019 in the third quarter of 2023.

Despite this, Credo Technology Group Holding forecasts a 45% annual revenue growth on average for the next three years, compared to a 15% growth forecast for the Semiconductor industry in the US. However, despite this positive outlook, the company’s share price has remained relatively unchanged from a week ago.

Investors should be aware of two warning signs identified with Credo Technology Group Holding: firstly, higher expenses have negatively impacted the company’s profitability; and secondly, while the company is forecasting higher revenue growth than the industry average, it has not translated into an increase in its share price value over time. If you have any feedback or concerns about this information or want more analysis on Credo Technology Group Holding’s future prospects, please reach out directly or email [editorial-team@simplywallst.com](mailto:editorial-team@simplywallst.com). It’s important to note that this article by Simply Wall St is based on historical data and analyst forecasts and should not be considered financial advice.

Simply Wall St aims to provide unbiased analysis driven by fundamental data to help investors make informed decisions about investing opportunities available across different markets globally.

In conclusion, while Credo Technology Group Holding has shown positive growth prospects with a forecasted revenue growth of 45% annually over the next three years compared to an industry average of only 15%, its current financial performance indicates that there are challenges that need to be addressed before investors can fully realize these potential gains in stock value over time.

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