New York, Feb 12, 2026, 17:58 EST — After-hours
- Credo Technology shares were down 5.2% at $121.78 in late trading on Thursday.
- The slide came as Wall Street dumped tech and chip shares ahead of Friday’s U.S. inflation data.
- Credo’s next catalyst is its March 2 quarterly report and outlook.
Credo Technology Group Holding Ltd shares fell 5.2% to $121.78 on Thursday, after swinging between $121.70 and $131.79 earlier in the day.
The drop tracked a broader tech selloff, with the Nasdaq off about 2% and the Philadelphia SE Semiconductor index down 2.5% as investors waited for Friday’s U.S. consumer price index report. “We see this as a ‘prove it’ year for AI,” said Jack Herr, primary investment analyst at GuideStone Funds. (Reuters)
Credo has been a fast-moving name this week after it preannounced fiscal third-quarter revenue of $404 million to $408 million, above its prior forecast of $335 million to $345 million, and said it expected mid-single-digit sequential growth into the next quarter. The company said the figures were preliminary and unaudited, and it plans to publish full results after the close on March 2. (SEC)
The company added another headline on Tuesday, saying its Toucan PCIe 6.0-capable retimer earned PCI-SIG compliance at 32.0 GT/s — a benchmark for interoperability in PCIe, the standard that links chips and cards inside servers. “PCIe retimers are playing a critical role,” Credo product vice president Vishal Shah said, while PCI-SIG president and chair Al Yanes said the group “recognize[s] Credo” for completing compliance testing. (Credo Technology Group)
Barclays analysts led by Tom O’Malley called the guidance update a sign the stock’s recent selloff had “gone too far,” and said Credo was trading at a “35x discount to ALAB,” referring to Astera Labs. They reiterated an overweight rating and a $260 price target, and argued that bearish worries around co-packaged optics — optical links pushed closer to the chip to cut power and cabling — and the active electrical cable market “is flawed.” (Investing)
Still, the stock is priced for follow-through, and the next report has more to prove than a revenue beat. If hyperscaler spending cools, or customers shift designs faster than expected toward more optical links, the growth path could look less straight.
Credo’s product mix also matters. Investors will listen for detail on demand for its copper-based active electrical cables (AECs) — high-speed cables with electronics built in — alongside newer retimers used in dense AI racks.
Next up: Friday’s U.S. inflation report before the bell, then Credo’s March 2 results and guidance, which will set the tone for the next session and the week ahead.
