Credo Technology Group Holding Ltd (NASDAQ:CRDO) CEO Brennan William Joseph has sold a total of 30,000 company shares, according to a recent SEC filing. The transactions, which took place on May 16 and 17, amounted to over $570,000, with share prices ranging between $18.87 and $19.21.
The sales were executed under a prearranged 10b5-1 trading plan, a tool that allows insiders to sell shares at predetermined times to avoid accusations of insider trading. The plan was adopted by Brennan on March 9, 2023.
On the first day, Brennan sold 15,000 shares at a weighted average price of $18.87, while the following day another 15,000 shares were sold at an average of $19.21. The specific prices for the shares sold ranged from $18.75 to $19.40 across the two days.
These transactions have reduced Brennan's indirect ownership, held through The Brennan Family Trust, to 2,917,500 shares after the sales. It's noted that Brennan disclaims beneficial ownership of these shares except to the extent of his pecuniary interest therein.
The CEO's direct holdings were not part of the disclosed transactions and remain unaffected. Investors often closely monitor insider buying and selling as it can be indicative of the executive's confidence in the company's future performance.
The SEC filing did not disclose any purchases of Credo Technology Group Holding Ltd shares by the CEO during this period.
InvestingPro Insights
Following the recent sale of shares by Credo Technology Group Holding Ltd (NASDAQ:CRDO) CEO Brennan William Joseph, investors might be curious about the company's financial health and future prospects. The InvestingPro platform provides several key metrics and insights that can help investors make informed decisions.
Despite the CEO's share sale, Credo Technology Group boasts a strong liquidity position, with liquid assets that exceed short-term obligations. This is a positive sign for investors, indicating the company's ability to cover immediate liabilities. Additionally, analysts predict that the company will be profitable this year, which could be a turning point for Credo Technology in terms of financial performance.
InvestingPro Data shows that Credo Technology Group has a market capitalization of $3.08 billion and a high revenue valuation multiple. While the company's Price/Earnings (P/E) Ratio is currently negative at -99.32, reflecting its lack of profitability over the last twelve months, the PEG Ratio as of the last twelve months ending Q3 2024 is a low 0.2, suggesting potential for future earnings growth.
Investors should note that the company's stock price has been quite volatile, with a one-year price total return of 85.2%, highlighting significant upward movement. However, it's worth considering that Credo Technology Group does not pay a dividend, which may be a factor for those seeking regular income from their investments.
For those interested in gaining deeper insights, there are additional InvestingPro Tips available for Credo Technology Group. Using coupon code PRONEWS24, investors can obtain an additional 10% off a yearly or biyearly Pro and Pro+ subscription, providing access to even more valuable data and analytics. Currently, there are 9 InvestingPro Tips listed for CRDO on the InvestingPro platform.
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