Credo Technology Group’s share price was $93.49 on June 30th, with a trailing P/E of 319.28 and a forward P/E of 120.25. The company is transitioning to an intelligent platform provider, similar to Cisco’s transformation in the 1990s, with its ‘Pilot’ software platform offering predictive integrity and link optimization for AI infrastructure.

The market values Credo as a high-growth semiconductor provider, but its platform transformation could lead to significant re-rating. The ‘Pilot’ platform creates operational lock-in, with a sustainable ~40% non-GAAP net margin target. A bull case scenario envisions a 4-5x return by 2028, while a bear case involves revenue growth slowing.

Investors recognizing Credo as an emerging software and intelligence layer may benefit from substantial upside as the transformation progresses. A bullish thesis on Credo by Deep Value Returns in May 2025 highlighted the company’s recovery and argued for a patient, long-term investment strategy, resulting in a 47% stock price appreciation. Nikhs emphasizes Credo’s shift to an intelligent infrastructure platform through its Pilot software.

Read more at Yahoo Finance: Credo Technology Group (CRDO): A Bull Case Theory