Is Credo (CRDO) One of the Must-Buy AI Stocks to Invest In?

Group 1 - Credo Technology Group Holding Ltd (NASDAQ:CRDO) is recognized as a must-buy AI stock, with BofA recently lowering its price target from $240 to $200 while maintaining a Buy rating [1][2] - The year 2026 is identified as a pivotal point in a long-term process (8-10 years) for upgrading IT systems to support faster AI tasks, driven by the demand for more powerful AI capabilities [2] - BofA analysts highlight that while there are challenges related to AI investment returns and hyperscaler cash flows, there are also positive factors such as advancements in large language models and the emergence of specialized AI factories that could increase demand for companies like Credo [3] Group 2 - Barclays also maintains a Buy rating on Credo with a price target of $220, citing optimism about the company's potential to capture market share as hyperscalers expand their AI factories and upgrade data centers [4] - Credo is a semiconductor company that specializes in high-speed connectivity solutions for data infrastructure, offering a range of optical and electrical interconnect products that facilitate efficient data transfer within AI data centers [5]