Why Credo Technology Group (CRDO) is Poised to Beat Earnings Estimates Again

Core Viewpoint - Credo Technology Group Holding Ltd. (CRDO) has consistently beaten earnings estimates and is well-positioned for future earnings surprises, particularly with an average surprise of 42.65% over the last two quarters [1][5]. Earnings Performance - For the last reported quarter, Credo Technology Group achieved earnings of $0.67 per share, exceeding the Zacks Consensus Estimate of $0.49 per share, resulting in a surprise of 36.73% [2]. - In the previous quarter, the company was expected to report earnings of $0.35 per share but delivered $0.52 per share, leading to a surprise of 48.57% [2]. Earnings Estimates and Predictions - Estimates for Credo Technology Group have been trending higher, influenced by its history of earnings surprises [5]. - The company currently has a positive Zacks Earnings ESP (Expected Surprise Prediction) of +13.27%, indicating bullish sentiment among analysts regarding its near-term earnings potential [8]. - The combination of a positive Earnings ESP and a Zacks Rank 1 (Strong Buy) suggests a high likelihood of another earnings beat in the upcoming report, expected on March 2, 2026 [8]. Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6]. - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7].