Core Insights - Credo Technology Group Holding Ltd has launched its 224G PAM4 SerDes Intellectual Property (IP) using TSMC's N3 technology, marking a significant advancement in data transmission capabilities [1][9] - The transition to 224G PAM4 per lane doubles data rates compared to the previous 112G PAM4, facilitating the development of 1.6Tbps connectivity solutions that reduce complexity, cost, and power consumption [2][9] - The 1.6T networking market is projected to reach $13 billion by 2028, with adoption expected to ramp up by the end of this year, indicating strong market potential for Credo's offerings [3] Product Offerings - Credo's diverse portfolio includes SerDes IP ranging from 28G to 224G, with various reach options such as long reach plus (LR+), long reach (LR), medium reach (MR), and very short reach plus (VSR) [4] - The introduction of the Bluebird DSP, a low-power solution for 1.6Tbps optical transceivers, supports 224Gbps per lane PAM4 data transmission while operating under 20 watts, making it suitable for AI and hyperscale data centers [6] Financial Projections - For fiscal 2026, Credo anticipates mid-single-digit sequential revenue growth, leading to an estimated 120% year-over-year increase, with revenues expected to exceed $800 million [7] - The company projects a non-GAAP net margin of around 40% for the upcoming quarters and fiscal 2026, indicating strong profitability potential [7] Market Performance - Credo currently holds a Zacks Rank 1 (Strong Buy), with its shares having surged 232.3% over the past six months, significantly outperforming the Zacks Electronics-Semiconductors industry's growth of 61.1% [8]