Credo Technology Group Holding Ltd
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$96.90
Market Price
$220.01
Overvalued By
127.0%
Method: 10-year FCF DCF: $438.6M TTM FCF base; decelerating growth 60%/40%/25% (yrs1-3), 15%/12%/10% (yrs4-6), 8%/7%/6%/5% (yrs7-10); 12% discount rate; 4% terminal growth; $738M net cash; 187.95M shares outstanding.
Reasoning: Credo is a high-growth AI/networking semiconductor supplier (165% TTM revenue growth, management guiding >85% FY2027 growth); a staged DCF tapering hypergrowth toward a 4% terminal rate better reflects its trajectory than a flat-growth model, while a 12% discount rate reflects execution and customer-concentration risk.