Highlights

  • Credo Technology shares rise sharply in after-hours trade following Q2 results.
  • Revenue for Q2 2026 jumps 272% year-over-year, beating market expectations.
  • Management cites “the strongest quarterly results in Credo’s history.”

Credo Technology (NASDAQ:CRDO) saw its shares reverse course in after-hours trade following the release of its second-quarter 2026 financial results. The stock had ended regular trading hours with a 3.6% decline. However, sentiment shifted after the company reported numbers that exceeded market expectations on both revenue and earnings.

As of 7:12 p.m. ET, Credo shares were up 15.1% from their closing price of USD 171.13. The move came as the company opened the new month with what it described as a record performance.

Revenue and Earnings Outpace Analyst Estimates

Credo reported Q2 2026 revenue of USD 268 million. This marked a 272% increase compared with the same period last year. Analysts had expected revenue of USD 235 million. The stronger top-line result reflected demand from artificial intelligence (AI) applications and continued expansion of data infrastructure.

The company also delivered better-than-expected results on the earnings front. Diluted earnings per share came in at USD 0.67. Analysts had projected diluted EPS of USD 0.50. The earnings beat supported the shift in after-hours sentiment.

Bill Brennan, CEO of Credo, said the latest figures represented “the strongest quarterly results in Credo’s history, and they reflect the continued build-out of the world's largest AI training and inference clusters.”

Forward Guidance for Q3 2026

Credo issued revenue guidance for the third quarter of 2026 in the range of USD 335 million to USD 345 million. If the company reaches the midpoint of this forecast, it would reflect year-over-year revenue growth of about 152%. The company did not provide additional detail on margins or expected expenses for the quarter.

With the earnings release completed and the after-hours reaction now visible, the Q2 numbers mark a notable shift from the stock’s earlier decline during regular trading hours.