capexScore 35/100Add to thesis
Credo expects 80%+ total revenue growth in FY2027, with ~50% of absolute dollar growth from optical portfolio and ~50% from AEC/copper products; optical growth rate >80% YoY across all three segments (DSP, PIC, ZeroFlap)
Bill Brennan· Credo Technology· AI· 2026-06-01· about Credo Technology (CRDO)
“About half of that growth in absolute dollars is coming from our optical portfolio. And about half of that is coming from our existing copper portfolio... each 1 of these categories independently is going to grow more than 80% year over year.”
Why it matters
Credo's 80%+ growth projection indicates sustained high capex from hyperscalers and Neo Clouds for AI infrastructure. This signals broad-based demand for interconnect infrastructure across multiple product categories.
Investment implication
Infrastructure suppliers across the stack—from copper interconnects to optical components, silicon photonics, and signal processors—should expect sustained >80% growth in AI-related segments. This validates a multi-generational capex cycle in data center networking.