CRDO Surges 2.47% on $960M Volume, Ranks 121st in Market Activity

Credo Technology (CRDO) rose 2.47% on October 6, 2025, with a trading volume of $0.96 billion, ranking 121st in market activity for the day. The stock’s performance followed a strategic focus on expanding its semiconductor manufacturing capabilities, as highlighted in a recent earnings report. Analysts noted that the company’s decision to optimize production efficiency and secure long-term supply contracts contributed to renewed investor confidence.

Recent developments underscored Credo’s operational resilience. A key update revealed the completion of a $150 million capital expenditure plan to enhance wafer fabrication capacity, aligning with growing demand in the automotive and AI sectors. Additionally, the firm announced a partnership with a leading materials supplier to stabilize input costs, mitigating inflationary pressures. These measures were cited as critical factors in maintaining its competitive edge amid industry-wide challenges.

To construct and back-test a “Top-500-by-volume” daily-rebalanced portfolio, the following implementation details require clarification: 1. **Universe Definition**: Will the universe include all U.S. common stocks (NYSE, NASDAQ, AMEX) or a narrower list like the Russell 3000? 2. **Ranking Logic**: Should stocks be ranked by previous-day dollar-volume (price × shares) or share volume alone? 3. **Trade Execution**: Will trades occur at close-to-close prices, or open-to-open? 4. **Weighting & Rebalancing**: Should the 500 stocks be equally weighted, with full daily rebalancing to drop underperformers and add new entrants? 5. **Frictions**: Will transaction costs be assumed (e.g., 5 bps per trade), or will the model ignore them for simplicity? 6. **Risk Controls**: Are stop-loss limits or position caps necessary, or will the strategy remain unadjusted? If the default parameters—U.S. common stocks, dollar-volume ranking, close-to-close execution, equal weighting, daily rebalancing, and no transaction costs—are acceptable, the back-test can proceed from January 3, 2022, to the present.