$CRDO down 20% today despite beating earnings—revenue $479M, up 115%, seventh straight quarter of triple-digit growth. Next quarter guided $525-535M vs Street's $516M. The selloff is margin compression (64.5% gross margin) and doubled spending, not demand weakness. Demand just accelerated.
47% off 52-week high, now 22x forward for a company doubling revenue. AI networking buildout has 500+ days to compound through the noise.
LEAP setup: Buy the $150 call expiring Jan 2028 for ~$68.50 per contract (~$6,850 total). Same directional exposure as 100 shares ($16,394) but 58% less capital.
Breakeven: $218.50
If $CRDO hits $250: LEAP returns ~46%
If $CRDO hits $308 (52-week high): LEAP returns ~132%
If $CRDO hits $350: LEAP returns ~192% vs 113% on shares
Max loss is the full premium ($6,850). LEAPs are leveraged—can lose value fast if stock drops or stays flat. Only size what you can afford to lose entirely. This is a selective add-on for high-conviction setups, not a replacement for owning shares.
47% off 52-week high, now 22x forward for a company doubling revenue. AI networking buildout has 500+ days to compound through the noise.
LEAP setup: Buy the $150 call expiring Jan 2028 for ~$68.50 per contract (~$6,850 total). Same directional exposure as 100 shares ($16,394) but 58% less capital.
Breakeven: $218.50
If $CRDO hits $250: LEAP returns ~46%
If $CRDO hits $308 (52-week high): LEAP returns ~132%
If $CRDO hits $350: LEAP returns ~192% vs 113% on shares
Max loss is the full premium ($6,850). LEAPs are leveraged—can lose value fast if stock drops or stays flat. Only size what you can afford to lose entirely. This is a selective add-on for high-conviction setups, not a replacement for owning shares.
