10 Worst High-Risk High-Reward Growth Stocks To Buy

6. Credo Technology Group Holding Ltd (NASDAQ:CRDO)

Beta (5Y Monthly): 2.16

3-Year Sales Growth: 54.56%

Number of Hedge Fund Holders: 43

Analyst Upside Potential: 79.71%

Credo Technology Group Holding Ltd (NASDAQ:CRDO) is a technology company specializing in high-speed connectivity solutions for data infrastructure markets, it mainly focuses on overcoming bandwidth limitations in wired connections. It does so by developing optical and electrical Ethernet solutions optimized for high-speed data transmission, including emerging standards like 100G, 200G, 400G, 800G, and 1.6T ports.

On March 12, Tore Svanberg from Stifel Nicolaus maintained a Buy rating on the stock, with a price target of $85.00. During the fiscal third quarter of 2025, the company reached $135 million in revenue, reflecting a 154% year-over-year increase, driven by demand from AI platforms and hyperscale customers. Moreover, Credo Technology Group Holding Ltd (NASDAQ:CRDO) also reported an improved gross margin of 63.8%, reflecting strong operational efficiency.

The company is expanding its portfolio to include PCIe products, targeting AI scale-out networks. Moreover, its ZeroFlap AECs have set benchmarks in reliability, providing over 100x better performance than laser-based optical solutions. Looking ahead, Credo Technology Group Holding Ltd (NASDAQ:CRDO) is positioned for continued growth as it scales its customer base across hyperscalers and expands into new markets like PCIe retimers. It is one of the worst high-risk high-reward growth stocks to buy.