Credo Technology Group Holding Ltd (CRDO) experienced a significant after-hours plunge of 11.09% on Monday, following the release of its fiscal fourth-quarter financial results.

The connectivity solutions provider reported quarterly adjusted earnings of $1.16 per share, surpassing the analyst consensus estimate of $1.03. Revenue for the quarter reached $437 million, also exceeding expectations of $432 million and representing a year-over-year increase of over 150%.

Despite the earnings beat, the stock faced heavy selling pressure in extended trading. Analysis suggests the decline was driven by profit-taking activity following a substantial multi-day rebound in the stock's price. Furthermore, while the company provided first-quarter revenue guidance of $465 million to $475 million, which was above analyst estimates, the outlook reportedly failed to fully impress investors, with some noting a slowdown in year-over-year and sequential growth rates compared to the previous quarter.