Credo Technology Group Holding Ltd (NASDAQ:CRDO) is one of the 10 Best Stocks to Invest In According to Billionaire Steve Cohen<\/strong>.<\/p>\n Credo Technology Group Holding Ltd (NASDAQ:CRDO) has been a staple in the 13F portfolio of Point72 Asset Management since the beginning of 2022. Back then, this holding comprised just 670,000 shares. In the coming quarters, Steve Cohen grew this into 4.8 million shares. By the first quarter of 2025, it had been increased to 6.2 million shares. After reducing the position by close to 44% in the second quarter of 2025, the fund proceeded to increase it by 15% and 17% in the third and fourth quarter of 2025 respectively. At the end of 2025, the fund owned 5.6 million shares of the company.<\/p>\n READ ALSO<\/b>: 10 Best Stocks to Buy According to Billionaire Paul Tudor Jones<\/b>.<\/p>\n Credo Technology Group Holding Ltd (NASDAQ:CRDO) has attained a dominant position in Active Electrical Cables (AECs), which have become the industry standard for connecting AI server racks. Hedge funds are thus bullish on the shares. For context, traditional copper cables fail at distances over 3 meters at high speeds, while optical fibers are too expensive and power-hungry for short-range links. Credo\u2019s AECs fill the 3\u20137 meter gap, which represents the majority of connections in a massive AI cluster. Institutional investors are also particularly bullish on Credo\u2019s ZeroFlap feature. In high-stakes GPU training, like NVIDIA\u2019s Blackwell clusters, a single link flap can crash a weeks-long training run, costing millions. Hedge funds view Credo\u2019s reliability as a toll collector requirement for hyperscalers.<\/p>\n While we acknowledge the potential of CRDO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the\u00a0best short-term AI stock<\/strong>.<\/p>\n READ NEXT: <\/b>12 Best Stocks to Buy According to Billionaire David Abrams<\/b> and <\/b>15 Best Stocks to Buy According to Billionaire Seth Klarman<\/b>.<\/p>\n<\/div>\n<\/div>