Line an 8x8-inch baking dish with parchment paper, leaving some overhang for easy removal.

In a large saucepan over medium heat, combine sugar, corn syrup, heavy cream, and milk. Stir until all the sugar is completely dissolved.

Bring the mixture to a boil, without stirring. Cook until the temperature reaches 234 degrees F (soft ball stage) on a candy thermometer.

Once it reaches the right temperature, remove the saucepan from the heat and add in the room temperature butter. Stir until fully melted.

Let the mixture cool undisturbed to 110-120 degrees F (about an hour).

Using a hand mixer on low speed, beat the mixture until it thickens and becomes cloudy.

Gently fold in 3/4 cup of shredded coconut and the vanilla extract until well combined.

Pour the mixture into the prepared pan and spread it evenly. Top with the remaining shredded coconut.

Let it sit at room temperature until firm, about 2 hours.

Once set, lift the fudge out using the parchment overhang, cut into squares, and indulge.