Penguin Solutions (NASDAQ:PENG) Shares Gap Down – Here’s What Happened

Penguin Solutions, Inc. (NASDAQ:PENG)’s stock price gapped down prior to trading on Monday . The stock had previously closed at $51.16, but opened at $47.21. Penguin Solutions shares last traded at $48.2230, with a volume of 191,129 shares trading hands.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on the stock. Rosenblatt Securities lifted their price target on shares of Penguin Solutions from $65.00 to $75.00 and gave the stock a “buy” rating in a research note on Monday, July 6th. Zacks Research downgraded shares of Penguin Solutions from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 7th. Stifel Nicolaus raised their price objective on shares of Penguin Solutions from $66.00 to $75.00 and gave the company a “buy” rating in a report on Wednesday, July 8th. Needham & Company LLC lifted their price objective on shares of Penguin Solutions from $60.00 to $80.00 and gave the stock a “buy” rating in a research report on Wednesday, July 8th. Finally, Barclays downgraded shares of Penguin Solutions from an “equal weight” rating to an “underweight” rating and set a $40.00 target price for the company. in a research note on Monday, July 20th. Six equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $63.33.

Penguin Solutions Price Performance

The stock has a fifty day moving average of $57.25 and a 200-day moving average of $45.29. The company has a quick ratio of 1.10, a current ratio of 1.54 and a debt-to-equity ratio of 0.65. The stock has a market capitalization of $2.43 billion, a price-to-earnings ratio of 33.58 and a beta of 2.86.

Penguin Solutions (NASDAQ:PENG) last released its quarterly earnings data on Tuesday, July 7th. The company reported $0.84 earnings per share for the quarter, topping analysts’ consensus estimates of $0.63 by $0.21. The company had revenue of $478.71 million for the quarter, compared to analysts’ expectations of $407.47 million. Penguin Solutions had a net margin of 6.44% and a return on equity of 28.23%. During the same quarter last year, the company earned $0.52 earnings per share. On average, equities research analysts predict that Penguin Solutions, Inc. will post 2.08 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, SVP Anne Kuykendall sold 4,000 shares of the business’s stock in a transaction on Monday, August 24th. The shares were sold at an average price of $50.58, for a total value of $202,320.00. Following the completion of the sale, the senior vice president directly owned 112,994 shares of the company’s stock, valued at $5,715,236.52. The trade was a 3.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Joseph Clark sold 1,327 shares of the company’s stock in a transaction on Thursday, July 23rd. The shares were sold at an average price of $57.47, for a total transaction of $76,262.69. Following the completion of the transaction, the senior vice president owned 63,056 shares of the company’s stock, valued at $3,623,828.32. This represents a 2.06% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 2.90% of the company’s stock.

Institutional Trading of Penguin Solutions

Hedge funds and other institutional investors have recently made changes to their positions in the company. Global Retirement Partners LLC acquired a new stake in shares of Penguin Solutions during the second quarter worth $26,000. Allworth Financial LP purchased a new position in Penguin Solutions in the 2nd quarter valued at $37,000. Nykredit A S acquired a new position in Penguin Solutions in the 2nd quarter valued at $42,000. Osaic Holdings Inc. increased its stake in Penguin Solutions by 20.8% in the 2nd quarter. Osaic Holdings Inc. now owns 3,583 shares of the company’s stock valued at $71,000 after buying an additional 617 shares during the period. Finally, Covestor Ltd raised its position in Penguin Solutions by 4.7% during the 4th quarter. Covestor Ltd now owns 15,535 shares of the company’s stock worth $304,000 after buying an additional 695 shares during the last quarter.

Penguin Solutions Company Profile

Penguin Solutions, Inc (NASDAQ: PENG) provides technology solutions for data centers, high-performance computing, artificial intelligence, and intelligent edge applications. The company helps organizations design, deploy, and manage specialized computing environments, including systems used for demanding workloads such as scientific research, machine learning, and enterprise applications.

Its offerings include accelerated computing platforms, high-performance servers and clusters, software and services for managing complex computing infrastructure, and memory and storage products.