Penguin Solutions (NASDAQ:PENG) Sets New 52-Week High – Should You Buy?

Penguin Solutions, Inc. (NASDAQ:PENG)’s stock price hit a new 52-week high during mid-day trading on Friday . The company traded as high as $53.40 and last traded at $53.0590, with a volume of 1560184 shares trading hands. The stock had previously closed at $48.81.

Analysts Set New Price Targets

PENG has been the topic of a number of recent analyst reports. Wall Street Zen raised shares of Penguin Solutions from a “hold” rating to a “buy” rating in a research note on Sunday, May 17th. Needham & Company LLC lifted their price objective on shares of Penguin Solutions from $25.00 to $27.00 and gave the company a “buy” rating in a research note on Thursday, April 2nd. Rosenblatt Securities reissued a “buy” rating and issued a $30.00 price objective on shares of Penguin Solutions in a research note on Monday, March 30th. Zacks Research raised shares of Penguin Solutions from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, April 7th. Finally, Stifel Nicolaus decreased their price objective on shares of Penguin Solutions from $27.00 to $24.00 and set a “buy” rating on the stock in a research note on Thursday, April 2nd. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $27.25.

Penguin Solutions Trading Up 9.0%

The company has a market cap of $2.70 billion, a price-to-earnings ratio of 73.95 and a beta of 2.66. The business’s fifty day moving average price is $27.99 and its 200 day moving average price is $22.73. The company has a debt-to-equity ratio of 1.09, a current ratio of 2.10 and a quick ratio of 1.55.

Penguin Solutions (NASDAQ:PENG) last issued its quarterly earnings results on Wednesday, April 1st. The company reported $0.52 EPS for the quarter, topping analysts’ consensus estimates of $0.43 by $0.09. The company had revenue of $343.00 million for the quarter, compared to analyst estimates of $339.00 million. Penguin Solutions had a net margin of 4.07% and a return on equity of 19.94%. Research analysts anticipate that Penguin Solutions, Inc. will post 1.66 earnings per share for the current fiscal year.

Insider Activity

In other Penguin Solutions news, SVP Anne Kuykendall sold 4,000 shares of Penguin Solutions stock in a transaction on Monday, March 16th. The shares were sold at an average price of $17.75, for a total value of $71,000.00. Following the completion of the sale, the senior vice president directly owned 131,352 shares of the company’s stock, valued at approximately $2,331,498. The trade was a 2.96% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Sandeep Nayyar sold 12,893 shares of Penguin Solutions stock in a transaction on Monday, May 11th. The shares were sold at an average price of $45.09, for a total transaction of $581,345.37. Following the completion of the sale, the director directly owned 32,524 shares of the company’s stock, valued at approximately $1,466,507.16. This trade represents a 28.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 68,769 shares of company stock worth $2,473,051 over the last ninety days. Corporate insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On Penguin Solutions

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Allworth Financial LP increased its position in shares of Penguin Solutions by 41.4% during the third quarter. Allworth Financial LP now owns 1,792 shares of the company’s stock worth $47,000 after acquiring an additional 525 shares in the last quarter. Osaic Holdings Inc. increased its position in shares of Penguin Solutions by 20.8% during the second quarter. Osaic Holdings Inc. now owns 3,583 shares of the company’s stock worth $71,000 after acquiring an additional 617 shares in the last quarter. Covestor Ltd increased its position in shares of Penguin Solutions by 4.7% during the fourth quarter. Covestor Ltd now owns 15,535 shares of the company’s stock worth $304,000 after acquiring an additional 695 shares in the last quarter. M&T Bank Corp increased its position in shares of Penguin Solutions by 7.0% during the fourth quarter. M&T Bank Corp now owns 10,851 shares of the company’s stock worth $212,000 after acquiring an additional 706 shares in the last quarter. Finally, Optimize Financial Inc increased its position in shares of Penguin Solutions by 1.5% during the fourth quarter. Optimize Financial Inc now owns 56,354 shares of the company’s stock worth $1,102,000 after acquiring an additional 808 shares in the last quarter.

About Penguin Solutions

Penguin Solutions, Inc engages in the designing and development of enterprise solutions worldwide. It operates through three segments: Advanced Computing, Integrated Memory, and Optimized LED. It offers dynamic random access memory modules, solid-state and flash storage, and other advanced integrated memory solutions for networking and telecom, data analytics, artificial intelligence and machine learning applications; and supply chain services, including procurement, logistics, inventory management, temporary warehousing, programming, kitting, and packaging services.