Penguin Solutions (NASDAQ:PENG) Stock Price Up 4.7% – Should You Buy?

Penguin Solutions (NASDAQ:PENG)’s stock price shot up 4.7% during mid-day trading on Monday . The company traded as high as $19.56 and last traded at $19.38. 118,460 shares were traded during trading, a decline of 89% from the average session volume of 1,045,879 shares. The stock had previously closed at $18.51.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on PENG. Citizens Jmp raised shares of Penguin Solutions to a “strong-buy” rating in a report on Monday, November 18th. JMP Securities began coverage on shares of Penguin Solutions in a research note on Monday, November 18th. They set an “outperform” rating and a $23.00 target price for the company. Barclays reduced their target price on shares of Penguin Solutions from $27.00 to $22.00 and set an “overweight” rating for the company in a report on Wednesday, October 16th. Stifel Nicolaus dropped their price target on Penguin Solutions from $32.00 to $27.00 and set a “buy” rating on the stock in a report on Wednesday, October 16th. Finally, The Goldman Sachs Group started coverage on Penguin Solutions in a research report on Friday, November 1st. They set a “buy” rating and a $21.00 price objective for the company. Six research analysts have rated the stock with a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Buy” and an average price target of $24.17.

Penguin Solutions Price Performance

The company has a debt-to-equity ratio of 1.65, a quick ratio of 2.19 and a current ratio of 2.65. The stock has a market cap of $1.04 billion, a price-to-earnings ratio of -19.47 and a beta of 1.74. The company’s fifty day moving average is $17.65.

Penguin Solutions (NASDAQ:PENG) last posted its quarterly earnings data on Tuesday, October 15th. The company reported $0.23 earnings per share for the quarter, missing the consensus estimate of $0.27 by ($0.04). The firm had revenue of $311.15 million for the quarter, compared to analysts’ expectations of $325.00 million. Penguin Solutions had a positive return on equity of 8.05% and a negative net margin of 4.48%. As a group, equities research analysts predict that Penguin Solutions will post 1.33 EPS for the current fiscal year.

Insider Activity at Penguin Solutions

In related news, COO Jack A. Pacheco sold 13,334 shares of the business’s stock in a transaction that occurred on Monday, December 9th. The shares were sold at an average price of $20.05, for a total transaction of $267,346.70. Following the transaction, the chief operating officer now directly owns 235,960 shares of the company’s stock, valued at approximately $4,730,998. The trade was a 5.35 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Joseph Gates Clark sold 2,264 shares of the company’s stock in a transaction that occurred on Thursday, November 14th. The shares were sold at an average price of $17.50, for a total transaction of $39,620.00. Following the completion of the transaction, the insider now owns 95,999 shares in the company, valued at approximately $1,679,982.50. This represents a 2.30 % decrease in their position. The disclosure for this sale can be found here. 2.40% of the stock is owned by insiders.

Penguin Solutions Company Profile

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.