Penguin Solutions (NASDAQ:PENG) Stock Rating Lowered by Zacks Research

Penguin Solutions (NASDAQ:PENG) was downgraded by stock analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Other equities research analysts have also recently issued research reports about the company. Weiss Ratings cut Penguin Solutions from a “hold (c)” rating to a “hold (c-)” rating in a research note on Wednesday, May 13th. Stifel Nicolaus increased their target price on shares of Penguin Solutions from $24.00 to $66.00 and gave the company a “buy” rating in a report on Tuesday. Rosenblatt Securities raised their price target on shares of Penguin Solutions from $54.00 to $65.00 and gave the company a “buy” rating in a research report on Tuesday. Needham & Company LLC upped their price objective on shares of Penguin Solutions from $25.00 to $27.00 and gave the stock a “buy” rating in a research report on Thursday, April 2nd. Finally, Barclays lowered shares of Penguin Solutions from an “overweight” rating to an “equal weight” rating and increased their price objective for the company from $23.00 to $27.00 in a research note on Wednesday, April 22nd. Six equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, Penguin Solutions has a consensus rating of “Moderate Buy” and a consensus target price of $36.88.

Penguin Solutions Trading Up 18.3%

NASDAQ PENG opened at $70.65 on Monday. The stock has a market capitalization of $3.59 billion, a P/E ratio of 98.13 and a beta of 2.89. The business has a 50 day simple moving average of $33.21 and a 200 day simple moving average of $24.37. 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 has a one year low of $16.04 and a one year high of $73.24.

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

Insider Buying and Selling at Penguin Solutions

In related news, SVP Anne Kuykendall sold 4,000 shares of Penguin Solutions stock in a transaction that occurred 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 transaction, the senior vice president directly owned 131,352 shares in the company, valued at approximately $2,331,498. The trade was a 2.96% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Maximiliane C. Straub sold 8,000 shares of the stock in a transaction on Monday, May 11th. The stock was sold at an average price of $45.00, for a total value of $360,000.00. Following the sale, the director owned 58,975 shares in the company, valued at approximately $2,653,875. This represents a 11.94% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 83,120 shares of company stock valued at $3,300,214 in the last quarter. Corporate insiders own 2.90% of the company’s stock.

Institutional Trading of Penguin Solutions

Institutional investors have recently added to or reduced their stakes in the stock. William Blair Investment Management LLC purchased a new position in Penguin Solutions during the 4th quarter valued at about $18,290,000. Fisher Asset Management LLC purchased a new stake in shares of Penguin Solutions in the fourth quarter worth about $716,000. State of Alaska Department of Revenue boosted its position in shares of Penguin Solutions by 98.3% in the fourth quarter. State of Alaska Department of Revenue now owns 47,576 shares of the company’s stock valued at $930,000 after acquiring an additional 23,582 shares during the period. Kennedy Capital Management LLC boosted its position in shares of Penguin Solutions by 31.9% in the third quarter. Kennedy Capital Management LLC now owns 992,168 shares of the company’s stock valued at $26,074,000 after acquiring an additional 240,159 shares during the period. Finally, Barclays PLC grew its stake in Penguin Solutions by 46.9% during the third quarter. Barclays PLC now owns 1,055,189 shares of the company’s stock valued at $27,730,000 after acquiring an additional 336,644 shares in the last quarter.

Trending Headlines about Penguin Solutions

Here are the key news stories impacting Penguin Solutions this week:

• Positive Sentiment: Penguin Solutions lifted FY2026 guidance, now expecting EPS of $2.30 and revenue of about $1.6 billion, both above consensus estimates. MarketWatch: Penguin Solutions Names Johnson Interim CFO; Boosts FY Outlook
• Positive Sentiment: The company said business trends remain strong enough that it expects to land at the high end of its prior outlook, which fueled fresh buying and helped push the stock to new highs. Seeking Alpha: Penguin soars as company expects to hit high end of guidance; announces CFO transition
• Positive Sentiment: Rosenblatt raised its price target on PENG from $54 to $65 and reiterated a Buy rating, adding to the bullish tone around the stock. Benzinga report on Rosenblatt price target raise
• Neutral Sentiment: The company named Aaron Johnson interim CFO after Nate Olmstead said he will step down in July; management said the move was not due to disagreements, which helped limit concerns about the transition. Business Wire: Penguin Solutions Announces CFO Transition
• Neutral Sentiment: One insider sale was disclosed by SVP Joseph Gates Clark, who sold shares under a pre-arranged 10b5-1 plan; while not necessarily a negative signal, insider selling can still get investor attention. SEC Form 4 filing
• Negative Sentiment: Some commentary suggests the stock has already had a very strong run, with valuation and recent gains making further upside less certain for some investors. Zacks: PENG Soars 215% in 3 Months

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.