Rosenblatt Securities Reaffirms Buy Rating for Penguin Solutions (NASDAQ:PENG)

Penguin Solutions (NASDAQ:PENG)‘s stock had its “buy” rating reissued by analysts at Rosenblatt Securities in a report released on Friday, Benzinga reports. They presently have a $80.00 target price on the stock. Rosenblatt Securities’ target price suggests a potential upside of 34.81% from the company’s previous close.

A number of other brokerages have also commented on PENG. Stifel Nicolaus lifted their price target on Penguin Solutions from $66.00 to $75.00 and gave the company a “buy” rating in a research note on Wednesday, July 8th. Barclays lowered Penguin Solutions from an “equal weight” rating to an “underweight” rating and set a $40.00 price target on the stock. in a research report on Monday, July 20th. Wall Street Zen lowered Penguin Solutions from a “strong-buy” rating to a “buy” rating in a report on Sunday, July 26th. Zacks Research downgraded Penguin Solutions from a “strong-buy” rating to a “hold” rating in a report on Monday, September 7th. Finally, Citigroup reiterated an “outperform” rating on shares of Penguin Solutions in a research note on Wednesday, July 8th. Six research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Penguin Solutions currently has a consensus rating of “Moderate Buy” and an average price target of $64.17.

Penguin Solutions Price Performance

PENG opened at $59.34 on Friday. The company has a market cap of $3.04 billion, a P/E ratio of 41.78 and a beta of 2.86. Penguin Solutions has a 52-week low of $16.04 and a 52-week high of $89.86. The company has a 50 day moving average of $53.08 and a two-hundred day moving average of $48.63. The company has a quick ratio of 1.10, a current ratio of 1.54 and a debt-to-equity ratio of 0.65.

Penguin Solutions (NASDAQ:PENG) last announced its earnings results on Tuesday, July 7th. The company reported $0.84 EPS for the quarter, topping the consensus estimate of $0.63 by $0.21. Penguin Solutions had a net margin of 6.44% and a return on equity of 28.23%. The company had revenue of $478.71 million during the quarter, compared to analysts’ expectations of $407.47 million. During the same period last year, the company posted $0.52 earnings per share. On average, analysts expect that Penguin Solutions will post 2.08 earnings per share for the current year.

Insider Buying and Selling

In other news, SVP Anne Kuykendall sold 4,000 shares of the 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 transaction, the senior vice president owned 112,994 shares of the company’s stock, valued at $5,715,236.52. This represents a 3.42% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 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 dated Thursday, July 23rd. The shares were sold at an average price of $57.47, for a total transaction of $76,262.69. Following the transaction, the senior vice president owned 63,056 shares in the company, 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. Insiders own 2.90% of the company’s stock.

Institutional Trading of Penguin Solutions

Several large investors have recently added to or reduced their stakes in PENG. BlackRock Inc. acquired a new stake in Penguin Solutions in the 2nd quarter valued at about $581,658,000. Barrow Hanley Mewhinney & Strauss LLC purchased a new stake in shares of Penguin Solutions in the second quarter worth about $150,192,000. Paradigm Capital Management Inc. NY lifted its holdings in Penguin Solutions by 73.8% during the 1st quarter. Paradigm Capital Management Inc. NY now owns 1,605,100 shares of the company’s stock worth $28,250,000 after buying an additional 681,700 shares during the last quarter. Kennedy Capital Management LLC increased its position in Penguin Solutions by 11.7% in the 4th quarter. Kennedy Capital Management LLC now owns 1,108,336 shares of the company’s stock valued at $21,679,000 after acquiring an additional 116,168 shares during the period. Finally, William Blair Investment Management LLC bought a new stake in shares of Penguin Solutions during the 2nd quarter worth $34,207,000.

Penguin Solutions Company Profile

Penguin Solutions, Inc provides intelligent infrastructure solutions for artificial intelligence, high-performance computing, enterprise data centers and other demanding technology environments. The company combines specialized hardware, software and professional services to help organizations design, deploy and manage complex computing infrastructure.

Its offerings include AI and high-performance computing systems, servers, storage and networking infrastructure, as well as software and services for infrastructure management, optimization and support.