Penguin Solutions (NASDAQ:PENG) Stock Jumps 4.2% Following Analyst Upgrade

Penguin Solutions, Inc. (NASDAQ:PENG) shares were up 4.2% during trading on Monday after Zacks Research upgraded the stock from a hold rating to a strong-buy rating. The stock traded as high as $80.10 and last traded at $79.47. 2,301,254 shares traded hands during mid-day trading, a decline of 8% from the average daily volume of 2,494,623 shares. The stock had previously closed at $76.28.

A number of other equities research analysts have also recently issued reports on PENG. Barclays boosted their target price on shares of Penguin Solutions from $40.00 to $60.00 and gave the company an “underweight” rating in a report on Wednesday, October 7th. Wall Street Zen downgraded Penguin Solutions from a “strong-buy” rating to a “buy” rating in a research report on Sunday, July 26th. Bank of America began coverage on Penguin Solutions in a report on Friday, October 9th. They issued a “buy” rating and a $100.00 price target for the company. Deutsche Bank Aktiengesellschaft set a $100.00 price target on Penguin Solutions in a research report on Friday. Finally, Needham & Company LLC boosted their price objective on Penguin Solutions from $80.00 to $85.00 and gave the company a “buy” rating in a research note on Wednesday, October 7th. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $87.50.

Insider Transactions at Penguin Solutions

In other news, SVP Anne Kuykendall sold 4,000 shares of the stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $50.58, for a total value of $202,320.00. Following the sale, the senior vice president directly owned 112,994 shares of the company’s stock, valued at approximately $5,715,236.52. This represents a 3.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Joseph Clark sold 1,327 shares of the firm’s stock in a transaction that occurred 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 trade represents a 2.06% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 2.90% of the company’s stock.

Institutional Trading of Penguin Solutions

Several institutional investors and hedge funds have recently bought and sold shares of PENG. Global Retirement Partners LLC purchased a new position in shares of Penguin Solutions during the 2nd quarter valued at $26,000. Allworth Financial LP bought a new position in shares of Penguin Solutions in the second quarter worth $37,000. Nykredit A S bought a new position in shares of Penguin Solutions in the second quarter worth $42,000. Polaris Financial Partners bought a new position in shares of Penguin Solutions in the third quarter worth $50,000. Finally, Public Employees Retirement System of Ohio purchased a new stake in shares of Penguin Solutions in the second quarter worth $74,000.

Penguin Solutions Stock Down 1.2%

The company has a quick ratio of 1.25, a current ratio of 1.88 and a debt-to-equity ratio of 1.37. The company has a market cap of $4.01 billion, a PE ratio of 32.98, a P/E/G ratio of 0.94 and a beta of 2.86. The stock has a 50-day moving average of $56.11 and a 200-day moving average of $51.60.

Penguin Solutions (NASDAQ:PENG) last posted its quarterly earnings data on Tuesday, October 6th. The company reported $1.00 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.77 by $0.23. Penguin Solutions had a return on equity of 36.71% and a net margin of 10.43%. The company had revenue of $566.68 million during the quarter, compared to analyst estimates of $520.99 million. During the same quarter last year, the company earned $0.11 earnings per share. Penguin Solutions has set its FY 2027 guidance at 3.750-5.15 EPS. Sell-side analysts predict that Penguin Solutions, Inc. will post 4.05 earnings per share for the current fiscal year.

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.