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

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

Several other research firms also recently issued reports on PENG. Citigroup reiterated an “outperform” rating on shares of Penguin Solutions in a research note on Wednesday, July 8th. Wall Street Zen downgraded shares of Penguin Solutions from a “strong-buy” rating to a “buy” rating in a research note on Sunday, July 26th. Rosenblatt Securities lifted their target price on shares of Penguin Solutions from $65.00 to $75.00 and gave the company a “buy” rating in a report on Monday, July 6th. Weiss Ratings raised shares of Penguin Solutions from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, July 8th. Finally, Stifel Nicolaus increased their price target on Penguin Solutions from $66.00 to $75.00 and gave the company a “buy” rating in a report on Wednesday, July 8th. Six equities research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $63.33.

Penguin Solutions Stock Performance

Penguin Solutions stock opened at $51.30 on Monday. The company has a market cap of $2.63 billion, a price-to-earnings ratio of 36.38 and a beta of 2.86. Penguin Solutions has a 12 month low of $16.04 and a 12 month high of $89.86. The company has a debt-to-equity ratio of 0.65, a current ratio of 1.54 and a quick ratio of 1.10. The stock’s 50-day moving average is $58.07 and its 200-day moving average is $44.63.

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

Insider Buying and Selling

In related news, SVP Joseph Clark sold 1,327 shares of Penguin Solutions stock in a transaction 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 sale, the senior vice president owned 63,056 shares of the company’s stock, valued at $3,623,828.32. The trade was a 2.06% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Anne Kuykendall sold 4,000 shares of Penguin Solutions stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $64.38, for a total value of $257,520.00. Following the sale, the senior vice president directly owned 120,794 shares in the company, valued at approximately $7,776,717.72. The trade was a 3.21% 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. In the last 90 days, insiders sold 9,327 shares of company stock valued at $536,103. 2.90% of the stock is owned by company insiders.

Hedge Funds Weigh In On Penguin Solutions

A number of institutional investors have recently made changes to their positions in PENG. William Blair Investment Management LLC acquired a new stake in shares of Penguin Solutions in the 4th quarter worth about $18,290,000. Maverick Capital Ltd. acquired a new position in Penguin Solutions during the 1st quarter valued at about $771,000. California State Teachers Retirement System grew its position in Penguin Solutions by 52.8% in the 1st quarter. California State Teachers Retirement System now owns 74,580 shares of the company’s stock worth $1,313,000 after purchasing an additional 25,763 shares during the last quarter. Fisher Asset Management LLC bought a new position in Penguin Solutions in the 4th quarter worth about $716,000. Finally, Pacer Advisors Inc. grew its position in Penguin Solutions by 34.0% in the 1st quarter. Pacer Advisors Inc. now owns 261,776 shares of the company’s stock worth $4,607,000 after purchasing an additional 66,460 shares during 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.