Penguin Solutions (NASDAQ:PENG) Trading Up 8.1% – Here’s Why

Penguin Solutions, Inc. (NASDAQ:PENG) shares traded up 8.1% during trading on Thursday . The stock traded as high as $65.88 and last traded at $64.5070. 398,247 shares were traded during trading, a decline of 80% from the average session volume of 1,965,846 shares. The stock had previously closed at $59.68.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the company. Zacks Research lowered Penguin Solutions from a “strong-buy” rating to a “hold” rating in a report on Monday, June 1st. Needham & Company LLC increased their price objective on Penguin Solutions from $25.00 to $27.00 and gave the company a “buy” rating in a report on Thursday, April 2nd. Rosenblatt Securities raised their target price on Penguin Solutions from $54.00 to $65.00 and gave the stock a “buy” rating in a research note on Tuesday, June 2nd. Wall Street Zen upgraded Penguin Solutions from a “hold” rating to a “buy” rating in a research note on Sunday, May 17th. Finally, Barclays lowered Penguin Solutions from an “overweight” rating to an “equal weight” rating and raised their target price for the stock from $23.00 to $27.00 in a research note on Wednesday, April 22nd. Six research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $36.88.

Penguin Solutions Price Performance

The company has a market cap of $3.43 billion, a PE ratio of 94.19 and a beta of 2.89. The company has a debt-to-equity ratio of 1.09, a quick ratio of 1.55 and a current ratio of 2.10. The stock has a 50 day moving average of $44.22 and a 200-day moving average of $28.20.

Penguin Solutions (NASDAQ:PENG) last issued its 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 company had revenue of $343.00 million during the quarter, compared to analyst estimates of $339.00 million. Penguin Solutions had a return on equity of 19.94% and a net margin of 4.07%. Equities analysts predict that Penguin Solutions, Inc. will post 1.79 earnings per share for the current year.

Insider Buying and Selling

In other news, SVP Anne Kuykendall sold 4,000 shares of the business’s stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $54.45, for a total value of $217,800.00. Following the completion of the transaction, the senior vice president owned 124,794 shares of the company’s stock, valued at $6,795,033.30. The trade was a 3.11% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Maximiliane C. Straub sold 8,000 shares of the company’s stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $45.00, for a total value of $360,000.00. Following the completion of the sale, the director owned 58,975 shares in the company, valued at $2,653,875. The trade was a 11.94% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 83,120 shares of company stock worth $3,486,734. Corporate insiders own 2.90% of the company’s stock.

Institutional Trading of Penguin Solutions

A number of hedge funds have recently modified their holdings of PENG. Dimensional Fund Advisors LP purchased a new stake in shares of Penguin Solutions in the third quarter worth about $60,264,000. Invesco Ltd. boosted its stake in shares of Penguin Solutions by 596.8% in the fourth quarter. Invesco Ltd. now owns 1,992,415 shares of the company’s stock worth $38,972,000 after buying an additional 1,706,482 shares during the last quarter. William Blair Investment Management LLC purchased a new stake in shares of Penguin Solutions in the fourth quarter worth about $18,290,000. Ophir Asset Management Pty Ltd boosted its stake in shares of Penguin Solutions by 234.3% in the fourth quarter. Ophir Asset Management Pty Ltd now owns 1,211,612 shares of the company’s stock worth $23,699,000 after buying an additional 849,178 shares during the last quarter. Finally, Paradigm Capital Management Inc. NY boosted its stake in shares of Penguin Solutions by 73.8% in the first 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.

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.