Analysts Set Penguin Solutions, Inc. (NASDAQ:PENG) Price Target at $27.25

Shares of Penguin Solutions, Inc. (NASDAQ:PENG) have earned a consensus recommendation of “Moderate Buy” from the ten research firms that are presently covering the firm, MarketBeat Ratings reports. Four investment analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 12 month price objective among analysts that have updated their coverage on the stock in the last year is $36.8750.

Several equities research analysts have recently commented on PENG shares. Weiss Ratings downgraded shares of Penguin Solutions from a “hold (c)” rating to a “hold (c-)” rating in a research report on Wednesday, May 13th. Barclays downgraded shares of Penguin Solutions from an “overweight” rating to an “equal weight” rating and boosted their target price for the stock from $23.00 to $27.00 in a research report on Wednesday, April 22nd. Wall Street Zen raised shares of Penguin Solutions from a “hold” rating to a “buy” rating in a research report on Sunday, May 17th. Zacks Research downgraded shares of Penguin Solutions from a “strong-buy” rating to a “hold” rating in a research report on Monday. Finally, Rosenblatt Securities boosted their target price on shares of Penguin Solutions from $54.00 to $65.00 and gave the stock a “buy” rating in a research report on Tuesday.

Key Stories Impacting 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 Trading Up 18.3%

NASDAQ:PENG opened at $70.65 on Wednesday. The company has a debt-to-equity ratio of 1.09, a current ratio of 2.10 and a quick ratio of 1.55. The firm has a 50-day moving average of $33.21 and a 200-day moving average of $24.37. The company has a market cap of $3.59 billion, a PE ratio of 98.13 and a beta of 2.89. 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 earnings results on Wednesday, April 1st. The company reported $0.52 EPS for the quarter, topping the consensus estimate of $0.43 by $0.09. The company had revenue of $343.00 million during the quarter, compared to the consensus estimate of $339.00 million. Penguin Solutions had a net margin of 4.07% and a return on equity of 19.94%. As a group, equities research analysts expect that Penguin Solutions will post 1.66 EPS for the current fiscal year.

Insider Activity

In other Penguin Solutions news, SVP Anne Kuykendall sold 4,000 shares of the stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $54.45, for a total value of $217,800.00. Following the completion of the sale, the senior vice president owned 124,794 shares in the company, valued at approximately $6,795,033.30. This trade represents a 3.11% 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, Director Sandeep Nayyar sold 7,107 shares of the stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $43.48, for a total transaction of $309,012.36. Following the completion of the sale, the director owned 25,417 shares of the company’s stock, valued at approximately $1,105,131.16. This trade represents a 21.85% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 83,120 shares of company stock worth $3,300,214. Corporate insiders own 2.90% of the company’s stock.

Institutional Investors Weigh In On Penguin Solutions

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Farther Finance Advisors LLC increased its stake in Penguin Solutions by 187.0% in the 4th quarter. Farther Finance Advisors LLC now owns 1,452 shares of the company’s stock valued at $28,000 after buying an additional 946 shares during the last quarter. Kestra Advisory Services LLC purchased a new stake in Penguin Solutions in the 4th quarter valued at about $29,000. Strs Ohio purchased a new stake in Penguin Solutions in the 3rd quarter valued at about $42,000. Jones Financial Companies Lllp increased its stake in Penguin Solutions by 4,131.7% in the 3rd quarter. Jones Financial Companies Lllp now owns 1,735 shares of the company’s stock valued at $45,000 after buying an additional 1,694 shares during the last quarter. Finally, Allworth Financial LP increased its stake in Penguin Solutions by 41.4% in the 3rd quarter. Allworth Financial LP now owns 1,792 shares of the company’s stock valued at $47,000 after buying an additional 525 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.