Penguin Solutions (NASDAQ:PENG) Shares Gap Up – Time to Buy?

Penguin Solutions, Inc. (NASDAQ:PENG)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $59.86, but opened at $64.00. Penguin Solutions shares last traded at $63.3970, with a volume of 598,509 shares changing hands.

Analyst Ratings Changes

Several analysts have weighed in on PENG shares. Wall Street Zen raised Penguin Solutions from a “hold” rating to a “buy” rating in a report on Sunday, May 17th. Weiss Ratings cut Penguin Solutions from a “hold (c)” rating to a “hold (c-)” rating in a report on Wednesday, May 13th. Needham & Company LLC raised their price target on Penguin Solutions from $25.00 to $27.00 and gave the company a “buy” rating in a report on Thursday, April 2nd. Barclays cut Penguin Solutions from an “overweight” rating to an “equal weight” rating and raised their price target for the company from $23.00 to $27.00 in a report on Wednesday, April 22nd. Finally, Stifel Nicolaus raised their price target on Penguin Solutions from $24.00 to $66.00 and gave the company a “buy” rating in a report on Tuesday, June 2nd. Six investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $36.88.

Penguin Solutions Price Performance

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 market capitalization of $3.13 billion, a P/E ratio of 85.68 and a beta of 2.89. The firm has a 50-day moving average price of $39.08 and a 200 day moving average price of $26.38.

Penguin Solutions (NASDAQ:PENG) last announced its quarterly earnings data on Wednesday, April 1st. The company reported $0.52 EPS for the quarter, beating the consensus estimate of $0.43 by $0.09. The firm had revenue of $343.00 million for 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%. On average, analysts expect that Penguin Solutions, Inc. will post 1.79 EPS for the current year.

Insider Transactions at Penguin Solutions

In other news, SVP Joseph Gates Clark sold 12,546 shares of the stock in a transaction dated Thursday, April 9th. The stock was sold at an average price of $22.55, for a total transaction of $282,912.30. Following the transaction, the senior vice president directly owned 99,726 shares in the company, valued at approximately $2,248,821.30. This represents a 11.17% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Anne Kuykendall sold 4,000 shares of the stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $17.75, for a total value of $71,000.00. Following the transaction, the senior vice president owned 131,352 shares in the company, valued at $2,331,498. This trade represents a 2.96% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 83,120 shares of company stock valued at $3,300,214 over the last 90 days. Company insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Penguin Solutions

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Allworth Financial LP grew its position in Penguin Solutions by 41.4% during the 3rd quarter. Allworth Financial LP now owns 1,792 shares of the company’s stock worth $47,000 after acquiring an additional 525 shares during the last quarter. Osaic Holdings Inc. grew its position in Penguin Solutions by 20.8% during the 2nd quarter. Osaic Holdings Inc. now owns 3,583 shares of the company’s stock worth $71,000 after acquiring an additional 617 shares during the last quarter. Covestor Ltd grew its position in Penguin Solutions by 4.7% during the 4th quarter. Covestor Ltd now owns 15,535 shares of the company’s stock worth $304,000 after acquiring an additional 695 shares during the last quarter. M&T Bank Corp grew its position in Penguin Solutions by 7.0% during the 4th quarter. M&T Bank Corp now owns 10,851 shares of the company’s stock worth $212,000 after acquiring an additional 706 shares during the last quarter. Finally, Optimize Financial Inc grew its position in Penguin Solutions by 1.5% during the 4th quarter. Optimize Financial Inc now owns 56,354 shares of the company’s stock worth $1,102,000 after acquiring an additional 808 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.