Penguin Solutions (NASDAQ:PENG) Trading Down 5.9% – Time to Sell?

Shares of Penguin Solutions, Inc. (NASDAQ:PENG) traded down 5.9% during mid-day trading on Friday . The stock traded as low as $55.21 and last traded at $54.9790. Approximately 1,139,758 shares were traded during trading, a decline of 54% from the average session volume of 2,482,976 shares. The stock had previously closed at $58.41.

Analysts Set New Price Targets

A number of analysts have commented on the company. Rosenblatt Securities boosted their target price on Penguin Solutions from $65.00 to $75.00 and gave the stock a “buy” rating in a research report on Monday, July 6th. Citigroup restated an “outperform” rating on shares of Penguin Solutions in a research report on Wednesday, July 8th. Weiss Ratings raised Penguin Solutions from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, July 8th. Stifel Nicolaus boosted their price objective on shares of Penguin Solutions from $66.00 to $75.00 and gave the stock a “buy” rating in a research report on Wednesday, July 8th. Finally, Wall Street Zen cut shares of Penguin Solutions from a “strong-buy” rating to a “buy” rating in a research note on Sunday. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Penguin Solutions currently has an average rating of “Moderate Buy” and an average price target of $63.33.

Penguin Solutions Stock Performance

The company has a market capitalization of $2.76 billion, a PE ratio of 38.19 and a beta of 2.83. The company has a debt-to-equity ratio of 0.65, a quick ratio of 1.10 and a current ratio of 1.54. The stock’s fifty day simple moving average is $62.97 and its 200-day simple moving average is $36.89.

Penguin Solutions (NASDAQ:PENG) last released its quarterly earnings results on Tuesday, July 7th. The company reported $0.84 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.63 by $0.21. The company had revenue of $478.71 million for the quarter, compared to analysts’ expectations of $407.47 million. Penguin Solutions had a net margin of 6.44% and a return on equity of 28.23%. During the same period last year, the company earned $0.52 EPS. As a group, equities analysts predict that Penguin Solutions, Inc. will post 2.08 earnings per share for the current year.

Insider Activity

In other Penguin Solutions news, SVP Joseph Gates Clark sold 10,351 shares of the stock in a transaction on Monday, June 1st. The stock was sold at an average price of $58.87, for a total transaction of $609,363.37. Following the transaction, the senior vice president owned 66,425 shares of the company’s stock, valued at $3,910,439.75. This represents a 13.48% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Sandeep Nayyar sold 7,107 shares of the firm’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $43.48, for a total value of $309,012.36. Following the sale, the director owned 25,417 shares in the company, valued at $1,105,131.16. This trade represents a 21.85% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 58,351 shares of company stock valued at $2,859,351 over the last quarter. Insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Penguin Solutions

Several institutional investors have recently added to or reduced their stakes in the business. State Street Corp lifted its holdings in shares of Penguin Solutions by 3.2% during the 4th quarter. State Street Corp now owns 2,957,938 shares of the company’s stock worth $57,857,000 after acquiring an additional 91,805 shares during the period. Dimensional Fund Advisors LP boosted its holdings in shares of Penguin Solutions by 4.2% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,388,748 shares of the company’s stock valued at $46,726,000 after purchasing an additional 95,585 shares during the last quarter. Invesco Ltd. boosted its holdings in shares of Penguin Solutions by 596.8% in the 4th quarter. Invesco Ltd. now owns 1,992,415 shares of the company’s stock valued at $38,972,000 after purchasing an additional 1,706,482 shares during the last quarter. Paradigm Capital Management Inc. NY grew its stake in shares of Penguin Solutions by 73.8% during the 1st quarter. Paradigm Capital Management Inc. NY now owns 1,605,100 shares of the company’s stock valued at $28,250,000 after buying an additional 681,700 shares during the period. Finally, Ophir Asset Management Pty Ltd grew its stake in shares of Penguin Solutions by 234.3% during the 4th quarter. Ophir Asset Management Pty Ltd now owns 1,211,612 shares of the company’s stock valued at $23,699,000 after buying an additional 849,178 shares during the period.

Penguin Solutions Company Profile

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.