Penguin Solutions (NASDAQ:PENG) Reaches New 1-Year Low After Analyst Downgrade

Penguin Solutions (NASDAQ:PENG - Get Free Report) shares hit a new 52-week low during trading on Friday after The Goldman Sachs Group lowered their price target on the stock from $26.00 to $22.50. The Goldman Sachs Group currently has a buy rating on the stock. Penguin Solutions traded as low as $14.23 and last traded at $15.27, with a volume of 497773 shares changing hands. The stock had previously closed at $16.19.

PENG has been the topic of a number of other research reports. Needham & Company LLC restated a "buy" rating and set a $27.00 target price on shares of Penguin Solutions in a report on Thursday, April 3rd. Rosenblatt Securities reaffirmed a "buy" rating and set a $27.00 price target on shares of Penguin Solutions in a research note on Thursday, April 3rd. Loop Capital began coverage on shares of Penguin Solutions in a report on Tuesday, January 7th. They issued a "buy" rating and a $30.00 price target for the company. JPMorgan Chase & Co. started coverage on shares of Penguin Solutions in a research note on Monday, March 31st. They issued a "neutral" rating and a $20.00 target price for the company. Finally, Barclays increased their price objective on Penguin Solutions from $22.00 to $23.00 and gave the company an "overweight" rating in a report on Thursday, January 9th. One equities research analyst has rated the stock with a hold rating, six have given a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat, the stock currently has an average rating of "Buy" and a consensus price target of $24.94.

Insider Buying and Selling

In other news, SVP Joseph Gates Clark sold 2,131 shares of the company's stock in a transaction dated Thursday, January 23rd. The stock was sold at an average price of $20.94, for a total value of $44,623.14. Following the transaction, the senior vice president now owns 89,469 shares in the company, valued at $1,873,480.86. This represents a 2.33 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, COO Jack A. Pacheco sold 6,667 shares of the business's stock in a transaction that occurred on Tuesday, January 21st. The stock was sold at an average price of $20.55, for a total value of $137,006.85. Following the completion of the sale, the chief operating officer now owns 231,548 shares of the company's stock, valued at approximately $4,758,311.40. This trade represents a 2.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 18,684 shares of company stock valued at $393,617. Company insiders own 2.60% of the company's stock.

Penguin Solutions Price Performance

The stock has a market capitalization of $895.50 million, a price-to-earnings ratio of -31.96 and a beta of 1.83. The company's 50 day simple moving average is $19.09. The company has a debt-to-equity ratio of 1.61, a quick ratio of 1.75 and a current ratio of 2.33.

Penguin Solutions (NASDAQ:PENG - Get Free Report) last issued its earnings results on Wednesday, April 2nd. The company reported $0.52 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.33 by $0.19. The company had revenue of $365.52 million for the quarter, compared to analysts' expectations of $344.44 million. Penguin Solutions had a negative net margin of 2.21% and a positive return on equity of 11.70%. The firm's revenue was up 28.3% on a year-over-year basis. On average, sell-side analysts expect that Penguin Solutions will post 1.05 EPS for the current fiscal year.

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.