Penguin Solutions (NASDAQ:PENG) Stock Price Down 8.9% – Time to Sell?

Penguin Solutions, Inc. (NASDAQ:PENG) fell 8.9% on Thursday . The stock traded as low as $66.10 and last traded at $66.3390. Approximately 982,124 shares traded hands during mid-day trading, a decline of 59% from the average daily volume of 2,424,816 shares. The stock had previously closed at $72.85.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on the company. Citigroup reiterated an “outperform” rating on shares of Penguin Solutions in a research note on Wednesday, July 8th. Needham & Company LLC upped their price target on shares of Penguin Solutions from $60.00 to $80.00 and gave the stock a “buy” rating in a research report on Wednesday, July 8th. Wall Street Zen raised shares of Penguin Solutions from a “buy” rating to a “strong-buy” rating in a report on Saturday. Zacks Research upgraded shares of Penguin Solutions from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, June 30th. Finally, Citizens Jmp boosted their target price on shares of Penguin Solutions from $65.00 to $85.00 and gave the company a “market outperform” rating in a research note on Wednesday, July 8th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat, Penguin Solutions presently has a consensus rating of “Moderate Buy” and an average price target of $63.33.

Penguin Solutions Trading Down 8.4%

The company has a debt-to-equity ratio of 0.65, a current ratio of 1.54 and a quick ratio of 1.10. The business has a fifty day moving average of $61.96 and a 200-day moving average of $35.61. The stock has a market capitalization of $3.10 billion, a price-to-earnings ratio of 42.84 and a beta of 2.83.

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

Insider Buying and Selling at Penguin Solutions

In related news, SVP Joseph Gates Clark sold 10,351 shares of Penguin Solutions stock in a transaction on Monday, June 1st. The stock was sold at an average price of $58.87, for a total value of $609,363.37. Following the transaction, the senior vice president directly owned 66,425 shares in the company, valued at $3,910,439.75. The trade was a 13.48% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available 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 company’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $64.38, for a total value of $257,520.00. Following the sale, the senior vice president directly owned 120,794 shares of the company’s stock, valued at approximately $7,776,717.72. This represents a 3.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 65,574 shares of company stock valued at $3,069,722. 2.90% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Penguin Solutions

A number of large investors have recently made changes to their positions in the company. Tactive Advisors LLC purchased a new position in Penguin Solutions during the 2nd quarter worth approximately $747,000. FNY Investment Advisers LLC acquired a new stake in Penguin Solutions during the 2nd quarter worth about $714,000. Central Pacific Bank Trust Division increased its holdings in shares of Penguin Solutions by 31.7% in the 2nd quarter. Central Pacific Bank Trust Division now owns 18,976 shares of the company’s stock valued at $1,442,000 after purchasing an additional 4,567 shares during the period. Pacer Advisors Inc. boosted its holdings in shares of Penguin Solutions by 34.0% during the first quarter. Pacer Advisors Inc. now owns 261,776 shares of the company’s stock worth $4,607,000 after purchasing an additional 66,460 shares during the period. Finally, California State Teachers Retirement System raised its holdings in shares of Penguin Solutions by 52.8% during the first quarter. California State Teachers Retirement System now owns 74,580 shares of the company’s stock worth $1,313,000 after acquiring an additional 25,763 shares in the last quarter.

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.