Inceptionr LLC Buys Shares of 19,285 Penguin Solutions, Inc. $PENG

Key Points

• Inceptionr LLC initiated a position in Penguin Solutions, purchasing 19,285 shares worth approximately $339,000 in the first quarter. Several other institutional investors also increased or established holdings.
• Penguin Solutions reported quarterly results above expectations, with earnings per share of $0.84 versus the $0.63 consensus estimate and revenue of $478.71 million versus $407.47 million expected.
• Analyst sentiment is broadly positive, with a consensus “Moderate Buy” rating and an average price target of $63.33, although Barclays downgraded the stock to “underweight” with a $40 target. Shares recently opened at $52.49 after trading between $16.04 and $89.86 over the past year.

Inceptionr LLC purchased a new stake in Penguin Solutions, Inc. (NASDAQ:PENG - Free Report) in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 19,285 shares of the company's stock, valued at approximately $339,000.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Dimensional Fund Advisors LP acquired a new stake in Penguin Solutions in the 3rd quarter valued at about $60,264,000. Invesco Ltd. raised its position in Penguin Solutions by 596.8% during the fourth quarter. Invesco Ltd. now owns 1,992,415 shares of the company's stock worth $38,972,000 after acquiring an additional 1,706,482 shares during the last quarter. William Blair Investment Management LLC acquired a new position in Penguin Solutions during the fourth quarter worth about $18,290,000. Ophir Asset Management Pty Ltd raised its position in Penguin Solutions by 234.3% during the fourth quarter. Ophir Asset Management Pty Ltd now owns 1,211,612 shares of the company's stock worth $23,699,000 after acquiring an additional 849,178 shares during the last quarter. Finally, Royal Bank of Canada purchased a new stake in shares of Penguin Solutions in the first quarter valued at about $7,250,000.

Penguin Solutions Stock Performance

Shares of NASDAQ PENG opened at $52.49 on Tuesday. The company has a market cap of $2.69 billion, a PE ratio of 37.23 and a beta of 2.83. Penguin Solutions, Inc. has a 12 month low of $16.04 and a 12 month high of $89.86. 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 company has a 50-day simple moving average of $63.11 and a 200-day simple moving average of $37.22.

Penguin Solutions (NASDAQ:PENG - Get Free Report) last posted its quarterly earnings data 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 business had revenue of $478.71 million during the quarter, compared to analyst estimates of $407.47 million. During the same quarter in the previous year, the business posted $0.52 earnings per share. On average, equities analysts anticipate that Penguin Solutions, Inc. will post 2.08 earnings per share for the current year.

Insider Activity

In other Penguin Solutions news, Director Sandeep Nayyar sold 7,107 shares of the business'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 completion of the transaction, the director directly owned 25,417 shares in the company, valued at approximately $1,105,131.16. The trade was a 21.85% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, SVP Joseph Gates Clark sold 10,351 shares of the firm's 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 sale, the senior vice president owned 66,425 shares in the company, valued at $3,910,439.75. This trade represents a 13.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 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.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on PENG shares. Citizens Jmp raised their price objective on shares of Penguin Solutions from $65.00 to $85.00 and gave the stock a "market outperform" rating in a research note on Wednesday, July 8th. Citigroup reaffirmed an "outperform" rating on shares of Penguin Solutions in a research note on Wednesday, July 8th. Zacks Research upgraded Penguin Solutions from a "hold" rating to a "strong-buy" rating in a report on Tuesday, June 30th. Barclays downgraded Penguin Solutions from an "equal weight" rating to an "underweight" rating and set a $40.00 price target for the company. in a research report on Monday, July 20th. Finally, Weiss Ratings raised Penguin Solutions from a "hold (c-)" rating to a "hold (c)" rating in a report on Wednesday, July 8th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $63.33.

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.

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