Penguin Solutions (NASDAQ:PENG) Updates FY 2026 Earnings Guidance

Key Points

• Penguin Solutions updated its FY 2026 earnings guidance, projecting earnings per share of 1.750-2.25 and revenue between $1.3 billion-$1.6 billion, differing from consensus estimates of 1.810 EPS and $1.5 billion in revenue.
• After the recent guidance update, the stock price of Penguin Solutions fell to $27.00, with analysts maintaining a mix of ratings, including one "Strong Buy," seven "Buy," and two "Hold" designations.
• In insider trading, EVP Jack A. Pacheco sold 63,447 shares valued at over $1.57 million, resulting in a reduction of his stock position by approximately 21.83%.

Penguin Solutions (NASDAQ:PENG - Get Free Report) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 1.750-2.25 for the period, compared to the consensus earnings per share estimate of 1.810. The company issued revenue guidance of $1.3 billion-$1.6 billion, compared to the consensus revenue estimate of $1.5 billion.

Penguin Solutions Price Performance

NASDAQ:PENG traded down $2.30 during trading hours on Tuesday, reaching $27.00. The stock had a trading volume of 3,640,783 shares, compared to its average volume of 899,036. The company has a debt-to-equity ratio of 1.08, a quick ratio of 2.24 and a current ratio of 2.62. Penguin Solutions has a 52 week low of $14.20 and a 52 week high of $29.80. The company has a 50 day moving average price of $25.08 and a two-hundred day moving average price of $21.26. The stock has a market capitalization of $1.41 billion, a PE ratio of -96.43 and a beta of 2.20.

Penguin Solutions (NASDAQ:PENG - Get Free Report) last released its earnings results on Tuesday, October 7th. The company reported $0.30 earnings per share for the quarter, missing the consensus estimate of $0.37 by ($0.07). Penguin Solutions had a negative net margin of 0.68% and a positive return on equity of 13.27%. Penguin Solutions has set its FY 2026 guidance at 1.750-2.25 EPS. As a group, sell-side analysts anticipate that Penguin Solutions will post 1.05 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the company. Zacks Research downgraded Penguin Solutions from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 8th. Loop Capital boosted their target price on Penguin Solutions from $30.00 to $35.00 and gave the company a "buy" rating in a research report on Monday, July 14th. Stifel Nicolaus boosted their target price on Penguin Solutions from $27.00 to $31.00 and gave the company a "buy" rating in a research report on Monday. Rosenblatt Securities boosted their price objective on Penguin Solutions from $27.00 to $36.00 and gave the company a "buy" rating in a report on Wednesday, October 1st. Finally, JPMorgan Chase & Co. boosted their price objective on Penguin Solutions from $21.00 to $24.00 and gave the company a "neutral" rating in a report on Thursday, July 17th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Penguin Solutions presently has an average rating of "Moderate Buy" and an average target price of $28.75.

Insider Buying and Selling at Penguin Solutions

In other Penguin Solutions news, EVP Jack A. Pacheco sold 63,447 shares of the company's stock in a transaction on Monday, July 21st. The stock was sold at an average price of $24.83, for a total value of $1,575,389.01. Following the completion of the sale, the executive vice president directly owned 227,231 shares in the company, valued at approximately $5,642,145.73. This represents a 21.83% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Penny Herscher sold 2,046 shares of the company's stock in a transaction on Tuesday, July 15th. The stock was sold at an average price of $25.42, for a total value of $52,009.32. Following the completion of the sale, the director owned 18,222 shares of the company's stock, valued at $463,203.24. This represents a 10.09% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 66,175 shares of company stock valued at $1,644,448 over the last quarter. Company insiders own 2.60% of the company's stock.

Institutional Investors Weigh In On Penguin Solutions

Several hedge funds have recently made changes to their positions in the company. Royal Bank of Canada purchased a new stake in shares of Penguin Solutions during the 1st quarter worth $7,250,000. Amundi purchased a new stake in shares of Penguin Solutions during the 1st quarter worth $373,000. AQR Capital Management LLC purchased a new stake in shares of Penguin Solutions during the 1st quarter worth $1,076,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new stake in shares of Penguin Solutions during the 1st quarter worth $538,000. Finally, Goldman Sachs Group Inc. purchased a new stake in shares of Penguin Solutions during the 1st quarter worth $3,259,000.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.