Penguin Solutions, Inc.

NasdaqGS:PENG Stock Report

Market Cap: US$1.0b

Penguin Solutions Valuation

Is PENG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PENG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PENG ($18.36) is trading below our estimate of fair value ($56.35)

Significantly Below Fair Value: PENG is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PENG?

Key metric: As PENG is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PENG. This is calculated by dividing PENG's market cap by their current revenue.
What is PENG's PS Ratio?
PS Ratio0.8x
SalesUS$1.17b
Market CapUS$1.01b

Price to Sales Ratio vs Peers

How does PENG's PS Ratio compare to its peers?

The above table shows the PS ratio for PENG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3x
AOSL Alpha and Omega Semiconductor
1.7x6.8%US$1.2b
CEVA CEVA
7.2x9.5%US$732.7m
WOLF Wolfspeed
1.1x22.9%US$928.5m
SIMO Silicon Motion Technology
2.2x7.5%US$1.9b
PENG Penguin Solutions
0.8x11.9%US$1.0b

Price-To-Sales vs Peers: PENG is good value based on its Price-To-Sales Ratio (0.8x) compared to the peer average (3x).

Price to Sales Ratio vs Industry

How does PENG's PS Ratio compare vs other companies in the US Semiconductor Industry?

19 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.4.0x19.3%
PENG Penguin Solutions
 0.8x11.9%US$1.01b
UCTT Ultra Clean Holdings
0.8x10.5%US$1.64b
JKS JinkoSolar Holding
0.09x9.6%US$1.35b
PENG 0.8xIndustry Avg. 4.0xNo. of Companies19PS03.67.210.814.418+
19 CompaniesEstimated GrowthMarket Cap
Industry Avg.4.0x26.8%
PENG Penguin Solutions
 0.8x97.1%US$1.01b
No more companies

Price-To-Sales vs Industry: PENG is good value based on its Price-To-Sales Ratio (0.8x) compared to the US Semiconductor industry average (4.1x).

Price to Sales Ratio vs Fair Ratio

What is PENG's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PENG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.8x
Fair PS Ratio1.7x

Price-To-Sales vs Fair Ratio: PENG is good value based on its Price-To-Sales Ratio (0.8x) compared to the estimated Fair Price-To-Sales Ratio (1.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PENG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$18.36
US$24.67
+34.4%
7.6%US$27.00US$22.00n/a6
Dec ’25US$18.14
US$24.17
+33.2%
9.7%US$27.00US$21.00n/a6
Nov ’25US$15.97
US$24.40
+52.8%
10.2%US$27.00US$21.00n/a5
Oct ’25US$20.32
US$32.25
+58.7%
10.1%US$35.00US$27.00n/a4
Sep ’25US$20.72
US$32.25
+55.6%
10.1%US$35.00US$27.00n/a4
Aug ’25US$21.55
US$32.25
+49.7%
10.1%US$35.00US$27.00n/a4
Jul ’25US$22.42
US$27.70
+23.6%
14.0%US$35.00US$24.00n/a5
Jun ’25US$20.58
US$27.70
+34.6%
14.0%US$35.00US$24.00n/a5
May ’25US$18.02
US$27.70
+53.7%
14.0%US$35.00US$24.00n/a5
Apr ’25US$26.38
US$26.50
+0.5%
14.6%US$35.00US$24.00n/a6
Mar ’25US$22.52
US$26.50
+17.7%
14.6%US$35.00US$24.00n/a6
Feb ’25US$19.62
US$26.50
+35.1%
14.6%US$35.00US$24.00n/a6
Jan ’25US$18.93
US$26.17
+38.2%
15.8%US$35.00US$22.00n/a6
Dec ’24US$16.48
US$26.17
+58.8%
15.8%US$35.00US$22.00US$18.146
Nov ’24US$13.63
US$26.17
+92.0%
15.8%US$35.00US$22.00US$15.976
Oct ’24US$24.35
US$33.17
+36.2%
7.3%US$37.00US$30.00US$20.326
Sep ’24US$26.02
US$33.17
+27.5%
7.3%US$37.00US$30.00US$20.726
Aug ’24US$26.90
US$33.17
+23.3%
7.3%US$37.00US$30.00US$21.556
Jul ’24US$29.01
US$33.17
+14.3%
7.3%US$37.00US$30.00US$22.426
Jun ’24US$22.26
US$24.83
+11.6%
26.4%US$38.00US$19.00US$20.586
May ’24US$15.59
US$24.83
+59.3%
26.4%US$38.00US$19.00US$18.026
Apr ’24US$17.24
US$25.40
+47.3%
22.9%US$35.00US$19.00US$26.385
Mar ’24US$16.85
US$24.50
+45.4%
23.2%US$35.00US$19.00US$22.526
Feb ’24US$18.02
US$24.50
+36.0%
23.2%US$35.00US$19.00US$19.626
Jan ’24US$14.88
US$24.00
+61.3%
32.2%US$38.00US$15.00US$18.936
Dec ’23US$17.18
US$24.00
+39.7%
32.2%US$38.00US$15.00US$16.486

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/19 05:31
End of Day Share Price 2024/12/19 00:00
Earnings2024/08/30
Annual Earnings2024/08/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Penguin Solutions, Inc. is covered by 10 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Thomas O'MalleyBarclays
Shek HoDeutsche Bank
Michael NgGoldman Sachs