Penguin Solutions (PENG) Stock Overview
Designs, builds, deploys and manages enterprise solutions worldwide. More details
| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 5/6 |
| Past Performance | 2/6 |
| Financial Health | 5/6 |
| Dividends | 0/6 |
Rewards
Risk Analysis
PENG Community Fair Values
Create NarrativeSee what 41 others think this stock is worth. Follow their fair value or set your own to get alerts.
Analyst Price Targets
Penguin Solutions, Inc. Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$58.10 |
| 52 Week High | US$89.86 |
| 52 Week Low | US$16.04 |
| Beta | 2.83 |
| 1 Month Change | -13.48% |
| 3 Month Change | 110.66% |
| 1 Year Change | 137.63% |
| 3 Year Change | 123.12% |
| 5 Year Change | 158.62% |
| Change since IPO | 763.94% |
Recent News & Updates
Narrative Update • Jul 21
PENG: AI Infrastructure And Memory Shift Will Drive Future Business Mix
Penguin Solutions' analyst fair value estimate has moved from $75 to $85 as analysts factor in higher modeled revenue growth, a richer future P/E multiple, and weaker profit margins based on recent research, including higher price targets from several firms and a more cautious view on gross margin pressure from others. Analyst Commentary Recent research on Penguin Solutions shows a wide range of views, with some analysts highlighting margin pressure and others focusing on growing exposure to AI infrastructure and memory.Seeking Alpha • Jul 15
Penguin Solutions: 74% Of Revenue Is AI, But 89% Of The Profit Is A Memory Cycle
Summary Penguin Solutions’ Q3 print on July 7 showed a record quarter, guidance raised, and AI now three-quarters of the business. Memory added $145M of the $154M in total revenue growth. Memory operating income more than quintupled and is now 89% of total segment operating income. And memory’s own gross margin went up, 21% to 30%. The Advanced Computing segment, which owns the AI narrative, saw revenue coming in flat. Its cost of goods rose 35%. So its gross margin collapsed from 43.4% to 26.5%, and its operating income fell from $24.7M to $3.9M. The market is paying a durable-AI-platform multiple for what is, this quarter, a specialty-memory company having a very good cycle with a thin-margin AI-systems business bolted on. At 24x forward, the good news is in the price, and the risk/reward from here is skewed against the buyer. Read the full article on Seeking AlphaRecent updates
Narrative Update • Jul 21
PENG: AI Infrastructure And Memory Shift Will Drive Future Business Mix
Penguin Solutions' analyst fair value estimate has moved from $75 to $85 as analysts factor in higher modeled revenue growth, a richer future P/E multiple, and weaker profit margins based on recent research, including higher price targets from several firms and a more cautious view on gross margin pressure from others. Analyst Commentary Recent research on Penguin Solutions shows a wide range of views, with some analysts highlighting margin pressure and others focusing on growing exposure to AI infrastructure and memory.Seeking Alpha • Jul 15
Penguin Solutions: 74% Of Revenue Is AI, But 89% Of The Profit Is A Memory Cycle
Summary Penguin Solutions’ Q3 print on July 7 showed a record quarter, guidance raised, and AI now three-quarters of the business. Memory added $145M of the $154M in total revenue growth. Memory operating income more than quintupled and is now 89% of total segment operating income. And memory’s own gross margin went up, 21% to 30%. The Advanced Computing segment, which owns the AI narrative, saw revenue coming in flat. Its cost of goods rose 35%. So its gross margin collapsed from 43.4% to 26.5%, and its operating income fell from $24.7M to $3.9M. The market is paying a durable-AI-platform multiple for what is, this quarter, a specialty-memory company having a very good cycle with a thin-margin AI-systems business bolted on. At 24x forward, the good news is in the price, and the risk/reward from here is skewed against the buyer. Read the full article on Seeking AlphaNarrative Update • Jul 07
PENG: FY26 AI Infrastructure And Integrated Memory Momentum Support Balanced Outlook
The analyst fair value estimate for Penguin Solutions moves to $75 from $66, as analysts point to raised Street price targets, higher FY26 guidance, and momentum across integrated memory and AI infrastructure as key supports for the updated outlook. Analyst Commentary Recent research on Penguin Solutions highlights steadily improving sentiment around the stock, with several bullish analysts lifting price targets and pointing to product momentum and updated guidance as key supports for valuation.Narrative Update • Jun 23
PENG: FY26 Guidance And AI Infrastructure Focus Will Shape Balanced Outlook
Penguin Solutions' analyst price target has moved from about $34 to $66, with analysts pointing to updated FY26 guidance and stronger expectations around integrated memory and AI infrastructure demand as key drivers behind the higher valuation assumptions. Analyst Commentary Recent Street research on Penguin Solutions points to a cluster of bullish reactions around the company’s updated FY26 guidance and its positioning in integrated memory and AI infrastructure.Analysis Article • Jun 21
Penguin Solutions (PENG) Stock Could Be 75% Overvalued Despite AI Infrastructure Momentum
Penguin Solutions (PENG) has drawn investor attention after rebranding from SMART Global Holdings. The company has shifted its identity while continuing to operate across advanced computing, integrated memory, and LED segments that collectively generated revenue of about US$1.35b. See our latest analysis for Penguin Solutions. The recent rebrand has been accompanied by sharp share price momentum, with a 1-day share price return of 12.52% and a 30-day share price return of 26.20%. Over longer...
Narrative Update • Jun 08
PENG: Raised Guidance And CFO Transition Will Pressure Overextended AI Hype
The analyst price target for Penguin Solutions has been raised by $3, with analysts pointing to updated longer term guidance and their expectations for stronger AI infrastructure and integrated memory demand as key supports for higher fair value, higher revenue growth, and a higher profit margin in their models. Analyst Commentary Recent research highlights a mix of optimism around Penguin Solutions' AI infrastructure and integrated memory businesses, alongside more cautious views that focus on execution and valuation risk.
Narrative Update • May 25
PENG: AI Guidance And Execution Risks Will Restrain Future Upside
The analyst price target for Penguin Solutions has moved by about $9.60, with analysts pointing to updated fair value estimates, a slightly adjusted discount rate, modest tweaks to revenue growth and profit margin assumptions, and a higher future P/E multiple to justify the change. Analyst Commentary Recent Street research on Penguin Solutions has been mixed, with some analysts lifting price targets and others trimming them or lowering ratings.Narrative Update • May 04
PENG: Higher Multiple And Mixed Guidance Will Challenge Bullish Expectations
Analysts have lifted the fair value estimate for Penguin Solutions by $1 to $24, reflecting updated assumptions on growth, profitability and future P/E after a mix of recent price target increases and cuts across the Street. Analyst Commentary Street research on Penguin Solutions has been mixed, with some firms adjusting price targets upward while others have taken a more cautious stance and reduced their targets.Narrative Update • Apr 20
PENG: Updated Guidance And AI Partnerships Will Shape Balanced Risk Profile
Penguin Solutions' analyst price target has moved modestly higher to approximately $28.71 from about $28.25, as analysts update their models around new revenue growth, margin, discount rate, and forward P/E assumptions following mixed target changes from firms raising and lowering their views. Analyst Commentary Street research around Penguin Solutions reflects a mix of optimism and caution, with some analysts lifting their targets by about $2 and others trimming by around $3.Analysis Article • Oct 18
Solid Earnings Reflect Penguin Solutions' (NASDAQ:PENG) Strength As A Business
Even though Penguin Solutions, Inc. ( NASDAQ:PENG ) posted strong earnings, investors appeared to be underwhelmed. We...Narrative Update • Oct 03
AI And Digital Transformation Will Drive Global Data Center Success
Peguin Solutions’ fair value price target has been raised from $27.13 to $28.25 per share. Analysts cite stronger memory demand, improved pricing, and early momentum in commercial and sovereign AI opportunities as key drivers behind their more optimistic outlook.Analysis Article • Jul 09
Why Investors Shouldn't Be Surprised By Penguin Solutions, Inc.'s (NASDAQ:PENG) Low P/S
With a price-to-sales (or "P/S") ratio of 0.8x Penguin Solutions, Inc. ( NASDAQ:PENG ) may be sending very bullish...Analysis Article • Jun 12
Is There An Opportunity With Penguin Solutions, Inc.'s (NASDAQ:PENG) 31% Undervaluation?
Key Insights Penguin Solutions' estimated fair value is US$29.64 based on 2 Stage Free Cash Flow to Equity Penguin...Analysis Article • May 22
Is Now An Opportune Moment To Examine Penguin Solutions, Inc. (NASDAQ:PENG)?
Penguin Solutions, Inc. ( NASDAQ:PENG ), might not be a large cap stock, but it received a lot of attention from a...
New Narrative • May 02
Channel Partnerships And AI Deployments Will Open New Opportunities
Expanding channel partnerships and AI infrastructure focus positions Penguin Solutions well for future revenue growth and market capitalization.Analysis Article • Mar 28
Penguin Solutions, Inc.'s (NASDAQ:PENG) Prospects Need A Boost To Lift Shares
With a price-to-sales (or "P/S") ratio of 0.8x Penguin Solutions, Inc. ( NASDAQ:PENG ) may be sending very bullish...Shareholder Returns
| PENG | US Semiconductor | US Market | |
|---|---|---|---|
| 7D | -25.3% | -2.2% | -0.7% |
| 1Y | 137.6% | 65.9% | 17.3% |
Return vs Industry: PENG exceeded the US Semiconductor industry which returned 65.9% over the past year.
Return vs Market: PENG exceeded the US Market which returned 17.3% over the past year.
Price Volatility
| PENG volatility | |
|---|---|
| PENG Average Weekly Movement | 17.0% |
| Semiconductor Industry Average Movement | 13.7% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.3% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: PENG's share price has been volatile over the past 3 months compared to the US market.
Volatility Over Time: PENG's weekly volatility has increased from 11% to 17% over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1988 | 2,900 | Kash Shaikh | www.penguinsolutions.com |
Penguin Solutions, Inc. designs, builds, deploys and manages enterprise solutions worldwide. The company operates through three segments: Advanced Computing, Integrated Memory, and Optimized LED. It offers hardware, software, and services focusing on technical computing for core and cloud environments through computing and AI solutions.
Penguin Solutions, Inc. Fundamentals Summary
| PENG fundamental statistics | |
|---|---|
| Market cap | US$2.73b |
| Earnings (TTM) | US$75.91m |
| Revenue (TTM) | US$1.50b |
39.2x
P/E Ratio2.0x
P/S RatioIs PENG overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| PENG income statement (TTM) | |
|---|---|
| Revenue | US$1.50b |
| Cost of Revenue | US$1.08b |
| Gross Profit | US$419.62m |
| Other Expenses | US$343.70m |
| Earnings | US$75.91m |
Last Reported Earnings
May 29, 2026
Next Earnings Date
n/a
| Earnings per share (EPS) | 1.48 |
| Gross Margin | 27.92% |
| Net Profit Margin | 5.05% |
| Debt/Equity Ratio | 67.5% |
How did PENG perform over the long term?
See historical performance and comparisonCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/07/21 10:10 |
| End of Day Share Price | 2026/07/21 00:00 |
| Earnings | 2026/05/29 |
| Annual Earnings | 2025/08/29 |
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.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* 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.
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 Github.
Analyst Sources
Penguin Solutions, Inc. is covered by 14 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Thomas O'Malley | Barclays |
| Rustam Kanga | Citizens JMP Securities, LLC |
| Shek Ho | Deutsche Bank |