Penguin Solutions, Inc. (PENG) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Penguin Solutions, Inc. stock (PENG) is currently trading at $18.44. Penguin Solutions, Inc. PE ratio is 79.64. Penguin Solutions, Inc. PS ratio (Price-to-Sales) is 0.67. Analyst consensus price target for PENG is $26.88. WallStSmart rates PENG as Sell.
- PENG PE ratio analysis and historical PE chart
- PENG PS ratio (Price-to-Sales) history and trend
- PENG intrinsic value — DCF, Graham Number, EPV models
- PENG stock price prediction 2025 2026 2027 2028 2029 2030
- PENG fair value vs current price
- PENG insider transactions and insider buying
- Is PENG undervalued or overvalued?
- Penguin Solutions, Inc. financial analysis — revenue, earnings, cash flow
- PENG Piotroski F-Score and Altman Z-Score
- PENG analyst price target and Smart Rating
Penguin Solutions, Inc.
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PENG Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Penguin Solutions, Inc. (PENG)
PENG trades 1162% above its Graham fair value of $1.50, indicating the stock may be overvalued at current levels.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Penguin Solutions, Inc. (PENG) · 9 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in price/sales, institutional own.. Concerns around return on equity and operating margin. Mixed signals suggest waiting for clearer direction before acting.
Penguin Solutions, Inc. (PENG) Key Strengths (2)
Paying less than $1 for every $1 of annual revenue
113.32% of shares held by major funds and institutions
Supporting Valuation Data
Penguin Solutions, Inc. (PENG) Areas to Watch (7)
Earnings declining -61.10%, profits shrinking
Very thin margins with limited operational efficiency
Revenue growing slowly at 0.60% annually
Very thin margins, barely profitable
Low profitability relative to shareholder equity
Small-cap company with higher risk but more growth potential
Fairly priced relative to book value
Supporting Valuation Data
Penguin Solutions, Inc. (PENG) Detailed Analysis Report
Overall Assessment
This company scores 40/100 in our Smart Analysis, earning a D grade. Out of 9 metrics analyzed, 2 register as strengths (avg 10.0/10) while 7 fall into concern territory (avg 2.9/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on Price/Sales, Institutional Own.. Valuation metrics including Price/Sales (0.67) suggest the stock is attractively priced.
The Bear Case
The primary concerns are EPS Growth, Operating Margin, Revenue Growth. Some valuation metrics including Price/Book (2.37) suggest expensive pricing. Growth concerns include Revenue Growth at 0.60%, EPS Growth at -61.10%, which may limit upside. Profitability pressure is visible in Return on Equity at 5.71%, Operating Margin at 6.95%, Profit Margin at 1.86%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether EPS Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 5.71% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 0.60% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Fundamental challenges outweigh strengths at current levels. EPS Growth and Operating Margin are the primary drags. Consider waiting for meaningful improvement before committing capital.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
PENG Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
PENG's Price-to-Sales ratio of 0.67x sits near its historical average of 0.71x (0th percentile), suggesting the market is pricing in steady-state growth. The current valuation is 16% below its historical high of 0.8x set in Mar 2026, and 0% above its historical low of 0.67x in Mar 2026. Over the past 12 months, the PS ratio has compressed from ~0.8x as trailing revenue scaled faster than the stock price.
Compare PENG with Competitors
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Data-driven financial summary for Penguin Solutions, Inc. (PENG) · TECHNOLOGY › INFORMATION TECHNOLOGY SERVICES
The Big Picture
Penguin Solutions, Inc. operates as a stable business with moderate growth and solid fundamentals. Revenue reached 1.4B with 1% growth year-over-year. Profit margins are thin at 1.9%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
Generating 28M in free cash flow and 31M in operating cash flow. Earnings are translating into actual cash generation.
What to Watch Next
Margin expansion: can Penguin Solutions, Inc. push profit margins above 15% as the business scales?
Valuation compression risk at a P/E of 79.6x. Any growth miss could trigger a sharp correction.
Volatility is elevated with a beta of 2.21, so expect amplified moves relative to the broader market.
Sector dynamics: monitor INFORMATION TECHNOLOGY SERVICES industry trends, competitive moves, and regulatory changes that could impact Penguin Solutions, Inc..
Bottom Line
Penguin Solutions, Inc. offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Penguin Solutions, Inc.(PENG)
NASDAQ
TECHNOLOGY
INFORMATION TECHNOLOGY SERVICE...
USA
Penguin Solutions, Inc., a memory-focused company, engages in the designing and development of enterprise solutions in the United States, China, Europe, and internationally. The company is headquartered in Grand Cayman, Cayman Islands.