
PENG Stock Forecast & Price Target
PENG Analyst Ratings
Bulls say
Penguin Solutions Inc. experienced a strong financial performance in the fourth quarter, achieving revenue of $132 million, which reflects a significant year-over-year growth of 38% and a sequential increase of 24%, driven largely by stable DRAM/NAND pricing and the adoption of DDR5 technology. The Advanced Computing segment, accounting for 47% of FY25 revenue, grew by 17% year-over-year, fueled by rising demand for AI and high-performance computing infrastructure across various sectors, while the Integrated Memory segment rose by 30% year-over-year, demonstrating broad strength in computing, networking, and telecom markets. Overall, the company's core AI, Memory, and Stratus portfolio is projected to continue its upward trajectory, with management anticipating approximately 30% growth in FY26, highlighting the robust market demand and the company's strategic positioning in the technology sector.
Bears say
Penguin Solutions Inc. experienced a significant decline in cash reserves, ending Q4 FY25 with $434 million, down from $736 million in the previous quarter, raising concerns about liquidity. Despite a slight increase in revenue year-over-year to $338 million, the figure fell short of consensus estimates, indicating potential struggles in meeting market expectations and a reliance on lower-margin memory business growth. Additionally, management has flagged FY26 as a transition year, with anticipated revenue declines from key clients and the exit from a legacy business contributing to a challenging outlook.
This aggregate rating is based on analysts' research of Penguin Solutions Inc and is not a guaranteed prediction by Public.com or investment advice.
PENG Analyst Forecast & Price Prediction
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