PENGUIN SOLUTIONS INC (PENG) Stock Fundamental Analysis
NASDAQ:PENG - Nasdaq - US7069151055 - Common Stock - Currency: USD
Taking everything into account, PENG scores 4 out of 10 in our fundamental rating. PENG was compared to 110 industry peers in the Semiconductors & Semiconductor Equipment industry. The financial health of PENG is average, but there are quite some concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on PENG.
1. Profitability
1.1 Basic Checks
PENG had positive earnings in the past year.
PENG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PENG reported negative net income in multiple years.
In the past 5 years PENG always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -0.82%, PENG perfoms like the industry average, outperforming 41.82% of the companies in the same industry.
PENG has a worse Return On Equity (-2.51%) than 60.91% of its industry peers.
PENG has a Return On Invested Capital (4.08%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PENG is significantly below the industry average of 10.69%.
The last Return On Invested Capital (4.08%) for PENG is above the 3 year average (3.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.82% | ||
| ROE | -2.51% | ||
| ROIC | 4.08% |
ROA(3y)-3.92%
ROA(5y)-2.07%
ROE(3y)-26.58%
ROE(5y)-14.66%
ROIC(3y)3.16%
ROIC(5y)N/A
1.3 Margins
PENG has a Operating Margin (5.10%) which is comparable to the rest of the industry.
PENG's Operating Margin has declined in the last couple of years.
The Gross Margin of PENG (28.75%) is worse than 74.55% of its industry peers.
In the last couple of years the Gross Margin of PENG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.1% | ||
| PM (TTM) | N/A | ||
| GM | 28.76% |
OM growth 3YN/A
OM growth 5Y-19.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.11%
GM growth 5Y8.37%
2. Health
2.1 Basic Checks
PENG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, PENG has more shares outstanding
PENG has more shares outstanding than it did 5 years ago.
PENG has a better debt/assets ratio than last year.
2.2 Solvency
PENG has an Altman-Z score of 2.01. This is not the best score and indicates that PENG is in the grey zone with still only limited risk for bankruptcy at the moment.
PENG's Altman-Z score of 2.01 is on the low side compared to the rest of the industry. PENG is outperformed by 63.64% of its industry peers.
PENG has a debt to FCF ratio of 4.24. This is a neutral value as PENG would need 4.24 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.24, PENG is in line with its industry, outperforming 56.36% of the companies in the same industry.
PENG has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.09, PENG is doing worse than 87.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 4.24 | ||
| Altman-Z | 2.01 |
ROIC/WACC0.38
WACC10.78%
2.3 Liquidity
PENG has a Current Ratio of 2.62. This indicates that PENG is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.62, PENG is in line with its industry, outperforming 44.55% of the companies in the same industry.
A Quick Ratio of 2.24 indicates that PENG has no problem at all paying its short term obligations.
With a Quick ratio value of 2.24, PENG perfoms like the industry average, outperforming 52.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.62 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
PENG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 50.41%, which is quite impressive.
The Earnings Per Share has been decreasing by -5.74% on average over the past years.
PENG shows a strong growth in Revenue. In the last year, the Revenue has grown by 31.19%.
Measured over the past years, PENG shows a decrease in Revenue. The Revenue has been decreasing by -0.69% on average per year.
EPS 1Y (TTM)50.41%
EPS 3Y-21.66%
EPS 5Y-5.74%
EPS Q2Q%27.03%
Revenue 1Y (TTM)31.19%
Revenue growth 3Y3.52%
Revenue growth 5Y-0.69%
Sales Q2Q%7.88%
3.2 Future
The Earnings Per Share is expected to grow by 27.33% on average over the next years. This is a very strong growth
PENG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.52% yearly.
EPS Next Y45.67%
EPS Next 2Y28.56%
EPS Next 3Y27.33%
EPS Next 5YN/A
Revenue Next Year15.89%
Revenue Next 2Y12.21%
Revenue Next 3Y12.52%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PENG is valuated correctly with a Price/Earnings ratio of 12.33.
91.82% of the companies in the same industry are more expensive than PENG, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.99, PENG is valued rather cheaply.
A Price/Forward Earnings ratio of 11.04 indicates a reasonable valuation of PENG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PENG indicates a rather cheap valuation: PENG is cheaper than 91.82% of the companies listed in the same industry.
PENG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.33 | ||
| Fwd PE | 11.04 |
4.2 Price Multiples
89.09% of the companies in the same industry are more expensive than PENG, based on the Enterprise Value to EBITDA ratio.
99.09% of the companies in the same industry are more expensive than PENG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.69 | ||
| EV/EBITDA | 8.66 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PENG's earnings are expected to grow with 27.33% in the coming years.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y28.56%
EPS Next 3Y27.33%
5. Dividend
5.1 Amount
PENG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:PENG (8/7/2025, 3:29:57 PM)
22.8057
-0.09 (-0.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners112.62%
Inst Owner ChangeN/A
Ins Owners1.85%
Ins Owner Change-0.72%
Market Cap1.20B
Analysts81.43
Price Target27.69 (21.42%)
Short Float %10.94%
Short Ratio5.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)38.24%
Min EPS beat(2)33.54%
Max EPS beat(2)42.93%
EPS beat(4)3
Avg EPS beat(4)22.41%
Min EPS beat(4)-9.43%
Max EPS beat(4)42.93%
EPS beat(8)6
Avg EPS beat(8)17.27%
EPS beat(12)10
Avg EPS beat(12)23.33%
EPS beat(16)14
Avg EPS beat(16)21.83%
Revenue beat(2)1
Avg Revenue beat(2)0.16%
Min Revenue beat(2)-3.51%
Max Revenue beat(2)3.84%
Revenue beat(4)2
Avg Revenue beat(4)-0.38%
Min Revenue beat(4)-6.14%
Max Revenue beat(4)4.29%
Revenue beat(8)2
Avg Revenue beat(8)-8.06%
Revenue beat(12)4
Avg Revenue beat(12)-13.54%
Revenue beat(16)6
Avg Revenue beat(16)-16.06%
PT rev (1m)4.11%
PT rev (3m)4.11%
EPS NQ rev (1m)23.72%
EPS NQ rev (3m)22.57%
EPS NY rev (1m)10.03%
EPS NY rev (3m)10.03%
Revenue NQ rev (1m)1.47%
Revenue NQ rev (3m)1.81%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.33 | ||
| Fwd PE | 11.04 | ||
| P/S | 0.89 | ||
| P/FCF | 7.69 | ||
| P/OCF | 7.14 | ||
| P/B | 2.04 | ||
| P/tB | 3.52 | ||
| EV/EBITDA | 8.66 |
EPS(TTM)1.85
EY8.11%
EPS(NY)2.07
Fwd EY9.06%
FCF(TTM)2.97
FCFY13.01%
OCF(TTM)3.19
OCFY14%
SpS25.61
BVpS11.16
TBVpS6.47
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.82% | ||
| ROE | -2.51% | ||
| ROCE | 5.16% | ||
| ROIC | 4.08% | ||
| ROICexc | 9.15% | ||
| ROICexgc | 15.68% | ||
| OM | 5.1% | ||
| PM (TTM) | N/A | ||
| GM | 28.76% | ||
| FCFM | 11.59% |
ROA(3y)-3.92%
ROA(5y)-2.07%
ROE(3y)-26.58%
ROE(5y)-14.66%
ROIC(3y)3.16%
ROIC(5y)N/A
ROICexc(3y)4.54%
ROICexc(5y)N/A
ROICexgc(3y)6.66%
ROICexgc(5y)N/A
ROCE(3y)4%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-39.13%
ROICexc growth 3YN/A
ROICexc growth 5Y-36.24%
OM growth 3YN/A
OM growth 5Y-19.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.11%
GM growth 5Y8.37%
F-Score5
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 4.24 | ||
| Debt/EBITDA | 5.04 | ||
| Cap/Depr | 20.35% | ||
| Cap/Sales | 0.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 131.98% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.62 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 2.01 |
F-Score5
WACC10.78%
ROIC/WACC0.38
Cap/Depr(3y)47.82%
Cap/Depr(5y)65.88%
Cap/Sales(3y)2.38%
Cap/Sales(5y)2.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)50.41%
EPS 3Y-21.66%
EPS 5Y-5.74%
EPS Q2Q%27.03%
EPS Next Y45.67%
EPS Next 2Y28.56%
EPS Next 3Y27.33%
EPS Next 5YN/A
Revenue 1Y (TTM)31.19%
Revenue growth 3Y3.52%
Revenue growth 5Y-0.69%
Sales Q2Q%7.88%
Revenue Next Year15.89%
Revenue Next 2Y12.21%
Revenue Next 3Y12.52%
Revenue Next 5YN/A
EBIT growth 1Y205.22%
EBIT growth 3YN/A
EBIT growth 5Y-20.47%
EBIT Next Year50.41%
EBIT Next 3Y29.75%
EBIT Next 5YN/A
FCF growth 1Y269.31%
FCF growth 3Y-18.27%
FCF growth 5Y-15.78%
OCF growth 1Y89.11%
OCF growth 3Y-20.46%
OCF growth 5Y-14.58%