Latest news with #PENG
Yahoo
11-07-2025
- Business
- Yahoo
Penguin Solutions Launches Next-Gen Stratus ztC Endurance for Ultra-High Availability, AI Workloads
Penguin Solutions Inc. (NASDAQ:PENG) is one of the cheap IT stocks hedge funds are buying. On June 17, Penguin Solutions announced the second generation of its award-winning Stratus ztC Endurance platform, its flagship fault-tolerant computing platform designed to deliver seven nines (99.99999%) availability. This new family of platforms ensures the uptime of critical applications and data while consolidating workloads within a highly reliable, manageable, and serviceable IT footprint for IT teams. The new generation expands its operating system support to include Linux (RHEL 9.4), in addition to bare metal or virtualized versions of Windows Server and VMware vSphere. A woman and man in formal attire in a meeting room discussing the latest enterprise solutions technology from the company. This combination of high-end performance and Linux support makes the platforms well-suited for industries such as financial services, retail, and manufacturing. Furthermore, the processing power of the Stratus ztC Endurance 9110 and 7110 platforms positions them well for AI inferencing workloads at the edge, delivering the high throughput and low latency required for applications like AI image classification. Penguin Solutions Inc. (NASDAQ:PENG) designs and develops enterprise solutions worldwide. While we acknowledge the potential of PENG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the . READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
08-07-2025
- Business
- Yahoo
Penguin Solutions, Inc. (PENG) Q3 Earnings Beat Estimates
Penguin Solutions, Inc. (PENG) came out with quarterly earnings of $0.47 per share, beating the Zacks Consensus Estimate of $0.3 per share. This compares to earnings of $0.37 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +56.67%. A quarter ago, it was expected that this company would post earnings of $0.35 per share when it actually produced earnings of $0.52, delivering a surprise of +48.57%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Penguin Solutions, Inc., which belongs to the Zacks Internet - Software industry, posted revenues of $324.25 million for the quarter ended May 2025, missing the Zacks Consensus Estimate by 0.05%. This compares to year-ago revenues of $300.58 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Penguin Solutions, Inc. shares have added about 9.1% since the beginning of the year versus the S&P 500's gain of 5.9%. While Penguin Solutions, Inc. has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Penguin Solutions, Inc. was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.31 on $342.59 million in revenues for the coming quarter and $1.62 on $1.37 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 25% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Compass, Inc. (COMP), has yet to report results for the quarter ended June 2025. This company is expected to post quarterly earnings of $0.08 per share in its upcoming report, which represents a year-over-year change of +100%. The consensus EPS estimate for the quarter has been revised 70.3% lower over the last 30 days to the current level. Compass, Inc.'s revenues are expected to be $2.05 billion, up 20.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Penguin Solutions, Inc. (PENG) : Free Stock Analysis Report Compass, Inc. (COMP) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
15-04-2025
- Business
- Yahoo
3 Small-Cap Stocks in Hot Water
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings. However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats. The downside that can come from buying these securities is precisely why we started StockStory - to isolate the long-term winners from the losers so you can invest with confidence. That said, here are three small-cap stocks to swipe left on and some alternatives you should look into instead. Market Cap: $908.8 million Based in the US, Penguin Solutions (NASDAQ:PENG) is a diversified semiconductor company offering memory, digital, and LED products. Why Should You Sell PENG? Products and services are facing significant end-market challenges during this cycle as sales have declined by 9.4% annually over the last two years Subpar operating margin of 2% constrains its ability to invest in process improvements or effectively respond to new competitive threats Underwhelming 5.4% return on capital reflects management's difficulties in finding profitable growth opportunities, and its shrinking returns suggest its past profit sources are losing steam At $17 per share, Penguin Solutions trades at 10.9x forward price-to-earnings. Read our free research report to see why you should think twice about including PENG in your portfolio, it's free. Market Cap: $548.8 million Promoting a message of body positivity and inclusiveness, Torrid Holdings (NYSE:CURV) is a plus-size women's apparel and accessories retailer. Why Do We Think CURV Will Underperform? Lagging same-store sales over the past two years suggest it might have to change its pricing and marketing strategy to stimulate demand Subscale operations are evident in its revenue base of $1.10 billion, meaning it has fewer distribution channels than its larger rivals Falling earnings per share over the last five years has some investors worried as stock prices ultimately follow EPS over the long term Torrid's stock price of $5.25 implies a valuation ratio of 22.7x forward price-to-earnings. If you're considering CURV for your portfolio, see our FREE research report to learn more. Market Cap: $2.65 billion With approximately 5,000 locations across 49 U.S. states and 13 other countries, Driven Brands (NASDAQ:DRVN) operates a network of automotive service centers offering maintenance, car washes, paint, collision repair, and glass services across North America. Why Is DRVN Not Exciting? Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results Depletion of cash reserves could lead to a fundraising event that triggers shareholder dilution Driven Brands is trading at $16.12 per share, or 13x forward price-to-earnings. Check out our free in-depth research report to learn more about why DRVN doesn't pass our bar. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 175% over the last five years. Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free. Sign in to access your portfolio
