PENGUIN SOLUTIONS INC (PENG) Stock Fundamental Analysis
NASDAQ:PENG - Nasdaq - KYG8232Y1017 - Common Stock - Currency: USD
Taking everything into account, PENG scores 4 out of 10 in our fundamental rating. PENG was compared to 108 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the profitability and financial health of PENG have multiple concerns. PENG is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PENG was profitable.
PENG had a positive operating cash flow in the past year.
In multiple years PENG reported negative net income over the last 5 years.
PENG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -1.73%, PENG perfoms like the industry average, outperforming 40.74% of the companies in the same industry.
PENG's Return On Equity of -6.83% is on the low side compared to the rest of the industry. PENG is outperformed by 64.81% of its industry peers.
With a Return On Invested Capital value of 2.73%, PENG perfoms like the industry average, outperforming 54.63% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PENG is significantly below the industry average of 11.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.73% | ||
| ROE | -6.83% | ||
| ROIC | 2.73% |
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 of 3.23%. This is comparable to the rest of the industry: PENG outperforms 51.85% of its industry peers.
PENG's Operating Margin has declined in the last couple of years.
PENG has a Gross Margin of 28.86%. This is in the lower half of the industry: PENG underperforms 70.37% of its industry peers.
PENG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.23% | ||
| PM (TTM) | N/A | ||
| GM | 28.86% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PENG is destroying value.
PENG has more shares outstanding than it did 1 year ago.
PENG has more shares outstanding than it did 5 years ago.
PENG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.93 indicates that PENG is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of PENG (1.93) is worse than 65.74% of its industry peers.
The Debt to FCF ratio of PENG is 15.33, which is on the high side as it means it would take PENG, 15.33 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PENG (15.33) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.64 is on the high side and indicates that PENG has dependencies on debt financing.
PENG has a Debt to Equity ratio of 1.64. This is amonst the worse of the industry: PENG underperforms 90.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | 15.33 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.24
WACC11.6%
2.3 Liquidity
PENG has a Current Ratio of 2.33. This indicates that PENG is financially healthy and has no problem in meeting its short term obligations.
PENG has a Current ratio of 2.33. This is in the lower half of the industry: PENG underperforms 64.81% of its industry peers.
A Quick Ratio of 1.75 indicates that PENG should not have too much problems paying its short term obligations.
The Quick ratio of PENG (1.75) is worse than 62.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.33 | ||
| Quick Ratio | 1.75 |
3. Growth
3.1 Past
PENG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.37%.
PENG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.74% yearly.
Looking at the last year, PENG shows a decrease in Revenue. The Revenue has decreased by -0.99% in the last year.
PENG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.69% yearly.
EPS 1Y (TTM)-25.37%
EPS 3Y-21.66%
EPS 5Y-5.74%
EPS Q2Q%104.17%
Revenue 1Y (TTM)-0.99%
Revenue growth 3Y3.52%
Revenue growth 5Y-0.69%
Sales Q2Q%24.38%
3.2 Future
PENG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.69% yearly.
PENG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.71% yearly.
EPS Next Y29.62%
EPS Next 2Y26.96%
EPS Next 3Y22.69%
EPS Next 5YN/A
Revenue Next Year14.74%
Revenue Next 2Y12.36%
Revenue Next 3Y5.71%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 14.75, which indicates a correct valuation of PENG.
88.89% of the companies in the same industry are more expensive than PENG, based on the Price/Earnings ratio.
PENG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.30.
With a Price/Forward Earnings ratio of 10.98, the valuation of PENG can be described as very reasonable.
PENG's Price/Forward Earnings ratio is rather cheap when compared to the industry. PENG is cheaper than 95.37% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of PENG to the average of the S&P500 Index (23.06), we can say PENG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.75 | ||
| Fwd PE | 10.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PENG is valued a bit cheaper than 79.63% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PENG is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.47 | ||
| EV/EBITDA | 13.78 |
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.
PENG's earnings are expected to grow with 22.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.5
PEG (5Y)N/A
EPS Next 2Y26.96%
EPS Next 3Y22.69%
5. Dividend
5.1 Amount
No dividends for PENG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
22.12
-0.09 (-0.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners108.06%
Inst Owner ChangeN/A
Ins Owners2.52%
Ins Owner Change-6.12%
Market Cap1.18B
Analysts83.08
Price Target27.1 (22.51%)
Short Float %13.03%
Short Ratio7.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.58%
Min EPS beat(2)-9.43%
Max EPS beat(2)22.59%
EPS beat(4)3
Avg EPS beat(4)9.25%
Min EPS beat(4)-9.43%
Max EPS beat(4)22.59%
EPS beat(8)6
Avg EPS beat(8)18.38%
EPS beat(12)10
Avg EPS beat(12)19.53%
EPS beat(16)14
Avg EPS beat(16)18.99%
Revenue beat(2)1
Avg Revenue beat(2)-0.93%
Min Revenue beat(2)-6.14%
Max Revenue beat(2)4.29%
Revenue beat(4)1
Avg Revenue beat(4)-1.31%
Min Revenue beat(4)-6.14%
Max Revenue beat(4)4.29%
Revenue beat(8)2
Avg Revenue beat(8)-8.49%
Revenue beat(12)4
Avg Revenue beat(12)-13.51%
Revenue beat(16)7
Avg Revenue beat(16)-15.82%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)-4.42%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-9.06%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)6.14%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.02%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.75 | ||
| Fwd PE | 10.98 | ||
| P/S | 0.95 | ||
| P/FCF | 27.47 | ||
| P/OCF | 19.8 | ||
| P/B | 2.94 | ||
| P/tB | 9.32 | ||
| EV/EBITDA | 13.78 |
EPS(TTM)1.5
EY6.78%
EPS(NY)2.01
Fwd EY9.11%
FCF(TTM)0.81
FCFY3.64%
OCF(TTM)1.12
OCFY5.05%
SpS23.22
BVpS7.51
TBVpS2.37
PEG (NY)0.5
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.73% | ||
| ROE | -6.83% | ||
| ROCE | 3.46% | ||
| ROIC | 2.73% | ||
| ROICexc | 4.15% | ||
| ROICexgc | 6.47% | ||
| OM | 3.23% | ||
| PM (TTM) | N/A | ||
| GM | 28.86% | ||
| FCFM | 3.47% |
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)4.85%
ROICexc(5y)N/A
ROICexgc(3y)7.31%
ROICexgc(5y)N/A
ROCE(3y)4%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-31.95%
ROICexc growth 3YN/A
ROICexc growth 5Y-31.15%
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-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | 15.33 | ||
| Debt/EBITDA | 6.39 | ||
| Cap/Depr | 26.36% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 57.78% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.33 | ||
| Quick Ratio | 1.75 | ||
| Altman-Z | 1.93 |
F-Score6
WACC11.6%
ROIC/WACC0.24
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)-25.37%
EPS 3Y-21.66%
EPS 5Y-5.74%
EPS Q2Q%104.17%
EPS Next Y29.62%
EPS Next 2Y26.96%
EPS Next 3Y22.69%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.99%
Revenue growth 3Y3.52%
Revenue growth 5Y-0.69%
Sales Q2Q%24.38%
Revenue Next Year14.74%
Revenue Next 2Y12.36%
Revenue Next 3Y5.71%
Revenue Next 5YN/A
EBIT growth 1Y161.27%
EBIT growth 3YN/A
EBIT growth 5Y-20.47%
EBIT Next Year51.23%
EBIT Next 3Y21.67%
EBIT Next 5YN/A
FCF growth 1Y302.43%
FCF growth 3Y-18.27%
FCF growth 5Y-15.78%
OCF growth 1Y276.75%
OCF growth 3Y-20.46%
OCF growth 5Y-14.58%