Barclays analyst Tom O’Malley downgraded Penguin Solutions (PENG) to Equal Weight from Overweight with a price target of $27, up from $23. The company is seeing “significant” margin compression in the second half of the year that likely continues through fiscal 2027 as memory prices remain elevated, the analyst tells investors in a research note. In addition, Barclays says Penguin’s advanced computing business continues to face a Meta headwind and is seeing projects being pushed into 2027.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on PENG:
- Penguin Solutions management to meet virtually with Citizens
- Penguin Solutions Pivots Hard Toward AI Memory Growth
- 3 Best Stocks to Buy amid the Market Pullback, According to Top Analysts
- Penguin Solutions price target raised to $27 from $25 at Needham
- Penguin Solutions price target raised to $32 from $30 at Rosenblatt