PENG Relative Valuation
PENG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, PENG is overvalued; if below, it's undervalued.
Historical Valuation
Penguin Solutions Inc (PENG) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.77 is considered Undervalued compared with the five-year average of 10.70. The fair price of Penguin Solutions Inc (PENG) is between 26.49 to 36.33 according to relative valuation methord. Compared to the current price of 20.69 USD , Penguin Solutions Inc is Undervalued By 21.91%.
Relative Value
Fair Zone
26.49-36.33
Current Price：20.69
21.91%
Undervalued
9.77
PE
1Y
3Y
5Y
6.92
EV/EBITDA
Penguin Solutions Inc. (PENG) has a current EV/EBITDA of 6.92. The 5-year average EV/EBITDA is 6.90. The thresholds are as follows: Strongly Undervalued below 4.19, Undervalued between 4.19 and 5.54, Fairly Valued between 8.25 and 5.54, Overvalued between 8.25 and 9.61, and Strongly Overvalued above 9.61. The current Forward EV/EBITDA of 6.92 falls within the Historic Trend Line -Fairly Valued range.
7.77
EV/EBIT
Penguin Solutions Inc. (PENG) has a current EV/EBIT of 7.77. The 5-year average EV/EBIT is 8.30. The thresholds are as follows: Strongly Undervalued below 4.64, Undervalued between 4.64 and 6.47, Fairly Valued between 10.13 and 6.47, Overvalued between 10.13 and 11.95, and Strongly Overvalued above 11.95. The current Forward EV/EBIT of 7.77 falls within the Historic Trend Line -Fairly Valued range.
0.73
PS
Penguin Solutions Inc. (PENG) has a current PS of 0.73. The 5-year average PS is 0.71. The thresholds are as follows: Strongly Undervalued below 0.42, Undervalued between 0.42 and 0.56, Fairly Valued between 0.85 and 0.56, Overvalued between 0.85 and 1.00, and Strongly Overvalued above 1.00. The current Forward PS of 0.73 falls within the Historic Trend Line -Fairly Valued range.
5.98
P/OCF
Penguin Solutions Inc. (PENG) has a current P/OCF of 5.98. The 5-year average P/OCF is 9.98. The thresholds are as follows: Strongly Undervalued below -10.00, Undervalued between -10.00 and -0.01, Fairly Valued between 19.97 and -0.01, Overvalued between 19.97 and 29.96, and Strongly Overvalued above 29.96. The current Forward P/OCF of 5.98 falls within the Historic Trend Line -Fairly Valued range.
6.86
P/FCF
Penguin Solutions Inc. (PENG) has a current P/FCF of 6.86. The 5-year average P/FCF is 10.92. The thresholds are as follows: Strongly Undervalued below -6.44, Undervalued between -6.44 and 2.24, Fairly Valued between 19.60 and 2.24, Overvalued between 19.60 and 28.28, and Strongly Overvalued above 28.28. The current Forward P/FCF of 6.86 falls within the Historic Trend Line -Fairly Valued range.
Penguin Solutions Inc (PENG) has a current Price-to-Book (P/B) ratio of 2.71. Compared to its 3-year average P/B ratio of 2.81 , the current P/B ratio is approximately -3.48% higher. Relative to its 5-year average P/B ratio of 3.11, the current P/B ratio is about -12.88% higher. Penguin Solutions Inc (PENG) has a Forward Free Cash Flow (FCF) yield of approximately 9.34%. Compared to its 3-year average FCF yield of 8.33%, the current FCF yield is approximately 12.03% lower. Relative to its 5-year average FCF yield of 7.99% , the current FCF yield is about 16.90% lower.
2.71
P/B
Median3y
2.81
Median5y
3.11
9.34
FCF Yield
Median3y
8.33
Median5y
7.99
Competitors Valuation Multiple
The average P/S ratio for PENG's competitors is 12.25, providing a benchmark for relative valuation. Penguin Solutions Inc Corp (PENG) exhibits a P/S ratio of 0.73, which is -94.07% above the industry average. Given its robust revenue growth of 0.58%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of PENG increased by 6.26% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 68.91 to 72.43.
The secondary factor is the Revenue Growth, contributed 0.58%to the performance.
Overall, the performance of PENG in the past 1 year is driven by P/E Change. Which is more unsustainable.
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Frequently Asked Questions
Is Penguin Solutions Inc (PENG) currently overvalued or undervalued?
Penguin Solutions Inc (PENG) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.77 is considered Undervalued compared with the five-year average of 10.70. The fair price of Penguin Solutions Inc (PENG) is between 26.49 to 36.33 according to relative valuation methord. Compared to the current price of 20.69 USD , Penguin Solutions Inc is Undervalued By 21.91% .
What is Penguin Solutions Inc (PENG) fair value?
PENG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Penguin Solutions Inc (PENG) is between 26.49 to 36.33 according to relative valuation methord.
How does PENG's valuation metrics compare to the industry average?
The average P/S ratio for PENG's competitors is 12.25, providing a benchmark for relative valuation. Penguin Solutions Inc Corp (PENG) exhibits a P/S ratio of 0.73, which is -94.07% above the industry average. Given its robust revenue growth of 0.58%, this premium appears unsustainable.
What is the current P/B ratio for Penguin Solutions Inc (PENG) as of Jan 07 2026?
As of Jan 07 2026, Penguin Solutions Inc (PENG) has a P/B ratio of 2.71. This indicates that the market values PENG at 2.71 times its book value.
What is the current FCF Yield for Penguin Solutions Inc (PENG) as of Jan 07 2026?
As of Jan 07 2026, Penguin Solutions Inc (PENG) has a FCF Yield of 9.34%. This means that for every dollar of Penguin Solutions Inc’s market capitalization, the company generates 9.34 cents in free cash flow.
What is the current Forward P/E ratio for Penguin Solutions Inc (PENG) as of Jan 07 2026?
As of Jan 07 2026, Penguin Solutions Inc (PENG) has a Forward P/E ratio of 9.77. This means the market is willing to pay $9.77 for every dollar of Penguin Solutions Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Penguin Solutions Inc (PENG) as of Jan 07 2026?
As of Jan 07 2026, Penguin Solutions Inc (PENG) has a Forward P/S ratio of 0.73. This means the market is valuing PENG at $0.73 for every dollar of expected revenue over the next 12 months.