Penguin Solutions (NAS:PENG) Forward PE Ratio Explanation
The Forward PE Ratio of a company is often used to compare current earnings to estimated future earnings, as well as gaining a clearer picture of what earnings will look like without charges and other accounting adjustments. If earnings are expected to grow in the future, the Forward PE Ratio will be lower than the current PE Ratio. This measure is also used to compare one company to another with a forward-looking focus.
Trailing PE Ratio relies on what is already done. It uses the current share price and divides by the total EPS (Basic) over the past 12 months. PE Ratio can be affected by Non Operating Income such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio .
Penguin Solutions Forward PE Ratio Related Terms
Penguin Solutions Forward PE Ratio Historical Data
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The historical data trend for Penguin Solutions's Forward PE Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Penguin Solutions Forward PE Ratio Chart
Penguin Solutions Annual Data
Trend
2017-08
2018-08
2019-08
2020-08
2021-08
2022-08
2023-08
2024-08
2025-08
Forward PE Ratio
6.77
4.66
7.28
7.12
8.55
7.34
9.57
10.89
7.86
Penguin Solutions Quarterly Data
2017-08
2017-11
2018-02
2018-05
2018-08
2018-11
2019-02
2019-05
2019-08
2019-11
2020-02
2020-05
2020-08
2020-11
2021-02
2021-05
2021-08
2021-11
2022-02
2022-05
2022-08
2022-11
2023-02
2023-05
2023-08
2023-11
2024-02
2024-05
2024-08
2024-11
2025-02
2025-05
2025-08
2025-11
2026-02
2026-05
Forward PE Ratio
6.77
10.17
7.93
6.46
4.66
5.02
6.82
4.82
7.28
8.85
8.87
7.05
7.12
9.53
13.33
9.67
8.55
9.30
8.77
6.49
7.34
6.88
7.58
9.24
9.57
17.30
18.94
10.83
10.89
9.43
11.11
5.78
7.86
9.93
10.18
20.97
PENG vs CHRN, PONY, KD: Forward PE Ratio Comparison
For the Information Technology Services subindustry, Penguin Solutions's Forward PE Ratio, along with its competitors' market caps and Forward PE Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Penguin Solutions Forward PE Ratio vs Software Industry
For the Software industry and Technology sector, Penguin Solutions's Forward PE Ratio distribution charts can be found below:
* The bar in red indicates where Penguin Solutions's Forward PE Ratio falls into.
It's a measure of the price-to-earnings ratio (PE Ratio) using forecasted earnings for the calculation. While the earnings used are just an estimate and are not as reliable as current earnings data, there is still benefit in estimated P/E analysis. The forecasted earnings used in the formula can either be for the next 12 months or for the next full-year fiscal period.
Penguin Solutions (PENG) has a Forward PE Ratio of 24.83 as of Jul. 12, 2026. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Penguin Solutions and its competitors. According to the industry distribution chart, Penguin Solutions ranks #747 out of 1171 companies in the Software industry, placing it in the top 63.8%.
Is Penguin Solutions' Forward PE Ratio too high?
Penguin Solutions' current Forward PE Ratio is 24.83. The Software industry median Forward PE Ratio is 18.62. Penguin Solutions' value of 24.83 is 33.4% above this industry median. Based on the distribution chart, Penguin Solutions ranks #747 out of 1171 companies in the Software industry, which is below the industry midpoint. Overall, Penguin Solutions has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Penguin Solutions' Forward PE Ratio compare to CHRN and PONY?
According to the Software industry distribution chart, Penguin Solutions ranks #747 out of 1171 companies for Forward PE Ratio. This places Penguin Solutions in the lower half of its industry. The industry median Forward PE Ratio is 18.62. Penguin Solutions' value of 24.83 is 33.4% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward PE Ratio for a Software company?
The median Forward PE Ratio among Software companies is 18.62, based on 1,171 companies in the industry. Companies in the top quartile (top 25%) have a Forward PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Forward PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Penguin Solutions's current Forward PE Ratio of 24.83 is 33.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward PE Ratio mean?
A high Forward PE Ratio can signal that a stock is expensive relative to its fundamentals. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Penguin Solutions and its competitors. For the Software industry, the median Forward PE Ratio is 18.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Penguin Solutions's current Forward PE Ratio is 24.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Penguin Solutions stock overvalued right now?
Based on GuruFocus' analysis, Penguin Solutions (PENG) is currently considered Significantly Overvalued. The stock's GF Value™ is $24.90, compared to a current price of $78.35 — trading 214.7% above its estimated fair value. The current Forward PE Ratio is 24.83 and 33.4% above the Software industry median of 18.62. Penguin Solutions' overall GF Score™ is 69/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward PE Ratio calculated?
Forward PE Ratio is calculated from a company's financial statements. For Penguin Solutions (PENG), the current Forward PE Ratio is 24.83 as of Jul. 12, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Penguin Solutions (PENG) Overvalued in 2026?
Based on GuruFocus' analysis, Penguin Solutions stock appears to be overvalued.
The current stock price of $78.35 is trading 214.7% above its estimated GF Value™ of $24.90.
GuruFocus considers Penguin Solutions to be Significantly Overvalued.
Key valuation signals for PENG:
Forward PE Ratio: 24.83
GF Value™: $24.90 vs. price of $78.35 (214.7% above fair value)
Industry Position: 33.4% above the Software median (#747 of 1171)
No single metric tells the full story. See the PENG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Penguin Solutions Inc is an end-to-end technology company engaged in Intelligent Platform Solutions, Integrated Memory, and Optimized LED business. Its product include Servers, software, OCP HPC & AI system, Racks and Edge. Servers include AMD-based Serves, Intel-based Servers, etc. Software products include Scyld ClusterWare, Scyld Cloud Central, etc. OCP HPC & AI Systems includes OCP Servers & Storage and etc.
69GF Score
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Forward PE Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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