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PENG vs PRGS

PENG
Penguin Solutions, Inc.
NEUTRAL
Price
$26.09
Market Cap
$1.37B
Sector
Technology
AI Confidence
85%
PRGS
Progress Software Corporation
NEUTRAL
Price
$30.93
Market Cap
$1.3B
Sector
Technology
AI Confidence
80%

Valuation

P/E Ratio
PENG
37.27
PRGS
15.86
Forward P/E
PENG
10.14
PRGS
5.1
P/B Ratio
PENG
3.38
PRGS
2.61
P/S Ratio
PENG
1.02
PRGS
1.32
EV/EBITDA
PENG
11.2
PRGS
7.76

Profitability

Gross Margin
PENG
28.32%
PRGS
85.25%
Operating Margin
PENG
7.8%
PRGS
19.91%
Profit Margin
PENG
4.07%
PRGS
8.61%
ROE
PENG
9.59%
PRGS
18.27%
ROA
PENG
3.04%
PRGS
4.66%

Growth

Revenue Growth
PENG
-6.2%
PRGS
4.1%
Earnings Growth
PENG
544.4%
PRGS
120.8%

Financial Health

Debt/Equity
PENG
0.83
PRGS
2.76
Current Ratio
PENG
2.1
PRGS
0.47
Quick Ratio
PENG
1.46
PRGS
0.38

Dividends

Dividend Yield
PENG
--
PRGS
--
Payout Ratio
PENG
0.0%
PRGS
0.0%

AI Verdict

PENG NEUTRAL

PENG presents a complex profile with a stable Piotroski F-Score of 4/9 and a current price ($26.09) that significantly exceeds both its Graham Number ($11.02) and Intrinsic Value ($20.65). While the company exhibits explosive YoY earnings growth (544.40%) and a highly attractive Forward P/E of 10.14, these are contrasted by negative revenue growth (-6.20%) and bearish insider activity. The stock is currently trading at a growth premium, supported by strong analyst consensus but hindered by fundamental top-line contraction.

Strengths
Exceptional YoY earnings growth of 544.40%
Very attractive Forward P/E ratio of 10.14
Strong track record of earnings beats (3/4 last 4 quarters)
Risks
Negative YoY and Q/Q revenue growth indicating top-line struggle
Bearish insider sentiment with consistent officer selling
Current price is 23% above growth-based intrinsic value
PRGS NEUTRAL

PRGS presents a stark contrast between strong profitability and precarious financial health. While the Piotroski F-Score of 4/9 indicates stable but mediocre health, the liquidity metrics (Current Ratio 0.47) and high leverage (Debt/Equity 2.76) are significant red flags. The stock is fundamentally undervalued relative to its intrinsic value ($57.52) and forward P/E (5.10), but this value is offset by a severe bearish technical trend and negative insider sentiment.

Strengths
Exceptional gross margins (85.25%) indicating strong pricing power
Consistent earnings beat track record over 25 quarters
Extremely low forward P/E ratio of 5.10
Risks
Severe liquidity risk with a current ratio of 0.47
High debt burden with a Debt/Equity ratio of 2.76
Stagnant revenue growth (4.10% YoY)

Compare Another Pair

PENG vs PRGS: Head-to-Head Comparison

This page compares Penguin Solutions, Inc. (PENG) and Progress Software Corporation (PRGS) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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