Semiconductor maker Penguin Solutions (NASDAQ: PENG) will be announcing earnings results this Tuesday afternoon. Here’s what to look for.

Penguin Solutions missed analysts’ revenue expectations by 1.4% last quarter, reporting revenues of $324.3 million, up 7.9% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ adjusted operating income estimates.

Is Penguin Solutions a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Penguin Solutions’s revenue to grow 10.1% year on year to $342.5 million, a reversal from the 1.7% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.37 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Penguin Solutions has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Penguin Solutions’s peers in the semiconductors segment, only Micron has reported results so far. It beat analysts’ revenue estimates by 1.8%, delivering year-on-year sales growth of 46%. The stock was down 2.9% on the results.

There has been positive sentiment among investors in the semiconductors segment, with share prices up 12% on average over the last month. Penguin Solutions is up 12.4% during the same time and is heading into earnings with an average analyst price target of $28.25 (compared to the current share price of $27.82).

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