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Pure Storage (PSTG) Stock Sinks As Market Gains: Here's Why
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Pure Storage (PSTG - Free Report) ended the recent trading session at $53.93, demonstrating a -0.26% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.74%.
Shares of the data storage company witnessed a gain of 1.71% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 3.99% and the S&P 500's gain of 3.16%.
The investment community will be closely monitoring the performance of Pure Storage in its forthcoming earnings report. The company is predicted to post an EPS of $0.43, indicating a 14% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $814.63 million, up 6.79% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.66 per share and revenue of $3.13 billion, which would represent changes of +16.9% and +10.45%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Pure Storage. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Currently, Pure Storage is carrying a Zacks Rank of #4 (Sell).
Looking at its valuation, Pure Storage is holding a Forward P/E ratio of 32.67. This expresses a premium compared to the average Forward P/E of 13.05 of its industry.
Meanwhile, PSTG's PEG ratio is currently 2.19. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Computer- Storage Devices industry held an average PEG ratio of 2.19.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PSTG in the coming trading sessions, be sure to utilize Zacks.com.
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Pure Storage (PSTG) Stock Sinks As Market Gains: Here's Why
Pure Storage (PSTG - Free Report) ended the recent trading session at $53.93, demonstrating a -0.26% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.74%.
Shares of the data storage company witnessed a gain of 1.71% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 3.99% and the S&P 500's gain of 3.16%.
The investment community will be closely monitoring the performance of Pure Storage in its forthcoming earnings report. The company is predicted to post an EPS of $0.43, indicating a 14% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $814.63 million, up 6.79% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.66 per share and revenue of $3.13 billion, which would represent changes of +16.9% and +10.45%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Pure Storage. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Currently, Pure Storage is carrying a Zacks Rank of #4 (Sell).
Looking at its valuation, Pure Storage is holding a Forward P/E ratio of 32.67. This expresses a premium compared to the average Forward P/E of 13.05 of its industry.
Meanwhile, PSTG's PEG ratio is currently 2.19. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Computer- Storage Devices industry held an average PEG ratio of 2.19.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PSTG in the coming trading sessions, be sure to utilize Zacks.com.