In the latest close session, Pure Storage (PSTG) was up +1.36% at $73.59. The stock exceeded the S&P 500, which registered a loss of 0.28% for the day. Elsewhere, the Dow lost 0.54%, while the tech-heavy Nasdaq lost 0.31%.
The data storage company's stock has climbed by 1.2% in the past month, exceeding the Computer and Technology sector's loss of 3.36% and the S&P 500's loss of 0.76%.
The upcoming earnings release of Pure Storage will be of great interest to investors. The company's earnings report is expected on February 25, 2026. The company's upcoming EPS is projected at $0.65, signifying a 44.44% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.03 billion, indicating a 17.21% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.95 per share and a revenue of $3.63 billion, indicating changes of +15.38% and +14.72%, respectively, from the former year.
Any recent changes to analyst estimates for Pure Storage should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.29% lower. Pure Storage is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Pure Storage is currently exchanging hands at a Forward P/E ratio of 31.09. This denotes a premium relative to the industry average Forward P/E of 19.13.
We can additionally observe that PSTG currently boasts a PEG ratio of 1.83. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Computer- Storage Devices industry held an average PEG ratio of 1.8.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 44, finds itself in the top 18% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Pure Storage, Inc. (PSTG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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