Pure Storage (PSTG) closed the latest trading day at $47.58, indicating no change from the previous session's end. The stock exceeded the S&P 500, which registered a loss of 0.77% for the day. Elsewhere, the Dow saw a downswing of 0.95%, while the tech-heavy Nasdaq depreciated by 0.87%.
Prior to today's trading, shares of the data storage company had gained 23.58% over the past month. This has outpaced the Computer and Technology sector's gain of 16.73% and the S&P 500's gain of 11.54% in that time.
The investment community will be closely monitoring the performance of Pure Storage in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.25, marking a 21.88% fall compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $771.15 million, indicating a 11.2% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.72 per share and a revenue of $3.51 billion, signifying shifts of +1.78% and +10.86%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Pure Storage. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.78% decrease. As of now, Pure Storage holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Pure Storage is holding a Forward P/E ratio of 27.65. This valuation marks a premium compared to its industry's average Forward P/E of 12.02.
Also, we should mention that PSTG has a PEG ratio of 1.65. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer- Storage Devices industry currently had an average PEG ratio of 1.65 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 232, this industry ranks in the bottom 7% of all industries, numbering over 250.
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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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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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