As of Friday close, Pure Storage Inc.’s (NYSE:PSTG) stock was down -$0.03, moving down -0.09 percent to $34.63. The average number of shares traded per day over the past five days has been 3,507,620 shares. 3 times new highs have been achieved over the past 5 days, with a -$1.62 fall in that time frame. In the last twenty days, the average volume was 4,024,260, while in the previous 50 days, it was 3,501,928.
Since last month, PSTG stock retreated -8.84%. Shares of the company fell to $33.64 on 09/21/23, the lowest level in the past month. A 52-week high of $40.50 was reached on 09/05/23 after having rallying from a 52-week low of $22.14. Since the beginning of this year, PSTG’s stock price has risen by 29.41% or $7.87, and marked a new high 24 times. However, the stock has declined by -14.49% since its 52-week high.
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PSTG stock investors should be aware that Pure Storage Inc. (PSTG) stock had its last reported insider trading activity 68 days ago on Jul 17. Chu Mona, the Chief Accounting Officer of the company, disposed of 5,387 shares for $38.49 on Jul 17. It resulted in a $207,346 divestment by the insider. Yen Mallun sold 12,495 shares at an average price of $37.95 on Jul 11. The insider now owns 40,316 shares following the transaction. On Jun 26, Director Brown Andrew William Fraser sold 9,097 shares at $35.83 apiece. The transaction was valued at $325,957.
Valuation Metrics
The stock’s beta is 1.27. Besides these, the trailing price-to-sales (P/S) ratio of 3.92, the price-to-book (PB) ratio of 10.86, and the price-to-cash flow ratio of 23.78 may also be considered.
Financial Health
In the three months ended July 30, Pure Storage Inc.’s quick ratio stood at 1.70, while its current ratio was 1.70, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending July 30 was 0.10, and the total debt-to-equity ratio was 0.11. On the profitability front, the trailing twelve-month gross margin is 69.70% percent. In the year ended July 30, EBITDA margin amounted to 6.68%, whereas operating margins totaled -0.20%. Based on annual data, PSTG earned $1.9 billion in gross profit and brought in $2.75 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 4.20%. Return on equity (ROE) for the past 12 months was -0.10%.
In Pure Storage Inc.’s quarter-end financial report for July 30, it reported total debt of $100.0 million. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. PSTG’s revenue rose 6.1% to $588.35 million during the quarter, while net income inched up to $688.59 million. While analysts expected Pure Storage Inc. to report $0.28 quarterly earnings, the actual figure was $0.34 per share, beating the consensus estimate by 21.40%. During the quarter, the company generated $24.0 million in EBITDA. The liabilities of Pure Storage Inc. were 2.15 billion at the end of its most recent quarter ended July 30, and its total debt was $283.98 million. The value of shareholders’ equity is $311.96 million.
Technical Picture
This quick technical analysis looks at Pure Storage Inc.’s (PSTG) price momentum. With a historical volatility rate of 12.25%, the RSI 9-day stood at 25.68% on 22 September.
With respect to its five-day moving average, the current Pure Storage Inc. price is down by -4.47% percent or -$1.62. At present, PSTG shares trade -2.97% below its 20-day simple moving average and +50.30% percent above its 100-day simple moving average. However, the stock is currently trading approximately -9.63% below its SMA50 and +18.27% above its SMA200.
Stochastic coefficient K was 18.50% and Stochastic coefficient D was 23.64%, while ATR was 1.16. Given the Stochastic reading of 14.43% for the 14-day period, the RSI (14) reading has been calculated as 33.83%. As of today, the MACD Oscillator reading stands at -1.18, while the 14-day reading stands at -2.34.
Analyst Ratings
TD Cowen reiterated its an Outperform rating on Pure Storage Inc. (NYSE: PSTG) in a note to investors. The analysts firm has however raised their price target to $50, representing a possible 21.3% increase in the stock price. Pure Storage Inc. (PSTG) has been rated Buy by analysts. According to 0 brokerage firms, PSTG is a sell, and 3 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 2 analysts rate Pure Storage Inc. stock as buy, with 15 recommending it as overweight.
With a median target price of $44.00, the current consensus forecast for the stock is $38.00 – $50.00. Based on these forecasts, analysts predict Pure Storage Inc. (PSTG) will achieve an average price target of $43.36.
