
Pure Storage (PSTG) Stock Forecast & Price Target
Pure Storage (PSTG) Analyst Ratings
Bulls say
Pure Storage Inc. demonstrated a strong financial performance with remaining performance obligations totaling $2.94 billion, reflecting a 24% year-over-year growth, indicating robust demand for its subscription services. The company reported a revenue of $964.5 million for the latest quarter, marking a 16% increase year-over-year and exceeding management's guidance and consensus estimates. Additionally, with deferred revenues rising to $1.96 billion, up 2.5% quarter-over-quarter, there is significant potential for sustained revenue growth and improved operating margins in the foreseeable future.
Bears say
Pure Storage faces significant challenges due to greater-than-expected declines in NAND pricing, which resulted in revenue underperformance relative to guidance in recent quarters. The company's subscription offerings, while having a ratable nature, may hinder revenue growth due to mismatches in revenue recognition against rising expenses, compounded by a potential shift of enterprise customers towards cloud solutions, which stagnates traditional enterprise storage sales. Additionally, external factors such as U.S.-China tensions may create supply chain disruptions, while a stagnant economic backdrop could further pressure IT budgets, ultimately impacting Pure Storage's revenues and profitability.
This aggregate rating is based on analysts' research of Pure Storage and is not a guaranteed prediction by Public.com or investment advice.
Pure Storage (PSTG) Analyst Forecast & Price Prediction
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