Zacks Investment Research cut shares of Pure Storage (NYSE:PSTG) from a buy rating to a hold rating in a report published on Monday.

According to Zacks, “Pure Storage reported stellar second-quarter results. Robust business fundamentals and strong go-to-market strategies are key catalysts. Moreover, Gartner has placed Pure Storage “as a leader in their Magic Quadrant” for the fifth consecutive year. Further, it continues to gain from adoption of its strong product portfolio including the likes of FlashArray and FlashBlade. Additionally, the company’s data platform for cloud is gaining traction. The transition to cloud-capable storage for data integrity and predictive analytics bodes well for Pure Storage. The stock has outperformed the industry in the past year. Expanding customer base is a positive. Further, strengthening partnership with NVIDIA is likely to bolster its growth prospects and expand product offerings. However, increasing competition from established storage players like HPE and NetApp is a major concern. Also, lack of big international customers is a headwind.”

Several other equities research analysts also recently issued reports on the stock. Deutsche Bank lifted their price target on shares of Pure Storage from $25.00 to $26.00 and gave the stock a buy rating in a research note on Wednesday, August 22nd. BMO Capital Markets lifted their price target on shares of Pure Storage from $29.00 to $30.00 and gave the stock an outperform rating in a research note on Wednesday, August 22nd. Bank of America boosted their target price on shares of Pure Storage from $26.00 to $28.00 and gave the stock a buy rating in a research report on Wednesday, August 22nd. Lake Street Capital reissued a buy rating and issued a $29.00 target price (up previously from $24.00) on shares of Pure Storage in a research report on Wednesday, August 22nd. Finally, Raymond James boosted their target price on shares of Pure Storage from $25.00 to $28.00 and gave the stock an outperform rating in a research report on Wednesday, August 22nd. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and eighteen have issued a buy rating to the company. The company presently has a consensus rating of Buy and an average price target of $25.66.

Pure Storage stock opened at $26.82 on Monday. Pure Storage has a 12-month low of $13.96 and a 12-month high of $27.15. The firm has a market cap of $5.99 billion, a P/E ratio of -31.69 and a beta of 1.12. The company has a current ratio of 4.34, a quick ratio of 4.22 and a debt-to-equity ratio of 0.68.

Pure Storage (NYSE:PSTG) last released its quarterly earnings results on Tuesday, August 21st. The technology company reported $0.01 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.06) by $0.07. Pure Storage had a negative net margin of 15.07% and a negative return on equity of 32.22%. The firm had revenue of $308.90 million for the quarter, compared to the consensus estimate of $301.32 million. During the same quarter in the previous year, the firm posted ($0.11) EPS. The firm’s quarterly revenue was up 37.5% on a year-over-year basis. equities analysts expect that Pure Storage will post -0.67 EPS for the current fiscal year.

In related news, Director Michael L. Speiser sold 4,437,833 shares of the business’s stock in a transaction dated Monday, July 9th. The shares were sold at an average price of $23.38, for a total transaction of $103,756,535.54. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider John Colgrove sold 3,428 shares of the business’s stock in a transaction dated Thursday, July 5th. The shares were sold at an average price of $23.38, for a total transaction of $80,146.64. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 6,928,106 shares of company stock valued at $162,946,604. Insiders own 15.30% of the company’s stock.

Several large investors have recently made changes to their positions in the stock. Legal & General Group Plc grew its position in shares of Pure Storage by 12.5% during the 2nd quarter. Legal & General Group Plc now owns 20,197 shares of the technology company’s stock valued at $482,000 after buying an additional 2,248 shares during the last quarter. D.A. Davidson & CO. grew its position in shares of Pure Storage by 12.2% during the 2nd quarter. D.A. Davidson & CO. now owns 23,545 shares of the technology company’s stock valued at $562,000 after buying an additional 2,552 shares during the last quarter. First Mercantile Trust Co. grew its position in shares of Pure Storage by 37.2% during the 2nd quarter. First Mercantile Trust Co. now owns 13,508 shares of the technology company’s stock valued at $323,000 after buying an additional 3,662 shares during the last quarter. Swiss National Bank grew its position in shares of Pure Storage by 2.8% during the 1st quarter. Swiss National Bank now owns 142,800 shares of the technology company’s stock valued at $2,849,000 after buying an additional 3,900 shares during the last quarter. Finally, Cubist Systematic Strategies LLC grew its position in shares of Pure Storage by 58.8% during the 2nd quarter. Cubist Systematic Strategies LLC now owns 10,910 shares of the technology company’s stock valued at $261,000 after buying an additional 4,039 shares during the last quarter. 68.77% of the stock is owned by institutional investors and hedge funds.

Pure Storage Company Profile

Pure Storage, Inc engages in building a data platform that enables businesses to enhance performance and reduce complexity and costs worldwide. The company delivers its data platform through Purity Operating Environment, an optimized software for solid-state memory that offers enterprise-class storage and protocol services; FlashArray and FlashBlade optimized hardware products for solid-state memory to enhance the performance and density of flash, optimize its advanced software services, and reduce solution cost for customers; Pure1, a cloud-based management and support software; and FlashStack, a converged infrastructure solution.

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