Pure Storage (NYSE:PSTG) Stock Price Down 14.6% – Time to Sell?

Pure Storage, Inc. (NYSE:PSTG)’s stock price was down 14.6% during trading on Thursday . The stock traded as low as $63.00 and last traded at $62.82. Approximately 1,969,570 shares traded hands during trading, a decline of 46% from the average daily volume of 3,654,480 shares. The stock had previously closed at $73.56.

Pure Storage News Summary

Here are the key news stories impacting Pure Storage this week:

• Positive Sentiment: Q4 results and guidance beat expectations — Pure Storage reported its first $1.06B quarter, non-GAAP EPS of $0.69 (beats) and raised FY27 revenue/profit outlook driven by hyperscaler demand. This underpins near-term growth expectations. Read More.
• Positive Sentiment: Rebrand and strategic M&A — The company rebranded as Everpure and signed a deal to acquire data‑intelligence firm 1touch, signaling a move from hardware-centric storage toward data management/AI capabilities that could expand TAM and gross-margin mix over time. Read More.
• Positive Sentiment: Bullish analyst/takeaway coverage — Several bullish pieces argue Everpure is capitalizing on hyperscaler AI demand, price increases and NAND procurement shifts that should protect margins and support FY27 growth (supporting a “buy” thesis). Read More.
• Neutral Sentiment: Investor presentations and management commentary — Transcripts from Susquehanna and Bernstein conferences and the Q4 earnings call provide detail on product positioning, hyperscaler traction and go‑to‑market; useful for modeling but not immediate catalysts. Read More. Read More.
• Negative Sentiment: Analyst/valuation concerns — Some commentary flags supply strains, pricing pressure in segments, and a high valuation (elevated P/E), which can make the stock sensitive to any execution slips. Zacks notes these risks despite the beat. Read More.
• Negative Sentiment: Mixed analyst ratings — Barclays raised its target to $81 (equal weight) while UBS raised its target to $63 but kept a sell rating; the split shows disagreement on whether rebrand/growth justify the current multiple, contributing to intraday selling. Read More. Read More.

Analyst Ratings Changes

A number of brokerages recently issued reports on PSTG. JPMorgan Chase & Co. reduced their price target on Pure Storage from $110.00 to $105.00 and set an “overweight” rating on the stock in a report on Wednesday, December 3rd. Needham & Company LLC reissued a “buy” rating and set a $100.00 target price on shares of Pure Storage in a research note on Wednesday, December 3rd. Wells Fargo & Company dropped their price target on Pure Storage from $100.00 to $90.00 and set an “overweight” rating for the company in a research note on Thursday. Citigroup dropped their price target on Pure Storage from $105.00 to $90.00 and set a “buy” rating on the stock in a research report on Tuesday, February 17th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Pure Storage in a research note on Thursday, January 22nd. Twelve analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Pure Storage presently has an average rating of “Moderate Buy” and an average price target of $94.32.

Pure Storage Price Performance

The firm’s 50 day moving average price is $70.35 and its 200-day moving average price is $77.49. The stock has a market cap of $21.18 billion, a P/E ratio of 116.61, a P/E/G ratio of 5.78 and a beta of 1.27.

Pure Storage (NYSE:PSTG) last announced its quarterly earnings data on Wednesday, February 25th. The technology company reported $0.69 earnings per share for the quarter, topping analysts’ consensus estimates of $0.65 by $0.04. Pure Storage had a net margin of 5.14% and a return on equity of 14.69%. The company had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.03 billion. During the same period in the previous year, the business earned $0.45 EPS. The firm’s revenue for the quarter was up 20.4% on a year-over-year basis. On average, analysts expect that Pure Storage, Inc. will post 0.44 earnings per share for the current year.

Insiders Place Their Bets

In other Pure Storage news, insider John Colgrove sold 100,000 shares of the company’s stock in a transaction dated Monday, December 8th. The shares were sold at an average price of $71.31, for a total transaction of $7,131,000.00. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Ajay Singh sold 7,178 shares of the firm’s stock in a transaction dated Tuesday, December 23rd. The shares were sold at an average price of $67.14, for a total transaction of $481,930.92. Following the sale, the insider directly owned 215,091 shares in the company, valued at approximately $14,441,209.74. The trade was a 3.23% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 5.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Integrated Wealth Concepts LLC purchased a new stake in Pure Storage during the 1st quarter valued at $541,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of Pure Storage by 129.1% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,742 shares of the technology company’s stock worth $387,000 after acquiring an additional 4,926 shares during the period. Goldman Sachs Group Inc. grew its holdings in shares of Pure Storage by 109.7% in the first quarter. Goldman Sachs Group Inc. now owns 1,137,939 shares of the technology company’s stock worth $50,377,000 after acquiring an additional 595,307 shares during the period. Empowered Funds LLC increased its position in Pure Storage by 4.2% during the first quarter. Empowered Funds LLC now owns 4,790 shares of the technology company’s stock valued at $212,000 after acquiring an additional 194 shares during the last quarter. Finally, Focus Partners Advisor Solutions LLC bought a new position in Pure Storage in the second quarter valued at about $316,000. Institutional investors own 83.42% of the company’s stock.

Pure Storage Company Profile

Pure Storage, Inc (NYSE: PSTG) is a technology company that designs and sells data storage hardware and software for enterprise and cloud environments. The company is best known for its all-flash storage arrays that are engineered to deliver high performance, low latency and simplified management compared with traditional disk-based systems. Its product portfolio includes purpose-built arrays and software aimed at transactional databases, virtualized infrastructures, analytics and large-scale file/object workloads.

Key product and software offerings include the FlashArray family for block storage and FlashBlade for file and object workloads, together with Purity, the company’s storage operating environment.