Pure Storage (NYSE:PSTG) Stock Price Down 14.6% – Should You Sell?

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

Trending Headlines about Pure Storage

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

• Positive Sentiment: Q4 beat and scale: Everpure reported roughly $1.06B in Q4 revenue (≈20% YoY growth) and adjusted EPS of $0.69, topping estimates and marking its first $1B quarter — evidence of continued demand and hyperscale momentum. Read More.
• Positive Sentiment: Rebrand and M&A to shift strategy: The company rebranded to Everpure and announced a definitive agreement to acquire 1touch to add data discovery/semantic/contextual capabilities, signaling a move from hardware-centric storage toward data intelligence/AI-enabled offerings. Read More.
• Positive Sentiment: Guidance and backlog: Q1 revenue guidance (~$990M–$1.0B) was above Street expectations and FY27 revenue guidance was maintained/raised to ~$4.3B–$4.4B, while Q4 remaining performance obligations (RPO) grew >40% YoY — supportive for forward revenue visibility. Read More.
• Positive Sentiment: Analyst support: Wedbush reiterated an Outperform, and some firms raised price targets after the results, reflecting positive sell‑side reception. Read More.
• Neutral Sentiment: Mixed analyst posture: Barclays raised its price target to $81 but kept an “equal weight” rating, a cautious endorsement that tempers upside momentum. Read More.
• Neutral Sentiment: Additional disclosure/materials: The company posted the earnings slide deck and call transcript for deeper diligence — useful but not market-moving by itself. Read More.
• Negative Sentiment: Short-term profit-taking after the post‑earnings pop: Shares initially jumped on the beat/rebrand, and some investors appear to have sold into that strength, pushing the stock lower today. Read More.
• Negative Sentiment: Valuation and expectations: PSTG/Everpure still carries a high valuation (stretched trailing P/E) versus near-term earnings — that raises sensitivity to any execution risk or guidance that falls short of very strong expectations, which can amplify downside after a big run.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on PSTG. TD Cowen reissued a “buy” rating on shares of Pure Storage in a research report on Wednesday, December 3rd. Needham & Company LLC reiterated a “buy” rating and set a $100.00 price target on shares of Pure Storage in a report on Wednesday, December 3rd. Citigroup lowered their price target on Pure Storage from $105.00 to $90.00 and set a “buy” rating for the company in a research note on Tuesday, February 17th. Susquehanna set a $105.00 price target on shares of Pure Storage in a research note on Wednesday, December 3rd. Finally, Oppenheimer began coverage on shares of Pure Storage in a research note on Monday, November 17th. They issued an “outperform” rating and a $120.00 price objective for the company. Twelve equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Pure Storage currently has a consensus rating of “Moderate Buy” and a consensus target price of $94.16.

Pure Storage Trading Down 12.3%

The stock has a market cap of $21.30 billion, a P/E ratio of 169.71, a P/E/G ratio of 5.94 and a beta of 1.27. The firm’s fifty day moving average is $70.47 and its 200 day moving average is $77.52.

Pure Storage (NYSE:PSTG) last issued its quarterly earnings results on Tuesday, December 2nd. The technology company reported $0.58 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.58. The company had revenue of $964.45 million for the quarter, compared to the consensus estimate of $955.60 million. Pure Storage had a return on equity of 10.60% and a net margin of 3.74%.The firm’s revenue was up 16.1% compared to the same quarter last year. During the same period last year, the business posted $0.50 earnings per share. Research analysts forecast that Pure Storage, Inc. will post 0.44 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Ajay Singh sold 7,178 shares of the company’s stock in a transaction dated Tuesday, December 23rd. The shares were sold at an average price of $67.14, for a total value of $481,930.92. Following the sale, the insider owned 215,091 shares of the company’s stock, valued at approximately $14,441,209.74. This represents a 3.23% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider John Colgrove sold 100,000 shares of the firm’s stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $71.31, for a total transaction of $7,131,000.00. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 5.60% of the company’s stock.

Hedge Funds Weigh In On Pure Storage

A number of large investors have recently modified their holdings of PSTG. Integrated Wealth Concepts LLC bought a new position in Pure Storage in the 1st quarter worth approximately $541,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in shares of Pure Storage by 129.1% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,742 shares of the technology company’s stock valued at $387,000 after buying an additional 4,926 shares during the period. Goldman Sachs Group Inc. raised its position in shares of Pure Storage by 109.7% during 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 last quarter. Empowered Funds LLC lifted its stake in shares of 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 period. Finally, D.A. Davidson & CO. boosted its holdings in Pure Storage by 9.6% in the second quarter. D.A. Davidson & CO. now owns 7,672 shares of the technology company’s stock valued at $442,000 after acquiring an additional 672 shares during the last quarter. 83.42% of the stock is currently owned by institutional investors and hedge funds.

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.