Data storage solutions provider Pure Storage (NYSE: PSTG) will be reporting earnings this Tuesday after market close. Here’s what you need to know.
Pure Storage beat analysts’ revenue expectations by 1.7% last quarter, reporting revenues of $861 million, up 12.7% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ billings estimates and revenue guidance for next quarter exceeding analysts’ expectations.
Is Pure Storage a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Pure Storage’s revenue to grow 15% year on year to $955.8 million, improving from the 8.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.58 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Pure Storage has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.2% on average.
Looking at Pure Storage’s peers in the hardware & infrastructure segment, some have already reported their Q3 results, giving us a hint as to what we can expect. IonQ delivered year-on-year revenue growth of 222%, beating analysts’ expectations by 47.8%, and Dell reported revenues up 10.8%, in line with consensus estimates. IonQ traded up 3.6% following the results while Dell was also up 5.5%.
Read our full analysis of IonQ’s results here and Dell’s results here.
The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the hardware & infrastructure stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.3% on average over the last month. Pure Storage is down 9.8% during the same time and is heading into earnings with an average analyst price target of $92.21 (compared to the current share price of $88.91).
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