Is Purple Innovation Stock a Good Investment?
Purple Innovation Investment Advice | PRPL |
- Examine Purple Innovation's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Purple Innovation's leadership team and their track record. Good management can help Purple Innovation navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Household Appliances space and any emerging trends that could impact Purple Innovation's business and its evolving consumer preferences.
- Compare Purple Innovation's performance and market position to its competitors. Analyze how Purple Innovation is positioned in terms of product offerings, innovation, and market share.
- Check if Purple Innovation pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Purple Innovation's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Purple Innovation stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Purple Innovation is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very risky | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | High | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Excited | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Purple Innovation Stock
Researching Purple Innovation's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 75.0% of the company shares are owned by institutional investors. The book value of Purple Innovation was at this time reported as 0.26. The company has Price/Earnings To Growth (PEG) ratio of 2.0. Purple Innovation recorded a loss per share of 1.02. The entity had not issued any dividends in recent years.
To determine if Purple Innovation is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Purple Innovation's research are outlined below:
| Purple Innovation generated a negative expected return over the last 90 days | |
| Purple Innovation has some characteristics of a very speculative penny stock | |
| Purple Innovation has high historical volatility and very poor performance | |
| Purple Innovation has a very high chance of going through financial distress in the upcoming years | |
| The company reported the previous year's revenue of 510.54 M. Net Loss for the year was (120.76 M) with profit before overhead, payroll, taxes, and interest of 210.58 M. | |
| Purple Innovation currently holds about 41.17 M in cash with (54.66 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.5. | |
| Purple Innovation has a poor financial position based on the latest SEC disclosures | |
| Roughly 75.0% of the company shares are owned by institutional investors | |
| Latest headline from news.google.com: Home Furnishings Stocks Q3 Teardown Purple Vs The Rest - Barchart |
Purple Innovation Quarterly Cash And Short Term Investments |
|
Purple Innovation uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Purple Innovation. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Purple Innovation's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of March 2024 Upcoming Quarterly Report | View | |
| 8th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 21st of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Purple Innovation's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Purple Innovation's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2024-11-04 | 2024-09-30 | -0.1 | -0.08 | 0.02 | 20 | ||
2018-03-15 | 2017-12-31 | -0.04 | -0.02 | 0.02 | 50 | ||
2024-05-07 | 2024-03-31 | -0.16 | -0.19 | -0.03 | 18 | ||
2024-03-12 | 2023-12-31 | -0.18 | -0.15 | 0.03 | 16 | ||
2021-05-17 | 2021-03-31 | 0.14 | 0.17 | 0.03 | 21 | ||
2023-03-16 | 2022-12-31 | -0.06 | -0.1 | -0.04 | 66 | ||
2022-08-09 | 2022-06-30 | -0.07 | -0.11 | -0.04 | 57 | ||
2018-08-09 | 2018-06-30 | -0.06 | -0.02 | 0.04 | 66 |
Know Purple Innovation's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Purple Innovation is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Purple Innovation backward and forwards among themselves. Purple Innovation's institutional investor refers to the entity that pools money to purchase Purple Innovation's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Northern Trust Corp | 2024-09-30 | 478.9 K | Bb&t Corp. | 2024-09-30 | 475 K | Charles Schwab Investment Management Inc | 2024-09-30 | 458.6 K | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 419.5 K | Bridgeway Capital Management, Llc | 2024-09-30 | 295 K | Amvescap Plc. | 2024-06-30 | 288.7 K | Nuveen Asset Management, Llc | 2024-06-30 | 228 K | Dimensional Fund Advisors, Inc. | 2024-09-30 | 177 K | Bank Of New York Mellon Corp | 2024-06-30 | 174.3 K | Coliseum Capital Management Llc | 2024-09-30 | 46.9 M | No Street Gp Lp | 2024-09-30 | 6.5 M |
Purple Innovation's market capitalization trends
The company currently falls under 'Micro-Cap' category with a current market capitalization of 94.85 M.Market Cap |
|
Purple Innovation's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.33) | (0.31) | |
| Return On Capital Employed | (0.41) | (0.39) | |
| Return On Assets | (0.31) | (0.29) | |
| Return On Equity | (1.05) | (0.99) |
Determining Purple Innovation's profitability involves analyzing its financial statements and using various financial metrics to determine if Purple Innovation is a good buy. For example, gross profit margin measures Purple Innovation's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Purple Innovation's profitability and make more informed investment decisions.
Evaluate Purple Innovation's management efficiency
Purple Innovation has return on total asset (ROA) of (0.1219) % which means that it has lost $0.1219 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (1.3409) %, meaning that it created substantial loss on money invested by shareholders. Purple Innovation's management efficiency ratios could be used to measure how well Purple Innovation manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is expected to rise to -0.31 this year. Return On Capital Employed is expected to rise to -0.39 this year. At this time, Purple Innovation's Net Tangible Assets are quite stable compared to the past year. Intangible Assets is expected to rise to about 23.3 M this year, although the value of Total Current Assets will most likely fall to about 101.9 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 1.12 | 1.06 | |
| Tangible Book Value Per Share | 0.90 | 0.86 | |
| Enterprise Value Over EBITDA | (2.47) | (2.60) | |
| Price Book Value Ratio | 0.92 | 0.97 | |
| Enterprise Value Multiple | (2.47) | (2.60) | |
| Price Fair Value | 0.92 | 0.97 | |
| Enterprise Value | 80.2 M | 71.3 M |
Effective leadership at Purple Innovation drives its competitive edge in the market. Our analysis focuses on how this translates to financial performance and stock value.
Beta 2.082 |
Basic technical analysis of Purple Stock
As of the 26th of November, Purple Innovation holds the Risk Adjusted Performance of (0.07), variance of 12.35, and Coefficient Of Variation of (1,024). Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Purple Innovation, as well as the relationship between them. Please check Purple Innovation risk adjusted performance, variance, as well as the relationship between the Variance and potential upside to decide if Purple Innovation is priced some-what accurately, providing market reflects its current price of 0.95 per share. Given that Purple Innovation is a hitting penny stock territory we advise to closely look at its jensen alpha.Purple Innovation's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Purple Innovation insiders, such as employees or executives, is commonly permitted as long as it does not rely on Purple Innovation's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Purple Innovation insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Purple Innovation's Outstanding Corporate Bonds
Purple Innovation issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Purple Innovation uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Purple bonds can be classified according to their maturity, which is the date when Purple Innovation has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Purple Innovation's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Purple Innovation's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.22) | |||
| Mean Deviation | 2.72 | |||
| Coefficient Of Variation | (1,024) | |||
| Standard Deviation | 3.51 | |||
| Variance | 12.35 | |||
| Information Ratio | (0.13) | |||
| Jensen Alpha | (0.54) | |||
| Total Risk Alpha | (0.91) | |||
| Treynor Ratio | (0.23) | |||
| Maximum Drawdown | 19.53 | |||
| Value At Risk | (5.05) | |||
| Potential Upside | 5.81 | |||
| Skewness | (0.18) | |||
| Kurtosis | 0.8158 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.22) | |||
| Mean Deviation | 2.72 | |||
| Coefficient Of Variation | (1,024) | |||
| Standard Deviation | 3.51 | |||
| Variance | 12.35 | |||
| Information Ratio | (0.13) | |||
| Jensen Alpha | (0.54) | |||
| Total Risk Alpha | (0.91) | |||
| Treynor Ratio | (0.23) | |||
| Maximum Drawdown | 19.53 | |||
| Value At Risk | (5.05) | |||
| Potential Upside | 5.81 | |||
| Skewness | (0.18) | |||
| Kurtosis | 0.8158 |
Consider Purple Innovation's intraday indicators
Purple Innovation intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Purple Innovation stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 68933.69 | |||
| Daily Balance Of Power | 0.5385 | |||
| Rate Of Daily Change | 1.08 | |||
| Day Median Price | 0.92 | |||
| Day Typical Price | 0.93 | |||
| Price Action Indicator | 0.07 | |||
| Period Momentum Indicator | 0.07 |
Purple Stock media impact
Far too much social signal, news, headlines, and media speculation about Purple Innovation that are available to investors today. That information is available publicly through Purple media outlets and privately through word of mouth or via Purple internal channels. However, regardless of the origin, that massive amount of Purple data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Purple Innovation news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Purple Innovation relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Purple Innovation's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Purple Innovation alpha.
Purple Innovation Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Purple Innovation can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Purple Innovation Corporate Management
| John IV | Chief Officer | Profile | |
| Jeff Hutchings | Chief Officer | Profile | |
| Todd CPA | Chief Officer | Profile | |
| Verdi III | Chief Officer | Profile | |
| Robert DeMartini | CEO Director | Profile | |
| Casey McGarvey | Chief Legal Officer | Profile | |
| Keira Krausz | Chief Officer | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Purple Innovation. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in american community survey. For more information on how to buy Purple Stock please use our How to buy in Purple Stock guide.You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Household Appliances space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Purple Innovation. If investors know Purple will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Purple Innovation listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.60) | Earnings Share (1.02) | Revenue Per Share 4.734 | Quarterly Revenue Growth (0.15) | Return On Assets (0.12) |
The market value of Purple Innovation is measured differently than its book value, which is the value of Purple that is recorded on the company's balance sheet. Investors also form their own opinion of Purple Innovation's value that differs from its market value or its book value, called intrinsic value, which is Purple Innovation's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Purple Innovation's market value can be influenced by many factors that don't directly affect Purple Innovation's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Purple Innovation's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Purple Innovation is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Purple Innovation's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.