Purple Innovation (NASDAQ:PRPL) Stock Price Down 7% – Here’s Why

Purple Innovation, Inc. (NASDAQ:PRPL)’s stock price traded down 7% during mid-day trading on Tuesday. The company traded as low as $2.26 and last traded at $2.26. 42,842 shares changed hands during mid-day trading, a decline of 21% from the average daily volume of 54,233 shares. The stock had previously closed at $2.43.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Purple Innovation in a report on Friday, July 17th. Two analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Purple Innovation presently has an average rating of “Reduce” and an average price target of $16.25.

Purple Innovation Stock Performance

The stock has a market capitalization of $9.85 million, a price-to-earnings ratio of -0.20 and a beta of 1.40. The business has a fifty day simple moving average of $5.31 and a 200 day simple moving average of $9.83.

Purple Innovation (NASDAQ:PRPL) last posted its quarterly earnings data on Monday, August 10th. The company reported ($1.52) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($2.18) by $0.66. The business had revenue of $98.27 million during the quarter, compared to the consensus estimate of $104.39 million. On average, sell-side analysts forecast that Purple Innovation, Inc. will post -6.34 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Purple Innovation

Hedge funds have recently added to or reduced their stakes in the stock. Crumly & Associates Inc. grew its holdings in shares of Purple Innovation by 14.1% during the 2nd quarter. Crumly & Associates Inc. now owns 333,263 shares of the company’s stock worth $119,000 after purchasing an additional 41,200 shares in the last quarter. GSA Capital Partners LLP acquired a new position in Purple Innovation in the second quarter valued at about $26,000. Finally, BlackRock Inc. acquired a new position in Purple Innovation in the second quarter valued at about $373,000. Institutional investors own 88.41% of the company’s stock.

Purple Innovation Company Profile

Purple Innovation, Inc develops and sells sleep and comfort products under the Purple brand. Its product portfolio includes mattresses, pillows, mattress toppers, cushions, bedding, adjustable bed bases and other accessories designed to support sleep and pressure relief.

The company’s products are distinguished by its proprietary Purple Grid, a flexible, gel-like polymer material designed to provide cushioning, airflow and support. Purple sells directly to consumers through its website and retail showrooms, as well as through selected third-party retail and distribution partners.

Purple was founded by brothers Tony and Terry Pearce, inventors with backgrounds in product development and materials engineering, and became a publicly traded company in 2018.