Purple Innovation, Inc. designs and manufactures mattresses, pillows, and cushions. More Details
High growth potential with excellent balance sheet.
Share Price & News
How has Purple Innovation's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PRPL is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.
Volatility Over Time: PRPL's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.
7 Day Return
US Consumer Durables
1 Year Return
US Consumer Durables
Return vs Industry: PRPL exceeded the US Consumer Durables industry which returned 122.3% over the past year.
Return vs Market: PRPL exceeded the US Market which returned 51.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Purple Innovation's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall StThe Return Trends At Purple Innovation (NASDAQ:PRPL) Look Promising
3 weeks ago | Simply Wall StA Look At The Intrinsic Value Of Purple Innovation, Inc. (NASDAQ:PRPL)
1 month ago | Simply Wall StCan You Imagine How Elated Purple Innovation's (NASDAQ:PRPL) Shareholders Feel About Its 334% Share Price Gain?
Is Purple Innovation undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PRPL ($30.44) is trading below our estimate of fair value ($32.54)
Significantly Below Fair Value: PRPL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: PRPL is poor value based on its PE Ratio (315.2x) compared to the US Consumer Durables industry average (17.2x).
PE vs Market: PRPL is poor value based on its PE Ratio (315.2x) compared to the US market (20.2x).
Price to Earnings Growth Ratio
PEG Ratio: PRPL is poor value based on its PEG Ratio (9.6x)
Price to Book Ratio
PB vs Industry: PRPL is overvalued based on its PB Ratio (12.2x) compared to the US Consumer Durables industry average (2.3x).
How is Purple Innovation forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PRPL's forecast earnings growth (32.9% per year) is above the savings rate (2%).
Earnings vs Market: PRPL's earnings (32.9% per year) are forecast to grow faster than the US market (15.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PRPL's revenue (15.3% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: PRPL's revenue (15.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PRPL's Return on Equity is forecast to be high in 3 years time (23.4%)
How has Purple Innovation performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PRPL has a large one-off loss of $5.8M impacting its December 31 2020 financial results.
Growing Profit Margin: PRPL became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: PRPL has become profitable over the past 5 years, growing earnings by 37.4% per year.
Accelerating Growth: PRPL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: PRPL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Durables industry (56.9%).
Return on Equity
High ROE: PRPL's Return on Equity (6.8%) is considered low.
How is Purple Innovation's financial position?
Financial Position Analysis
Short Term Liabilities: PRPL's short term assets ($229.1M) exceed its short term liabilities ($132.2M).
Long Term Liabilities: PRPL's short term assets ($229.1M) do not cover its long term liabilities ($262.3M).
Debt to Equity History and Analysis
Debt Level: PRPL's debt to equity ratio (27.7%) is considered satisfactory.
Reducing Debt: PRPL had negative shareholder equity 5 years ago, but is now positive and has therefore improved.
Debt Coverage: PRPL's debt is well covered by operating cash flow (183.3%).
Interest Coverage: PRPL's interest payments on its debt are well covered by EBIT (15.3x coverage).
What is Purple Innovation current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PRPL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PRPL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if PRPL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PRPL's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PRPL's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Joe Megibow (51 yo)
Mr. Joseph B. Megibow, also known as Joe, has been Chief Executive Officer and Director at Purple Innovation, Inc. since October 1, 2018. Mr. Megibow has been Member of the Advisory Group at Global Partner...
CEO Compensation Analysis
Compensation vs Market: Joe's total compensation ($USD3.20M) is about average for companies of similar size in the US market ($USD3.76M).
Compensation vs Earnings: Joe's compensation has been consistent with company performance over the past year.
Experienced Management: PRPL's management team is considered experienced (2.5 years average tenure).
Experienced Board: PRPL's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PRPL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 23.9%.
Purple Innovation, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Purple Innovation, Inc.
- Ticker: PRPL
- Exchange: NasdaqGS
- Founded: 2010
- Industry: Home Furnishings
- Sector: Consumer Durables
- Implied Market Cap: US$2.054b
- Market Cap: US$2.040b
- Shares outstanding: 66.75m
- Website: https://purple.com
Number of Employees
- Purple Innovation, Inc.
- 4100 North Chapel Ridge Road
- Suite 200
- United States
Purple Innovation, Inc. designs and manufactures mattresses, pillows, and cushions. It also offers sheets, mattress protectors, bed frames, seat cushions, and weighted blankets and duvets. The company mark...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/07 22:39|
|End of Day Share Price||2021/05/07 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.