PURE STORAGE INC - CLASS A (PSTG) Stock Fundamental Analysis
NYSE:PSTG • US74624M1027
64.22 USD
-1.76 (-2.67%)
At close: Feb 27, 2026
62.68 USD
-1.54 (-2.4%)
Pre-Market: 3/2/2026, 7:05:36 AM
Taking everything into account, PSTG scores 6 out of 10 in our fundamental rating. PSTG was compared to 36 industry peers in the Technology Hardware, Storage & Peripherals industry. PSTG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. PSTG is valued quite expensive, but it does show an excellent growth. This makes PSTG very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
- In the past year PSTG was profitable.
- PSTG had a positive operating cash flow in the past year.
- Of the past 5 years PSTG 4 years were profitable.
- Each year in the past 5 years PSTG had a positive operating cash flow.
1.2 Ratios
- PSTG's Return On Assets of 4.03% is fine compared to the rest of the industry. PSTG outperforms 77.78% of its industry peers.
- PSTG has a Return On Equity of 13.02%. This is amongst the best in the industry. PSTG outperforms 83.33% of its industry peers.
- PSTG's Return On Invested Capital of 3.24% is fine compared to the rest of the industry. PSTG outperforms 63.89% of its industry peers.
- PSTG had an Average Return On Invested Capital over the past 3 years of 3.18%. This is significantly below the industry average of 16.71%.
- The 3 year average ROIC (3.18%) for PSTG is below the current ROIC(3.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 13.02% | ||
| ROIC | 3.24% |
ROA(3y)2.8%
ROA(5y)1.18%
ROE(3y)8.67%
ROE(5y)2.96%
ROIC(3y)3.18%
ROIC(5y)N/A
1.3 Margins
- PSTG has a better Profit Margin (5.14%) than 80.56% of its industry peers.
- PSTG's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 3.13%, PSTG is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
- PSTG's Operating Margin has been stable in the last couple of years.
- The Gross Margin of PSTG (70.38%) is better than 97.22% of its industry peers.
- PSTG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.13% | ||
| PM (TTM) | 5.14% | ||
| GM | 70.38% |
OM growth 3Y1.11%
OM growth 5YN/A
PM growth 3Y24.61%
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.63%
2. Health
2.1 Basic Checks
- PSTG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for PSTG has been increased compared to 1 year ago.
- The number of shares outstanding for PSTG has been increased compared to 5 years ago.
- PSTG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 4.75 indicates that PSTG is not in any danger for bankruptcy at the moment.
- PSTG's Altman-Z score of 4.75 is amongst the best of the industry. PSTG outperforms 83.33% of its industry peers.
- There is no outstanding debt for PSTG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.75 |
ROIC/WACC0.38
WACC8.6%
2.3 Liquidity
- A Current Ratio of 1.60 indicates that PSTG should not have too much problems paying its short term obligations.
- PSTG has a Current ratio (1.60) which is comparable to the rest of the industry.
- PSTG has a Quick Ratio of 1.56. This is a normal value and indicates that PSTG is financially healthy and should not expect problems in meeting its short term obligations.
- PSTG has a Quick ratio of 1.56. This is in the better half of the industry: PSTG outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
- PSTG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.37%, which is quite good.
- The Earnings Per Share has been growing by 61.70% on average over the past years. This is a very strong growth
- Looking at the last year, PSTG shows a quite strong growth in Revenue. The Revenue has grown by 15.61% in the last year.
- Measured over the past years, PSTG shows a quite strong growth in Revenue. The Revenue has been growing by 16.81% on average per year.
EPS 1Y (TTM)16.37%
EPS 3Y12.17%
EPS 5Y61.7%
EPS Q2Q%53.33%
Revenue 1Y (TTM)15.61%
Revenue growth 3Y9.98%
Revenue growth 5Y16.81%
Sales Q2Q%20.35%
3.2 Future
- PSTG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.86% yearly.
- PSTG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.25% yearly.
EPS Next Y16.18%
EPS Next 2Y16.84%
EPS Next 3Y11.16%
EPS Next 5Y14.86%
Revenue Next Year16.37%
Revenue Next 2Y16.51%
Revenue Next 3Y15.8%
Revenue Next 5Y15.25%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 32.27, which means the current valuation is very expensive for PSTG.
- 66.67% of the companies in the same industry are more expensive than PSTG, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.07, PSTG is valued at the same level.
- A Price/Forward Earnings ratio of 27.78 indicates a quite expensive valuation of PSTG.
- The rest of the industry has a similar Price/Forward Earnings ratio as PSTG.
- PSTG's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.05.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.27 | ||
| Fwd PE | 27.78 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PSTG is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of PSTG indicates a somewhat cheap valuation: PSTG is cheaper than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.44 | ||
| EV/EBITDA | 72.21 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of PSTG may justify a higher PE ratio.
PEG (NY)1.99
PEG (5Y)0.52
EPS Next 2Y16.84%
EPS Next 3Y11.16%
5. Dividend
5.1 Amount
- PSTG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
64.22
-1.76 (-2.67%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-26 2026-05-26
Inst Owners86.46%
Inst Owner Change-1.12%
Ins Owners5.3%
Ins Owner Change-0.15%
Market Cap21.20B
Revenue(TTM)3.66B
Net Income(TTM)188.18M
Analysts78.52
Price Target93.8 (46.06%)
Short Float %2.59%
Short Ratio1.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.1%
Min EPS beat(2)-2.49%
Max EPS beat(2)4.69%
EPS beat(4)3
Avg EPS beat(4)6.52%
Min EPS beat(4)-2.49%
Max EPS beat(4)14.91%
EPS beat(8)7
Avg EPS beat(8)14.18%
EPS beat(12)11
Avg EPS beat(12)23.25%
EPS beat(16)15
Avg EPS beat(16)52.77%
Revenue beat(2)1
Avg Revenue beat(2)-0.22%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)0.66%
Revenue beat(4)1
Avg Revenue beat(4)-0.42%
Min Revenue beat(4)-1.1%
Max Revenue beat(4)0.66%
Revenue beat(8)1
Avg Revenue beat(8)-0.43%
Revenue beat(12)2
Avg Revenue beat(12)-0.32%
Revenue beat(16)3
Avg Revenue beat(16)0.57%
PT rev (1m)-3.32%
PT rev (3m)2.68%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)-8.37%
EPS NY rev (1m)0%
EPS NY rev (3m)-8%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)0.71%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.27 | ||
| Fwd PE | 27.78 | ||
| P/S | 5.79 | ||
| P/FCF | 34.44 | ||
| P/OCF | 24.09 | ||
| P/B | 14.67 | ||
| P/tB | 19.76 | ||
| EV/EBITDA | 72.21 |
EPS(TTM)1.99
EY3.1%
EPS(NY)2.31
Fwd EY3.6%
FCF(TTM)1.86
FCFY2.9%
OCF(TTM)2.67
OCFY4.15%
SpS11.09
BVpS4.38
TBVpS3.25
PEG (NY)1.99
PEG (5Y)0.52
Graham Number14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 13.02% | ||
| ROCE | 4.15% | ||
| ROIC | 3.24% | ||
| ROICexc | 7.36% | ||
| ROICexgc | 10.61% | ||
| OM | 3.13% | ||
| PM (TTM) | 5.14% | ||
| GM | 70.38% | ||
| FCFM | 16.81% |
ROA(3y)2.8%
ROA(5y)1.18%
ROE(3y)8.67%
ROE(5y)2.96%
ROIC(3y)3.18%
ROIC(5y)N/A
ROICexc(3y)8.56%
ROICexc(5y)N/A
ROICexgc(3y)15.42%
ROICexgc(5y)N/A
ROCE(3y)4.08%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-37.96%
ROICexc growth 5YN/A
OM growth 3Y1.11%
OM growth 5YN/A
PM growth 3Y24.61%
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.63%
F-Score7
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 178.83% | ||
| Cap/Sales | 7.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 335.1% | ||
| Profit Quality | 327.21% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 4.75 |
F-Score7
WACC8.6%
ROIC/WACC0.38
Cap/Depr(3y)171.57%
Cap/Depr(5y)159.03%
Cap/Sales(3y)7.09%
Cap/Sales(5y)6.34%
Profit Quality(3y)535.96%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.37%
EPS 3Y12.17%
EPS 5Y61.7%
EPS Q2Q%53.33%
EPS Next Y16.18%
EPS Next 2Y16.84%
EPS Next 3Y11.16%
EPS Next 5Y14.86%
Revenue 1Y (TTM)15.61%
Revenue growth 3Y9.98%
Revenue growth 5Y16.81%
Sales Q2Q%20.35%
Revenue Next Year16.37%
Revenue Next 2Y16.51%
Revenue Next 3Y15.8%
Revenue Next 5Y15.25%
EBIT growth 1Y13.5%
EBIT growth 3Y11.2%
EBIT growth 5YN/A
EBIT Next Year55.88%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y16.87%
FCF growth 3Y0.36%
FCF growth 5Y46.07%
OCF growth 1Y16.78%
OCF growth 3Y4.68%
OCF growth 5Y36.23%
PURE STORAGE INC - CLASS A / PSTG FAQ
Can you provide the ChartMill fundamental rating for PURE STORAGE INC - CLASS A?
ChartMill assigns a fundamental rating of 6 / 10 to PSTG.
What is the valuation status for PSTG stock?
ChartMill assigns a valuation rating of 3 / 10 to PURE STORAGE INC - CLASS A (PSTG). This can be considered as Overvalued.
Can you provide the profitability details for PURE STORAGE INC - CLASS A?
PURE STORAGE INC - CLASS A (PSTG) has a profitability rating of 7 / 10.
What is the expected EPS growth for PURE STORAGE INC - CLASS A (PSTG) stock?
The Earnings per Share (EPS) of PURE STORAGE INC - CLASS A (PSTG) is expected to grow by 16.18% in the next year.