PSTG - Pure Storage: Strike While The Iron Is Hot
2024-05-30 02:01:35 ET
Summary
- Pure Storage leaped nearly 10% after reporting strong Q1 results that featured an acceleration in revenue growth.
- Despite massive beats to both top-line and profitability guidance, the company is maintaining its outlook for the full year, which in m view sets it up for more beat-and-raise quarters.
- Valuation is starting to heat up, but I'd recommend holding onto Pure Storage until it hits the id-$70s.
In an earnings season that has been mostly underwhelming for growth stocks, Pure Storage ( PSTG ) is bucking the trend. The company is amply demonstrating to the markets that while companies like NVIDIA ( NVDA ) are getting most of the AI glory, the reality is that running generative AI applications requires tremendous amounts of data and hence, storage. Pure Storage, which has completely transformed itself from a commodity hardware offering and into a value-added software company, is a big beneficiary of this trend....
Pure Storage: Strike While The Iron Is Hot