PRPL - Purple Innovation is in freefall after wave of downgrades follows earnings misfire

Purple Innovation (NASDAQ:PRPL) falls sharply after the company's earnings miss is followed by a series of downgrades from Wall Street analysts that were previously on record with Buy-equivalent ratings. The company blamed the lackluster Q3 results on impacts from manufacturing backlogs that were longer-lasting than it anticipated. Delays were noted in planned wholesale expansion, slower re-acceleration of existing wholesale door productivity, and a more prolonged build-back from the effect of marketing spend reduction in response to inventory shortages which in turn also impacted the digital business. Truist Securities lowers its rating on PRPL to Hold, while Raymond James cut to Market Perform and B Riley Securities lowered to Neutral. UBS was also in the mix with a downgrade on PRPL to Neutral. UBS's breakdown: "While we continue to believe that the co. offers a unique product that should enable it to gain share over the LT, we are more cautious on

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Purple Innovation is in freefall after wave of downgrades follows earnings misfire