Purple Innovation Inc (PRPL) Stock Analysis

AI analysis of Purple Innovation Inc (PRPL)

Sell

Purple Innovation Inc is not a good buy right now due to significant financial challenges. The current price is $2.18, and the company has a 52-week high of $21.75, indicating a drastic decline of approximately 90% from its peak. Additionally, the RSI is at 30.03, suggesting that the stock is oversold, but this does not guarantee a rebound. The forward P/E ratio is extremely high at 285.71, indicating that the stock is overvalued relative to its earnings potential. The main risk is the recent earnings miss, with an EPS of -2.41 reported against an estimate of -0.72, reflecting ongoing profitability issues.

Analyst Ratings (1)

-26.61% Downside

Buy

1 Buy

0 Hold

0 Sell

Current: 2.18

Low

1.60

Average

1.60

High

1.60

UBS

Hold

—

2026-04-29

UBS

2026-04-29

Price Target

—

Hold

KeyBanc

Sector Weight

—

2026-04-28

KeyBanc

2026-04-28

Price Target

—

Sector Weight

Roth Capital

Buy

—

2026-04-01

Roth Capital

2026-04-01

Price Target

—

Buy

UBS

Neutral

$1

2026-04-01

UBS

2026-04-01

Price Target

$1

Neutral

Wedbush

Hold

$1

2025-03-26

Wedbush

2025-03-26

Price Target

$1

Hold

See All Ratings

Valuation Metrics

The current forward P/E ratio for Purple Innovation Inc (PRPL) is 285.71, compared to its 5-year average forward P/E of 32.69.

Forward P/E

Strongly Overvalued

5Y Average P/E

32.69

Current P/E

285.71

Overvalued

155.72

Undervalued

-90.33

Forward EV/EBITDA

Fair

5Y Average EV/EBITDA

-42.38

Current EV/EBITDA

-7.11

Overvalued

229.14

Undervalued

-313.91

Forward P/S

Undervalued

5Y Average P/S

0.37

Current P/S

0.02

Overvalued

0.66

Undervalued

0.08

Alphio AI Price Scenarios for PRPL

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%PRPL

$0.89

Scenario price

B

Base

Base · 50%PRPL

$0.75

Scenario price

B

Bear

Bear · 25%PRPL

$0.66

Scenario price

Whales holding PRPL

C

Coliseum Capital Management, LLC

+ HoldingPRPL

-1.96%

3M Return

PRPL FAQ — answered by Alphio AI

Purple Innovation, Inc. is a mattress company. The Company offers a variety of branded and premium comfort products, including mattresses, pillows, cushions, bases, sheets and more. It develops its products through its Hyper-Elastic Polymer gel technology. Its product portfolio includes Mattresses, Pillows, Sheets, Waterproof Mattress Protector, Bases, and Seat Cushions. Its Gelflex Grid technology is used in all Purple mattresses. It sells eight pillow models, all designed to deliver various sleep preferences and needs. The models include the Purple Harmony Pillow, the Purple Freeform Pillow, the Purple DreamLayer Pillow, the Purple Harmony Anywhere Pillow, the Purple Pillow, the Purple Twin Cloud Pillow, the Purple Cloud Pillow and the Kids Pillow. Its Purple SoftStretch sheets are designed to maximize the functionality of its mattresses and pillows. Its Purple Waterproof Mattress Protector mattress is designed to optimize the functionality of the Gelflex Grid in its mattress. It operates in the Consumer Cyclicals sector (HOUSEHOLD FURNITURE industry).

Purple Innovation Inc is not a good buy right now due to significant financial challenges. The current price is $2.18, and the company has a 52-week high of $21.75, indicating a drastic decline of approximately 90% from its peak. Additionally, the RSI is at 30.03, suggesting that the stock is oversold, but this does not guarantee a rebound. The forward P/E ratio is extremely high at 285.71, indicating that the stock is overvalued relative to its earnings potential. The main risk is the recent earnings miss, with an EPS of -2.41 reported against an estimate of -0.72, reflecting ongoing profitability issues.

1 analysts cover PRPL: 1 rate it Buy, 0 Hold and 0 Sell. The average price target is 1.60.