Purple Innovation (PRPL) Reports Q4 Loss, Tops Revenue Estimates

Company Performance - Purple Innovation reported a quarterly loss of $0.07 per share, better than the Zacks Consensus Estimate of a loss of $0.08, and an improvement from a loss of $0.15 per share a year ago, representing an earnings surprise of 12.50% [1] - The company posted revenues of $128.98 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.18%, but down from $145.94 million in the same quarter last year [2] - Over the last four quarters, Purple Innovation has surpassed consensus EPS estimates two times and topped consensus revenue estimates just once [2] Stock Performance - Purple Innovation shares have declined approximately 9.6% since the beginning of the year, compared to a decline of 4.8% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is -$0.10 on revenues of $115.5 million, and for the current fiscal year, it is -$0.28 on revenues of $491.85 million [7] Industry Outlook - The Consumer Products - Staples industry, to which Purple Innovation belongs, is currently ranked in the bottom 42% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Purple Innovation's stock performance [5]