Bedding and comfort retailer Purple (NASDAQ: PRPL) will be announcing earnings results this Tuesday after the bell. Here’s what to expect.
Purple met analysts’ revenue expectations last quarter, reporting revenues of $105.1 million, down 12.6% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and full-year EBITDA guidance exceeding analysts’ expectations.
Is Purple a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Purple’s revenue to grow 3.9% year on year to $123.2 million, a reversal from the 15.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.10 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.
Looking at Purple’s peers in the consumer discretionary segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Leggett & Platt’s revenues decreased 5.9% year on year, beating analysts’ expectations by 1.1%, and Mohawk Industries reported revenues up 1.4%, topping estimates by 1.6%. Leggett & Platt traded up 15.2% following the results while Mohawk Industries was down 7%.
Read our full analysis of Leggett & Platt’s results here and Mohawk Industries’s results here.
Questions about potential tariffs and corporate tax changes have caused much volatility in 2025. While some of the consumer discretionary stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 4.7% on average over the last month. Purple is down 15.8% during the same time and is heading into earnings with an average analyst price target of $2.53 (compared to the current share price of $0.81).
P.S. In tech investing, "Gorillas" are the rare companies that dominate their markets—like Microsoft and Apple did decades ago. Today, the next Gorilla is emerging in AI-powered enterprise software. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
