Pure Storage on Wednesday posted first-quarter earnings and sales that beat expectations, with the firm highlighting AI-driven demand for its data storage platform. Pure Storage stock gained late Wednesday, adding to a strong run for the stock.
The enterprise data storage company said that it earned an adjusted 32 cents per share on sales of $693.5 million for the April-ending quarter. On average, analysts projected the Santa Clara, Calif.-based company would post adjusted earnings of 21 cents per share on sales of $681 million, according to FactSet.
Last year, Pure Storage posted adjusted earnings of 8 cents per share on sales of $589 million for the same quarter.
Chief Executive Charles Giancarlo said in a news release that the company's data platform strategy is "revolutionizing" the data storage industry.
"It helps enterprises and service providers unify fragmented data environments into a seamless, modern, and efficient system—a system performance-ready for artificial intelligence," Giancarlo said.
For the current quarter, Pure Storage guided for sales of $755 million. Analysts were projecting the company would tally $753 million in sales for the July-ending quarter, according to FactSet.
The company also projected $3.1 billion sales for the fiscal year ending in January 2025. That was unchanged from the company's previous quarterly report.
On the stock market today, Pure Storage stock is up more than 6% at 67.15 in recent after-hours action.
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Pure Storage Stock: Technical Ratings
Prior to earnings, Pure Storage gained just under 1% in Wednesday trading. Shares have gained 76% this year compared with a 10.4% gain for the S&P 500. Pure Storage stock is up an even more impressive 129% in the last 12 months.
Coming into the report, Pure Storage stock had a strong IBD Composite Rating of 96 out of 99, according to IBD Stock Checkup. The score combines five separate proprietary ratings into one rating. The best growth stocks have a Composite Rating of 90 or better.
Further, Pure Storage's IBD Relative Strength Rating was 97 out of 99.
On May 17, shares of Pure Storage broke out from a short double-bottom base pattern. Shares jumped past a 55.09 buy point.
