BMO Capital said Friday it has raised Pure Storage’s price target to $16 from $15 on another solid quarter report, while reiterating an outperform rating. PSTG was up 7% recently According to the broker, the company’s reported sales of $225 million were above both its and the Street consensus estimates of $220 million and $218 million, respectively on growth of 38% y/y. The loss per share of $0.11 was better than BMO’s expectation for a loss of $0.15 and the consensus for a loss of $0.14..
BMO said it believes the momentum of the business remains strong with new customer wins and repeat purchases. It remains confident in the long-term growth opportunity for Pure, as FlashArray adoption remains strong, FlashBlade continues to ramp and new storage use cases such as AI and machine learning emerge.