PRPL Valuation

Purple Innovation Inc

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1.120

+0.05(4.673%)1D

Overview
Forecast
Valuation
Earnings

PRPL Relative Valuation

PRPL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, PRPL is overvalued; if below, it's undervalued.

Historical Valuation

Purple Innovation Inc (PRPL) is now in the Fair zone, suggesting that its current forward PS ratio of 0.22 is considered Fairly compared with the five-year average of -32.16. The fair price of Purple Innovation Inc (PRPL) is between 0.26 to 6.78 according to relative valuation methord.

Relative Value

Fair Zone

0.26-6.78

Current Price：1.07

Fair

-4.16

Trailing

Forward

20.61

EV/EBITDA

Purple Innovation Inc. (PRPL) has a current EV/EBITDA of 20.61. The 5-year average EV/EBITDA is -86.57. The thresholds are as follows: Strongly Undervalued below -954.38, Undervalued between -954.38 and -520.47, Fairly Valued between 347.34 and -520.47, Overvalued between 347.34 and 781.24, and Strongly Overvalued above 781.24. The current Forward EV/EBITDA of 20.61 falls within the Historic Trend Line -Fairly Valued range.

-16.43

EV/EBIT

Purple Innovation Inc. (PRPL) has a current EV/EBIT of -16.43. The 5-year average EV/EBIT is -43.53. The thresholds are as follows: Strongly Undervalued below -224.93, Undervalued between -224.93 and -134.23, Fairly Valued between 47.17 and -134.23, Overvalued between 47.17 and 137.87, and Strongly Overvalued above 137.87. The current Forward EV/EBIT of -16.43 falls within the Historic Trend Line -Fairly Valued range.

0.22

Purple Innovation Inc. (PRPL) has a current PS of 0.22. The 5-year average PS is 0.87. The thresholds are as follows: Strongly Undervalued below -0.83, Undervalued between -0.83 and 0.02, Fairly Valued between 1.71 and 0.02, Overvalued between 1.71 and 2.56, and Strongly Overvalued above 2.56. The current Forward PS of 0.22 falls within the Historic Trend Line -Fairly Valued range.

11.23

P/OCF

Purple Innovation Inc. (PRPL) has a current P/OCF of 11.23. The 5-year average P/OCF is -168.11. The thresholds are as follows: Strongly Undervalued below -1778.95, Undervalued between -1778.95 and -973.53, Fairly Valued between 637.31 and -973.53, Overvalued between 637.31 and 1442.73, and Strongly Overvalued above 1442.73. The current Forward P/OCF of 11.23 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/FCF

Purple Innovation Inc. (PRPL) has a current P/FCF of 0.00. The 5-year average P/FCF is -34.82. The thresholds are as follows: Strongly Undervalued below -166.02, Undervalued between -166.02 and -100.42, Fairly Valued between 30.77 and -100.42, Overvalued between 30.77 and 96.37, and Strongly Overvalued above 96.37. The current Forward P/FCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

Purple Innovation Inc (PRPL) has a current Price-to-Book (P/B) ratio of -7.41. Compared to its 3-year average P/B ratio of 5.08 , the current P/B ratio is approximately -245.70% higher. Relative to its 5-year average P/B ratio of 8.70, the current P/B ratio is about -185.10% higher. Purple Innovation Inc (PRPL) has a Forward Free Cash Flow (FCF) yield of approximately -23.32%. Compared to its 3-year average FCF yield of -35.13%, the current FCF yield is approximately -33.62% lower. Relative to its 5-year average FCF yield of -25.63% , the current FCF yield is about -9.01% lower.

-7.41

P/B

Median3y

5.08

Median5y

8.70

-23.32

FCF Yield

Median3y

-35.13

Median5y

-25.63

Competitors Valuation Multiple

The average P/S ratio for PRPL's competitors is 0.18, providing a benchmark for relative valuation. Purple Innovation Inc Corp (PRPL) exhibits a P/S ratio of 0.22, which is 25.75% above the industry average. Given its robust revenue growth of -12.61%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

PRPL.O

Purple Innovation Inc

Hooker Furnishings Corp

Bassett Furniture Industries Inc

Performance Decomposition

Market capitalization of PRPL increased by 8.19% over the past 1 year. The primary factor behind the change was an decrease in Margin Expansion from -0.01 to -16.53.

The secondary factor is the Revenue Growth, contributed -12.61%to the performance.

Overall, the performance of PRPL in the past 1 year is driven by Margin Expansion. Which is more sustainable.

-12.61%

120.27M → 105.10M

Revenue Growth

165200.00%

-0.01 → -16.53

Margin Expansion

-165179.20%

0.00 → -1.36

P/E Change

8.19%