Latest Ratios: P/E Ratio -0.2x · EV/EBITDA N/A · ROE N/A. (2014–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $11M | $75M | $84M | $107M | $392M | $893M | $1.3B | $87M | $50M | $84M | $48M |
| Enterprise Value | $191M | $255M | $213M | $233M | $505M | $986M | $1.3B | $89M | $59M | $85M | $48M |
| P/E Ratio → | -0.21 | — | — | — | — | — | — | — | — | — | — |
| P/S Ratio | 0.02 | 0.16 | 0.17 | 0.21 | 0.68 | 1.23 | 1.99 | 0.20 | 0.17 | 0.43 | 0.73 |
| P/B Ratio | — | — | 4.14 | 0.93 | 2.24 | 6.09 | 19.13 | — | — | 0.72 | 0.32 |
| P/FCF | — | — | — | — | — | — | 30.67 | 7.20 | — | — | — |
| P/OCF | — | — | — | — | — | — | 15.90 | 3.81 | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.54 | 0.44 | 0.46 | 0.88 | 1.36 | 1.95 | 0.21 | 0.21 | 0.43 | 0.73 |
| EV / EBITDA | — | — | — | — | — | — | 15.98 | 4.34 | — | — | — |
| EV / EBIT | — | — | — | — | 4.07 | 217.88 | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | 30.02 | 7.36 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 40.2% | 40.2% | 37.1% | 33.7% | 36.3% | 40.6% | 47.0% | 44.1% | 39.4% | 43.2% | 32.8% |
| Operating Margin | -6.8% | -6.8% | -18.9% | -22.3% | -7.5% | -3.2% | 11.0% | 3.8% | -5.9% | -4.4% | -4.1% |
| Net Profit Margin | -11.0% | -11.0% | -20.1% | -23.7% | -16.1% | 0.6% | -36.5% | -5.3% | -1.5% | -4.5% | -3.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | — | — | -144.2% | -83.1% | -57.5% | 3.8% | -1214.7% | — | -7.6% | -6.6% | -1.5% |
| ROA | -17.0% | -17.0% | -28.0% | -29.3% | -17.2% | 0.7% | -67.4% | -20.6% | -4.5% | -6.3% | -1.5% |
| ROIC | -15.8% | -15.8% | -35.4% | -32.2% | -12.2% | -12.5% | 788.4% | — | -20.4% | -4.9% | -1.3% |
| ROCE | -15.8% | -15.8% | -37.9% | -37.0% | -10.2% | -5.1% | 29.5% | 38.6% | -23.5% | -6.4% | -1.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 7.82 | 1.32 | 0.87 | 1.26 | 1.42 | — | — | 0.01 | 0.00 |
| Debt / EBITDA | — | — | — | — | — | — | 1.21 | 1.72 | — | — | — |
| Net Debt / Equity | — | — | 6.39 | 1.09 | 0.64 | 0.63 | -0.41 | — | — | 0.00 | 0.00 |
| Net Debt / EBITDA | — | — | — | — | — | — | -0.35 | 0.09 | — | — | — |
| Debt / FCF | — | — | — | — | — | — | -0.65 | 0.16 | — | — | — |
| Interest Coverage | -0.78 | -0.78 | -4.60 | -60.62 | 35.06 | 2.42 | -57.77 | -4.89 | -4.25 | -107.88 | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.35 | 1.35 | 1.25 | 1.28 | 1.65 | 1.62 | 1.73 | 1.31 | 0.98 | 0.13 | 0.15 |
| Quick Ratio | 0.76 | 0.76 | 0.69 | 0.68 | 0.90 | 0.92 | 1.24 | 0.77 | 0.51 | -7.28 | -2.70 |
| Cash Ratio | 0.24 | 0.24 | 0.29 | 0.24 | 0.41 | 0.65 | 0.93 | 0.39 | 0.25 | 0.12 | 0.13 |
| Asset Turnover | — | 1.58 | 1.58 | 1.31 | 1.32 | 1.13 | 1.17 | 2.90 | 3.99 | 1.61 | 0.42 |
| Inventory Turnover | 4.69 | 4.69 | 5.39 | 5.06 | 4.99 | 4.37 | 5.22 | 5.03 | 7.55 | 8.38 | 8.25 |
| Days Sales Outstanding | — | 32.14 | 24.73 | 27.03 | 22.01 | 12.78 | 16.39 | 24.45 | 13.08 | 7.75 | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | 0.1% | 0.4% | — | — | 5.1% | 0.2% |
| Payout Ratio | — | — | — | — | — | 29.1% | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | — | — | — | — |
| FCF Yield | — | — | — | — | — | — | 3.3% | 13.9% | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 40.5% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.1% | 0.4% | 0.0% | 0.0% | 45.6% | 0.2% |
| Shares Outstanding | — | $4M | $4M | $4M | $3M | $3M | $2M | $400240 | $336720 | $335560 | $191480 |
Includes 30+ ratios · 12 years · Updated daily
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Quick answers to the most common questions about buying PRPL stock.
Purple Innovation, Inc.'s current P/E ratio is -0.2x. This places it at the 50th percentile of its historical range.
Based on historical data, Purple Innovation, Inc. is trading at a P/E of -0.2x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Purple Innovation, Inc. has 40.2% gross margin and -6.8% operating margin.
Key Metrics
Top Statement Risk
Liquidity and solvency pressure
Metrics are mathematically derived from official filings.
Margin Volatility Reflects Operational Fragility
As reported in recent financial statements, Purple Innovation's gross margin has fluctuated significantly, reaching 41.9% in 2026Q1, yet the persistent negative operating margins suggest that the company's core earning power remains severely constrained by high fixed costs and inefficient marketing spend relative to revenue.
The inability to maintain consistent gross margins above 40% during periods of lower volume underscores the high operating leverage inherent in the company's manufacturing model. Investors should interpret the recent margin recovery with caution, as it appears driven more by cost-cutting initiatives than by sustainable pricing power or structural improvements in the underlying cost of goods sold.
Persistent Capital Destruction Remains Evident
Based on the provided quarterly data, the company's ROIC has remained consistently negative, bottoming out at -19.3% in 2024Q3, which indicates that the business is currently destroying shareholder value rather than compounding it through its investment in proprietary manufacturing technology and physical retail expansion.
The negative return on invested capital suggests that the capital deployed into the 'Max' injection molding machines and broader infrastructure is not generating sufficient returns to cover the cost of capital. This trend warrants further investigation into whether the current manufacturing footprint is permanently oversized for the company's actual market demand.
Working Capital Management Strains Liquidity
According to recent quarterly filings, the cash conversion cycle has remained elevated, peaking at 62 days in 2025Q3, which highlights the company's struggle to efficiently manage its inventory and receivables in a highly competitive and cyclical consumer furnishings market.
The extended days inventory outstanding (DIO) suggests that the company may be holding excess stock, potentially tying up critical liquidity that is needed for operations. The lack of improvement in the cash conversion cycle indicates that the company has limited leverage over its suppliers and customers, further complicating its ability to self-fund operations.
Liquidity Buffer Remains Precariously Thin
As evidenced by the latest quarterly data, the current ratio of 1.24 and a quick ratio of 0.62 in 2026Q1 indicate a vulnerable liquidity position that leaves the company with minimal margin for error during periods of operational stress or unexpected market downturns.
The reliance on inventory to meet current obligations, as shown by the gap between the current and quick ratios, suggests that the company's liquidity is highly sensitive to its ability to move product. Investors should monitor these ratios closely, as any further deterioration could signal an imminent need for external financing.
Misapplication of Revenue-Based Valuation Multiples
The market's reliance on the Price-to-Sales (P/S) ratio to value Purple Innovation is fundamentally flawed, as it obscures the company's inability to convert top-line revenue into positive operating cash flow or sustainable net income in its current high-fixed-cost manufacturing configuration.
Using P/S for a company with negative margins and a burning cash position ignores the critical risk of insolvency and the potential for future equity dilution. A more appropriate metric would be an adjusted EV/EBITDA or a focus on the cash runway, which better captures the company's actual ability to survive as a going concern.