Purple Innovation, Inc. (PRPL)

Several events have impacted Purple Innovation, Inc.'s stock price over the past six months. In Q2 2025, net revenue declined year-over-year, but revenue and profit exceeded expectations, with adjusted EBITDA improving. In Q3 2025, operational improvements and product mix shifts helped expand the adjusted gross margin, and the company reiterated its full-year 2025 guidance. Purple Innovation has faced a Nasdaq delisting notice. The expanded partnership with Mattress Firm is a significant growth driver, and the launch in Costco stores is anticipated to contribute to revenue. The Rejuvenate 2.0 mattress line has shown strong demand, outperforming initial sales expectations.

Demand for Purple Innovation's products exhibits seasonality. The company anticipates a "seasonal lift in direct-to-consumer sales during the Black Friday, Cyber Monday holiday" period. Retail seasonality, including these major shopping events, is a factor in revenue projections. Historical seasonal chart analysis suggests a period of seasonal strength for the stock from approximately November 13 to February 6, aligning with the broader Consumer Discretionary sector's seasonal strength from October to April. Revenue growth in 2021 was notably driven by strong marketing and high demand during the COVID-19 pandemic, but the company has experienced a continuous decline in revenue since then.

Purple Innovation, Inc. is a consumer products company specializing in comfort technology for the sleep and home furnishings markets. They are known for their Hyper-Elastic Polymer® Grid technology, which is engineered into its products to provide pressure relief, support, and temperature neutrality. The company's products include mattresses, pillows, adjustable bed frames, sheets, mattress protectors, bases, seat cushions, blankets, duvets, and pet beds. Purple Innovation distributes its products through its e-commerce website, owned showrooms, and a network of third-party retailers.

Purple Innovation primarily serves markets in the United States and Canada. The company's headquarters are located in Lehi, Utah. Its distribution strategy leverages e-commerce, wholesale, and specialty retail relationships to broaden its consumer reach across North America.

Purple Innovation's brand reputation has seen mixed perceptions in the past year. Some analyses suggested a "relatively weak brand", but more recent independent studies indicate positive results for Purple Innovation's Essential and Restore mattresses with GelFlex Grid® technology, showing self-reported pain dropping and significant improvements in sleep quality and comfort. The company also leverages its "World's First No Pressure™ Mattress" branding.

Purple Innovation, Inc. is a publicly traded company with its ownership structure heavily weighted toward institutional investors. As of January 2, 2026, Purple Innovation, Inc. has 133 institutional owners and shareholders holding a total of 68,953,506 shares. Major institutional owners include Coliseum Capital Management, LLC, Wasatch Advisors Inc, Vanguard Group Inc, Fmr Llc, BlackRock, Inc., and Millennium Management Llc. Individual insider ownership is also significant, with 45.71% of the stock held by insiders, including Douglas Scott Peterson and Paul J. Zepf.