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Purple Innovation Accelerates NOL Rights Plan Expiration

Story Highlights
  • Purple Innovation adopted an NOL Rights Plan on June 27, 2024, to protect tax assets.
  • The Board accelerated the plan’s expiration to May 7, 2025, to boost share price and investment.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.

An update from Purple Innovation ( (PRPL) ) is now available.

On June 27, 2024, Purple Innovation‘s Board of Directors adopted a stockholder rights agreement, the NOL Rights Plan, to protect $238 million in net operating losses from potential tax limitations due to ownership changes. However, on May 6, 2025, the Board decided to accelerate the plan’s expiration to May 7, 2025, to prevent artificial suppression of share price and remove barriers to new investment, following a strategic review initiated in March 2025.

Spark’s Take on PRPL Stock

According to Spark, TipRanks’ AI Analyst, PRPL is a Neutral.

Purple Innovation’s overall score of 45 reflects significant financial challenges, with declining revenue and high leverage being key concerns. Technical analysis suggests bearish momentum, while the valuation presents speculative opportunities. The corporate event announcement about exploring strategic options provides a positive outlook, potentially improving the company’s financial situation.

To see Spark’s full report on PRPL stock, click here.

More about Purple Innovation

Purple Innovation, Inc. operates in the consumer goods industry, primarily focusing on the design and manufacture of innovative comfort products, including mattresses and cushions.

Average Trading Volume: 740,423

Technical Sentiment Signal: Sell

Current Market Cap: $71.61M

Learn more about PRPL stock on TipRanks’ Stock Analysis page.

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