Purple Innovation price target lowered to $1.75 from $2.25 at Wedbush

Wedbush analyst Seth Basham lowered the firm’s price target on Purple Innovation to $1.75 from $2.25 and keeps an Outperform rating on the shares. The firm notes Purple reported Q2 revenue that missed expectations, but strong gross margin improvement and cost management drove adjusted EBITDA ahead of estimates. Incremental industry-wide demand pressure emerging in the back half of Q2 and into Q3, along with some contribution from softer-than-expected e-commerce channel performance, drove the sales outlook lower for the rest of the year, Wedbush adds.