Everpure (ticker: P) saw its shares climb 13% on Thursday, making the data-storage company the S&P 500's leading gainer for the session. The rally followed the company's inclusion in the index earlier this month and its release of preliminary fiscal 2028 revenue targets that exceeded Wall Street's consensus estimates.
Fiscal 2028 Outlook Beats Expectations
Everpure reaffirmed its fiscal 2027 revenue guidance of $5.03 billion to $5.07 billion, representing year-over-year growth of 37% to 38%. The company also maintained its non-GAAP operating income forecast of $940 million to $960 million for that period.
For fiscal 2028, the company provided preliminary revenue guidance of $7 billion to $7.3 billion, implying growth of 39% to 45% from the prior year. Non-GAAP operating income is projected to reach $1.7 billion to $1.9 billion, an increase of 80% to 100% year over year.
The outlook prompted several analysts to raise their estimates. Bank of America noted that its fiscal 2028 revenue and operating income estimates were about 10% and 40% above consensus, respectively, while still describing those forecasts as conservative. Northland highlighted that the midpoints of Everpure's preliminary fiscal 2028 revenue and operating profit outlooks were 16% and 36% above consensus. Morgan Stanley also raised its fiscal 2028 and 2029 EPS estimates by 15% and 30%, respectively, and now expects 35% revenue growth and 43% EPS growth through 2029.
Expansion Beyond Core Storage
Everpure's growth strategy now spans four areas: Core and Core AI, Modern Data Software, Scale AI, and Hyperscale Solutions. The company expects the latter three segments to account for roughly 20% of revenue by fiscal 2030, broadening its business beyond traditional enterprise storage.
CEO Charlie Giancarlo said Everpure is at an "inflection point" as its technology expands into enterprise data management and hyperscaler solutions. TD Cowen's Krish Sankar echoed that sentiment, noting that the company is entering a different phase with larger deals and a value proposition extending beyond storage into areas such as data architecture. Sankar also pointed to hyperscale solutions as a potential growth driver, describing hyperscalers as "becoming a core growth engine" and signaling "a broader organizational inflection."
Everpure said it has delivered eight consecutive quarters of accelerating revenue growth and has invested an average of 19% of annual revenue in research and development over the past five years.
Analysts See Durable Growth and Margin Expansion
Evercore ISI's Amit Daryanani said Everpure's growth could remain durable from a larger base while margins expand through changes in business mix rather than core pricing. Morgan Stanley's Erik Woodring noted that investors had previously questioned whether Everpure's recent growth trends could continue, but those concerns should reverse following the company's longer-term outlook.
Everpure estimates that its total addressable market for all-flash and related technologies could nearly quadruple to more than $200 billion by 2030. Woodring also highlighted the possibility of Everpure reaching "Rule of 60" status next calendar year, where revenue growth plus operating margins reach at least 60%. He noted that Microsoft, Oracle, Palantir Technologies, and AppLovin are among the software companies expected to reach that level.
Piper Sandler continues to include Everpure among its top five picks, citing the shift toward all-flash storage, product advantages, market-share gains, the "Year of Refresh," and hyperscaler momentum. Citi also described the company as being at an "inflection point," pointing to its storage intellectual property and expanding data-management opportunities across enterprises, hyperscalers, and neoclouds.
This article is for informational purposes only and does not constitute financial advice.
