Everpure stock has been riding its longest winning streak in nearly three years—a surge that should come as no surprise to investors.

As companies expand their data-center buildout, the need for fast, energy-efficient storage has grown exponentially, and Everpure, which specializes in data-storage solutions, has capitalized on that demand.

Investors have been cashing in on Everpure stock, soaking up the benefits of Everpure’s major role in the artificial-intelligence- infrastructure boom, driven by locking in big tech clients and converting hard sales into durable subscriptions.

Shares of Everpure, which recently joined the S&P 500, rose 3.7% to $152.66 Wednesday. The stock has surged 128% this year as of the close of trading Wednesday and was heading for its best year ever, according to Dow Jones Market Data.

Enterprise hardware peers also have joined the rally, thanks to booming AI demand. This year, NetApp stock has risen 120%, Dell Technologies has soared 360%, and Hewlett Packard Enterprise has risen 200%.

But what has set Everpure apart from its competitors has been its premium positioning. Upfront, its hardware has a heftier price tag than other legacy hardware giants, like Dell or HPE. Its recurring subscription model also has boosted margins, giving the stock a higher valuation multiple.

Management’s positive outlook also has boosted investor optimism. At its investor day presentation on Sept. 23, Everpure raised its long-term revenue targets for fiscal 2028 up to nearly $7.2 billion, signaling to investors that its AI growth trajectory has accelerated faster than anticipated. Investors caught on quickly: Everpure stock has soared 36% since that date.

Everpure’s investor day sparked a slew of price target hikes across Wall Street, with major firms like Bank of America, Citi, Evercore ISI, and Morgan Stanley revising their outlooks.

The average rating on Everpure stock is Buy with a price target of $147.79, according to the 22 analysts polled by FactSet.

Everpure’s key leg up in the industry has been its transition into high-margin subscriptions. Instead of just selling hardware once, the company has shifted customers toward its storage-as-a-service subscription model. Both subscription revenue and annual recurring revenue have climbed rapidly, boosting investors’ confidence in steady, future cash flow.

The company, formerly known as Pure Storage, recently landed a contract with an undisclosed top-tier hyperscale cloud provider, proving its technology has become a go-to standard for data-center construction. This came on the heels of Everpure’s first major contract with Meta Platforms, which was finalized in late 2024.