Shares of data storage software and hardware company Pure Storage (PSTG 1.40%), charged higher Thursday, climbing as much as 5.5%. As of 2:53 p.m. ET, the stock was still up 5.2%.

The general market updraft no doubt helped provide momentum, but the catalyst that drove the data storage specialist higher was some positive commentary by a Wall Street analyst.

Playing catch-up

Analysts at Bank of America addressed Pure Storage ahead of the company's fourth-quarter results, which are scheduled to be released later this month. BofA analyst Wamsi Mohan maintained a neutral rating on the stock but raised the stock's price target to $42, up from $36, according to The Fly.

Before you get too excited about the price target bump, consider this: Pure Storage stock was already trading above $39 yesterday, so the analyst was playing catch-up. In fact, after today's rally, the stock is on the verge of surpassing the price target issued just this morning.

By way of commentary, Mohan noted that the spending environment for storage solutions is "slowly recovering," which bodes well for Pure Storage. The analyst went on to suggest that Wall Street's consensus estimate for 11% growth for the company in fiscal 2025 -- which began earlier this month -- may be too low, "discounting a somewhat optimistic scenario." Mohan expects Pure Storage to grow in a range of 8.5% to 15.5%, or roughly 12% at the midpoint -- a full point ahead of consensus.

Another potential driver

There are those who believe that Pure Storage will benefit from the growing adoption of artificial intelligence (AI), as users will need to beef up the amount of available storage, which sheds a whole new light on the subject.

The company could gain ground with its strategy of providing memory systems offered as a service. In doing so, users get the flexibility of a consumption-based subscription service for their growing mountains of data. That said, Pure Storage will still need to prove it's up to the task.

The company is definitely worth watching and investors should have more clarity when Pure Storage reports its results on Feb. 28.