Pinterest stock is down almost 70% from record highs, making the social-media stock a compelling buy for value and growth investors. Similar to most other growth stocks, shares of Pinterest (NYSE: PINS) have remained volatile in the last few months.
Similarly, How does Pinterest make money?
Pinterest makes its money via advertising, specifically, promoted pins. These promoted pins are ads that look similar to user-generated pins (posts). The company has integrated a “buy it” button which allows users to buy pinned products directly from Pinterest, rather than visiting a separate merchant site.
Is Pinterest overvalued? Pinterest also has a sky-high price-to-earnings ratio of 165.33, which has led some on Wall Street to label the stock as being “overvalued.” By comparison, the average price-to-earnings ratio among companies listed on the tech-heavy Nasdaq stock exchange is 30.
Thereof, Is Pinterest a good stock to buy 2022?
Throughout 2022, Pinterest might be rumored to be an acquisition target and continue to see some stock price volatility as a result. However, if Pinterest continuously turns them down, investors should be encouraged, as it means management believes future growth far outweighs the purchase price offered at the present.
Is Pinterest stock undervalued?
Is Pinterest Stock undervalued? Depends on your opinion of Pinterest. Some investors believe it is overvalued due to the niche market and reliance on ad revenue, others believe that it is undervalued as the figures show great potential for 2021 and onward, despite COVID-19.
Who is Pinterest's biggest competitor?
Pinterest's top competitors include Tastemade, Houzz, Google, Amazon, Snap, Twitter, Instagram and Meta. Pinterest is a company that develops a social networking site for saving and discovering creative ideas.
Who is Pinterest owned by?
Ben Silberman is cofounder and the CEO of the photo bookmarking site Pinterest, which went public in April 2019. Silbermann owns a 38% stake in the company, which had 454 million users worldwide as of June 2021.
How does Pinterest make money in 2021?
Pinterest makes money primarily from advertisements. While it sells advertisements via a cost per click and cost per thousand impressions model, it primarily offers ads based on engagement, meaning that a company only pays when a user engages with a promoted pin.
Who would buy Pinterest?
PayPal, the online payments giant, is in talks to acquire Pinterest for $45 billion, which would be the company's largest-ever acquisition.
Will Pinterest stocks go up?
The Wall Street analysts anticipate that PINS' sales growth will continue to slow from +20.0% in Q4 2021 to +18.7% in Q1 2022 and +14.6% in Q2 2022 as per S&P Capital IQ data.
Is PINS a good growth stock?
Pinterest stock is now trading below pre-pandemic levels. While growth has slowed tremendously, Pinterest is still generating ample free cash flow. Pinterest's net cash makes up over 15% of the market cap. I rate PINS stock a strong buy on the potential for solid upside despite conservative assumptions.
Who is going to buy Pinterest?
Shares of Pinterest soared Wednesday after Bloomberg first reported PayPal may acquire the social media company. PayPal has discussed acquiring the company for a potential price of around $70 a share, which would value Pinterest at about $39 billion, according to Bloomberg.
Will Pinterest stock ever go back up?
Meanwhile, the company has sustained growth in the average revenue per user (ARPU). Pinterest posted an ARPU of $1.41 in Q3, up by 37% from the same quarter last year. This metric could get a boost in 2022 as supply-chain disruptions ease worldwide and Pinterest progresses in monetizing international users.
Why is Pinterest stock crashing?
Pinterest shares tumbled after a downgrade by Guggenheim. The firm cited data that users were leaving the platform. Analysts downgraded the stock to Neutral from Buy and lowered the price target to $39 from $46.
What's wrong with Pinterest stock?
Pinterest shares tumbled after a downgrade by Guggenheim. The firm cited data that users were leaving the platform. Analysts downgraded the stock to Neutral from Buy and lowered the price target to $39 from $46.
Will Pinterest stock go up?
The Wall Street analysts anticipate that PINS' sales growth will continue to slow from +20.0% in Q4 2021 to +18.7% in Q1 2022 and +14.6% in Q2 2022 as per S&P Capital IQ data.
Is PayPal buying Pinterest?
Although a rumored PayPal acquisition of Pinterest isn't happening, the potential deal indicates the fintech giant could be more heavily focused going forward on the social commerce space, which involves consumer purchases made on social media platforms.
Who is competing with Pinterest?
Pinterest competitors include Salesforce, Google, Meta, Uber and Twitter. Pinterest ranks 2nd in Product Quality Score on Comparably vs its competitors.
Is there an alternative to Pinterest?
mix. Mix is a great alternative to Pinterest. When you sign up to the site, you'll choose from several topics you'd like to see in your feed, including fashion, architecture, music, funny posts, nature, and more. When you see a post you like, you can hit the Mix button, which adds it to a collection on your profile.
Does Pinterest compete with Facebook?
Many people view Pinterest as a social media company that competes with Facebook (FB 0.40%) or Snap ( SNAP 3.31% ). Indeed, they're listed as Pinterest's competitors in its registration statement.
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