Pinterest logged a 0.9% change during today's morning session, and is now trading at a price of $27.91 per share.
Pinterest returned gains of 16.0% last year, with its stock price reaching a high of $30.86 and a low of $20.6. Over the same period, the stock outperformed the S&P 500 index by 4.0%. More recently, the company's 50-day average price was $27.53. Pinterest, Inc. operates as a visual discovery engine in the United States and internationally. Based in San Francisco, CA, the large-cap Technology company has 3,883 full time employees. Pinterest has not offered a dividend during the last year.
An Exceptionally Strong Balance Sheet:
| 2020-02-07 | 2021-02-05 | 2022-02-03 | 2023-02-06 | |
|---|---|---|---|---|
| Revenue (MM) | $1,143 | $1,693 | $2,578 | $2,803 |
| Gross Margins | 69.0% | 73.0% | 79.0% | 76.0% |
| Operating Margins | -122% | -8% | 13% | -4% |
| Net Margins | -119.0% | -8.0% | 12.0% | -3.0% |
| Net Income (MM) | -$1,361 | -$128 | $316 | -$96 |
| Net Interest Expense (MM) | $28 | $15 | -$5 | $16 |
| Depreciation & Amort. (MM) | -$28 | -$37 | -$28 | -$46 |
| Earnings Per Share | -$3.24 | -$0.22 | $0.46 | -$0.16 |
| EPS Growth | n/a | 93.21% | 309.09% | -134.78% |
| Diluted Shares (MM) | 420 | 596 | 692 | 618 |
| Free Cash Flow (MM) | $34 | $46 | $762 | $498 |
| Capital Expenditures (MM) | -$34 | -$17 | -$9 | -$29 |
| Net Current Assets (MM) | n/a | n/a | n/a | n/a |
Pinterest does not have a meaningful trailing P/E ratio since its earnings per share are currently in the red. Based on its EPS guidance of $1.14, the company has a forward P/E ratio of 24.1. In comparison, the average P/E ratio for the Technology sector is 27.16. Furthermore, Pinterest is likely overvalued compared to the book value of its equity, since its P/B ratio of 6.94 is higher than the sector average of 6.23.
Analysts Give Pinterest an Average Rating of Buy:
The 29 analysts following Pinterest have set target prices ranging from $24.0 to $45.0 per share, for an average of $31.9 with a buy rating. As of April 2023, the company is trading -13.7% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Pinterest has an average amount of shares sold short because 4.0% of the company's shares are sold short. Institutions own 93.3% of the company's shares, and the insider ownership rate stands at 0.99%, suggesting a small amount of insider investors. The largest shareholder is Vanguard Group Inc, whose 10% stake in the company is worth $1,559,819,245.
