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Pinterest (PINS) Outpaces Stock Market Gains: What You Should Know

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Pinterest (PINS - Free Report) closed at $68.67 in the latest trading session, marking a +0.72% move from the prior day. This move outpaced the S&P 500's daily gain of 0.18%.

Prior to today's trading, shares of the digital pinboard and shopping tool company had gained 17.45% over the past month. This has outpaced the Computer and Technology sector's gain of 6.46% and the S&P 500's gain of 2.43% in that time.

Investors will be hoping for strength from PINS as it approaches its next earnings release. On that day, PINS is projected to report earnings of $0.13 per share, which would represent year-over-year growth of 285.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $560.73 million, up 105.78% from the year-ago period.

PINS's full-year Zacks Consensus Estimates are calling for earnings of $0.97 per share and revenue of $2.61 billion. These results would represent year-over-year changes of +130.95% and +54.46%, respectively.

Investors should also note any recent changes to analyst estimates for PINS. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PINS currently has a Zacks Rank of #2 (Buy).

Looking at its valuation, PINS is holding a Forward P/E ratio of 70.05. Its industry sports an average Forward P/E of 71.42, so we one might conclude that PINS is trading at a discount comparatively.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 200, which puts it in the bottom 22% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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