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Pinterest (PINS) Stock Sinks As Market Gains: What You Should Know
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Pinterest (PINS - Free Report) closed the most recent trading day at $18.06, moving -0.28% from the previous trading session. This change lagged the S&P 500's 0.13% gain on the day. At the same time, the Dow added 0.28%, and the tech-heavy Nasdaq lost 0.06%.
Coming into today, shares of the digital pinboard and shopping tool company had lost 15.65% in the past month. In that same time, the Computer and Technology sector lost 13.84%, while the S&P 500 gained 5.55%.
Investors will be hoping for strength from Pinterest as it approaches its next earnings release, which is expected to be August 1, 2022. In that report, analysts expect Pinterest to post earnings of $0.17 per share. This would mark a year-over-year decline of 32%. Our most recent consensus estimate is calling for quarterly revenue of $665.4 million, up 8.51% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.79 per share and revenue of $2.94 billion, which would represent changes of -30.09% and +13.91%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Pinterest. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 40% lower within the past month. Pinterest is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Pinterest is currently trading at a Forward P/E ratio of 22.92. This valuation marks a discount compared to its industry's average Forward P/E of 44.14.
It is also worth noting that PINS currently has a PEG ratio of 1.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.54 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 136, which puts it in the bottom 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
View the Zacks #1 Rank List
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Pinterest (PINS) Stock Sinks As Market Gains: What You Should Know
Pinterest (PINS - Free Report) closed the most recent trading day at $18.06, moving -0.28% from the previous trading session. This change lagged the S&P 500's 0.13% gain on the day. At the same time, the Dow added 0.28%, and the tech-heavy Nasdaq lost 0.06%.
Coming into today, shares of the digital pinboard and shopping tool company had lost 15.65% in the past month. In that same time, the Computer and Technology sector lost 13.84%, while the S&P 500 gained 5.55%.
Investors will be hoping for strength from Pinterest as it approaches its next earnings release, which is expected to be August 1, 2022. In that report, analysts expect Pinterest to post earnings of $0.17 per share. This would mark a year-over-year decline of 32%. Our most recent consensus estimate is calling for quarterly revenue of $665.4 million, up 8.51% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.79 per share and revenue of $2.94 billion, which would represent changes of -30.09% and +13.91%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Pinterest. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 40% lower within the past month. Pinterest is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Pinterest is currently trading at a Forward P/E ratio of 22.92. This valuation marks a discount compared to its industry's average Forward P/E of 44.14.
It is also worth noting that PINS currently has a PEG ratio of 1.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.54 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 136, which puts it in the bottom 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.