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Pinterest (PINS) Increases Yet Falls Behind Market: What Investors Need to Know
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The most recent trading session ended with Pinterest (PINS - Free Report) standing at $36.51, reflecting a +1.05% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 1.37%. Meanwhile, the Dow experienced a rise of 1.4%, and the technology-dominated Nasdaq saw an increase of 1.38%.
Prior to today's trading, shares of the digital pinboard and shopping tool company had gained 12.31% over the past month. This has outpaced the Computer and Technology sector's gain of 4.65% and the S&P 500's gain of 5.37% in that time.
Market participants will be closely following the financial results of Pinterest in its upcoming release. It is anticipated that the company will report an EPS of $0.51, marking a 75.86% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $986.49 million, up 12.46% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.07 per share and revenue of $3.06 billion. These totals would mark changes of +72.58% and +9.09%, respectively, from last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Pinterest. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 11.86% increase. At present, Pinterest boasts a Zacks Rank of #2 (Buy).
In terms of valuation, Pinterest is currently trading at a Forward P/E ratio of 33.77. This valuation marks a discount compared to its industry's average Forward P/E of 37.81.
Also, we should mention that PINS has a PEG ratio of 0.94. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 1.73.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 26, placing it within the top 11% of over 250 industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Pinterest (PINS) Increases Yet Falls Behind Market: What Investors Need to Know
The most recent trading session ended with Pinterest (PINS - Free Report) standing at $36.51, reflecting a +1.05% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily gain of 1.37%. Meanwhile, the Dow experienced a rise of 1.4%, and the technology-dominated Nasdaq saw an increase of 1.38%.
Prior to today's trading, shares of the digital pinboard and shopping tool company had gained 12.31% over the past month. This has outpaced the Computer and Technology sector's gain of 4.65% and the S&P 500's gain of 5.37% in that time.
Market participants will be closely following the financial results of Pinterest in its upcoming release. It is anticipated that the company will report an EPS of $0.51, marking a 75.86% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $986.49 million, up 12.46% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.07 per share and revenue of $3.06 billion. These totals would mark changes of +72.58% and +9.09%, respectively, from last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Pinterest. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 11.86% increase. At present, Pinterest boasts a Zacks Rank of #2 (Buy).
In terms of valuation, Pinterest is currently trading at a Forward P/E ratio of 33.77. This valuation marks a discount compared to its industry's average Forward P/E of 37.81.
Also, we should mention that PINS has a PEG ratio of 0.94. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 1.73.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 26, placing it within the top 11% of over 250 industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.