Pinning Down Profits

Pinning Down Profits

Jun 17, 2022

Pinterest (PINS) positions itself somewhere between social media and visual search. With lackluster performance in 2021, the timing may be right to inspire investors once again.

By the numbers: Pinterest shows strong fundamentals.

  • The company boasts among the best returns in the industry with a return on assets of 8.95%, outperforms 87% of its industry peers.

  • It currently has a profit margin of 12.27% compared to the industry average of -11.20%.

  • With $2.48 billion in cash and short term investments, PINS holds a very healthy cash-to-debt ratio of 9.89x.

Opportunity for Growth: Pinterest shows potential if it can continue its trend of tapping into the greater potential of global market share,

  • 76.50% of its $847 million revenue in the last quarter was attributed to the U.S. market and the rest to its international market.

  • International revenue grew 61% year-over-year compared to only 11% for the United States.

  • Wall Street analysts are forecasting a +81.12% increase over the next 12 months.

What's next: The visual search engine has rolled out a variety of features to help content creators such as “Idea Pins” which may be the quickest way to grow your account’s audience. It also plans to focus on improving its shopping experience and the efficiency of its advertising marketplace.

Ready to pin this investment to your portfolio, but still skeptical about Pinterest’s current valuation? Consider one of these filtered option strategies on PINS.

Source: Investor Place

© 2024 Olive Advisors Inc. All Rights Reserved.

By using this website, you accept and agree to Olive's Terms of Use and Privacy Policy. Olive's investment advisory services are available only to residents of the United States in jurisdictions where Olive is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Account holdings and other information provided are for illustrative purposes only and are not to be considered investment recommendations. All performance information is shown for illustrative purposes only and excludes the impact of fees and taxes. The content on this website is for informational purposes only and does not constitute a comprehensive description of Olive's services. For more information information on risks associated with options, please see disclosures.

Information provided by Olive Advisors Inc. is for informational and general educational purposes only and is not tax or financial advice.

Contact Olive at support@oliveinvest.com. 31 Hudson Yards, New York, NY 10001

© 2024 Olive Advisors Inc. All Rights Reserved.

By using this website, you accept and agree to Olive's Terms of Use and Privacy Policy. Olive's investment advisory services are available only to residents of the United States in jurisdictions where Olive is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Account holdings and other information provided are for illustrative purposes only and are not to be considered investment recommendations. All performance information is shown for illustrative purposes only and excludes the impact of fees and taxes. The content on this website is for informational purposes only and does not constitute a comprehensive description of Olive's services. For more information information on risks associated with options, please see disclosures.

Information provided by Olive Advisors Inc. is for informational and general educational purposes only and is not tax or financial advice.

Contact Olive at support@oliveinvest.com. 31 Hudson Yards, New York, NY 10001

© 2024 Olive Advisors Inc. All Rights Reserved.

By using this website, you accept and agree to Olive's Terms of Use and Privacy Policy. Olive's investment advisory services are available only to residents of the United States in jurisdictions where Olive is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Account holdings and other information provided are for illustrative purposes only and are not to be considered investment recommendations. All performance information is shown for illustrative purposes only and excludes the impact of fees and taxes. The content on this website is for informational purposes only and does not constitute a comprehensive description of Olive's services. For more information information on risks associated with options, please see disclosures.

Information provided by Olive Advisors Inc. is for informational and general educational purposes only and is not tax or financial advice.

Contact Olive at support@oliveinvest.com. 31 Hudson Yards, New York, NY 10001