NYSE:PINS

Stock Analysis Report

Executive Summary

Pinterest, Inc. provides a visual discovery engine that helps users to discover ideas for various projects and interests worldwide.

Snowflake

Fundamentals

Exceptional growth potential with excellent balance sheet.


Similar Companies

Share Price & News

How has Pinterest's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.1%

PINS

1.4%

US Interactive Media and Services

1.3%

US Market


1 Year Return

n/a

PINS

7.8%

US Interactive Media and Services

5.9%

US Market

Return vs Industry: Insufficient data to determine how PINS performed against the US Interactive Media and Services industry.

Return vs Market: Insufficient data to determine how PINS performed against the US Market.


Shareholder returns

PINSIndustryMarket
7 Day1.1%1.4%1.3%
30 Day-10.7%-2.7%-1.9%
90 Day0.04%-1.7%-1.8%
1 Yearn/a7.8%7.8%8.3%5.9%
3 Yearn/a43.1%43.1%45.6%36.2%
5 Yearn/a92.4%92.2%66.1%47.9%

Price Volatility Vs. Market

How volatile is Pinterest's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Pinterest undervalued compared to its fair value and its price relative to the market?

6.78x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: PINS ($25.92) is trading above our estimate of fair value ($25.9)

Significantly Undervalued: PINS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PINS is unprofitable, so we can't compare its PE Ratio to the Interactive Media and Services industry average.

PE vs Market: PINS is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate PINS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PINS is overvalued based on its PB Ratio (6.8x) compared to the US Interactive Media and Services industry average (3.1x).


Next Steps

Future Growth

How is Pinterest forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

78.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PINS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

Earnings vs Market: PINS is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: PINS's loss is forecast to worsen by 0% next year.

Revenue vs Market: PINS's revenue (25.9% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: PINS's revenue (25.9% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: PINS's Return on Equity is forecast to be high in 3 years time (20.3%)


Next Steps

Past Performance

How has Pinterest performed over the past 5 years?

-924.3%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if PINS's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare PINS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PINS is unprofitable, making it difficult to compare its past year earnings growth to the Interactive Media and Services industry (12.3%).


Return on Equity

High ROE: PINS has a negative Return on Equity (-56.57%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: PINS is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: PINS is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Pinterest's financial position?


Financial Position Analysis

Short Term Liabilities: PINS's short term assets ($2.1B) exceeds its short term liabilities ($139.9M)

Long Term Liabilities: PINS's short term assets (2.1B) exceeds its long term liabilities (174.0M)


Debt to Equity History and Analysis

Debt Level: PINS is debt free.

Reducing Debt: PINS has not had any debt for past 5 years.


Balance Sheet

Inventory Level: PINS has a low level of unsold assets or inventory.

Debt Coverage by Assets: PINS's debt is not covered by short term assets (assets are -102.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: PINS has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if PINS has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Pinterest's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage0.4%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate PINS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PINS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if PINS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PINS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PINS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Pinterest's salary, the management and board of directors tenure and is there insider trading?

2.4yrs

Average management tenure


CEO

Ben Silbermann (36yo)

0yrs

Tenure

0

Mr. Benjamin Silbermann, also known as Ben, is Co-Founder of Pinterest, Inc. and serves as its Chairman of the Board of Directors, President and Chief Executive Officer. Prior to co-founding Pinterest, Mr. ...


Management Age and Tenure

2.4yrs

Average Tenure

45.5yo

Average Age

Experienced Management: PINS's management team is considered experienced (2.4 years average tenure).


Board Age and Tenure

2.6yrs

Average Tenure

54yo

Average Age

Experienced Board: PINS's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$1,081,51626 Apr 19
Fredric Reynolds
EntityIndividual
Role
Member of the Board of Directors
Director
Shares40,000
Max PriceUS$27.04

Ownership Breakdown


Management Team

  • Todd Morgenfeld (47yo)

    Chief Financial Officer

    • Tenure: 2.9yrs
  • Françoise Brougher (54yo)

    Chief Operating Officer

    • Tenure: 1.6yrs
  • Ben Silbermann (36yo)

    Chairman

    • Tenure: 0yrs
  • Jon Kaplan

    Head of Global Sales

    • Tenure: 3.6yrs
  • Evan Sharp (36yo)

    Co-Founder

    • Tenure: 0.6yrs
  • Jane Penner

    Head of Investor Relations

    • Tenure: 0yrs
  • Lily Yang (47yo)

    Chief Accounting Officer

    • Tenure: 2.3yrs
  • Randy Keller

    Head of Search

    • Tenure: 2.7yrs
  • Chuck Rosenberg

    Head of Computer Vision Department

    • Tenure: 1.8yrs
  • Christine Flores (44yo)

    General Counsel & Secretary

    • Tenure: 2.4yrs

Board Members

  • Jeff Jordan (60yo)

    Director

    • Tenure: 8yrs
  • Fred Reynolds (68yo)

    Director

    • Tenure: 1.8yrs
  • Leslie Kilgore (54yo)

    Director

    • Tenure: 0.6yrs
  • Jeremy Levine (45yo)

    Director

    • Tenure: 8.5yrs
  • Ben Silbermann (36yo)

    Chairman

    • Tenure: 0yrs
  • Evan Sharp (36yo)

    Co-Founder

    • Tenure: 0.6yrs
  • Michelle Wilson (56yo)

    Director

    • Tenure: 3.4yrs

Company Information

Pinterest, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pinterest, Inc.
  • Ticker: PINS
  • Exchange: NYSE
  • Founded: 2008
  • Industry: Interactive Media and Services
  • Sector: Media
  • Market Cap: US$14.067b
  • Shares outstanding: 542.71m
  • Website: https://www.pinterest.com

Number of Employees


Location

  • Pinterest, Inc.
  • 505 Brannan Street
  • San Francisco
  • California
  • 94107
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PINSNYSE (New York Stock Exchange)YesClass A Common StockUSUSDApr 2019
PINS *BMV (Bolsa Mexicana de Valores)YesClass A Common StockMXMXNApr 2019

Biography

Pinterest, Inc. provides a visual discovery engine that helps users to discover ideas for various projects and interests worldwide. Its platform allows users to discover ideas for daily activities, remodel ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 00:52
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.