About a month ago, Pinterest’s ($PINS) stock took a beating as investors doubted its profitability. The social media website/mobile app allows users to collect and share pictures of outfits, wedding cakes, DIY home improvement projects, inspirational quotes, recipes, articles, you name it. But now, the vision boards are beginning to look like dollar signs.
The company started with a Buy rating and $29 target price at Loop Capital. On Tuesday, the stock was up 0.5% at $22.46 with a consensus target price of $26.24.
The platform has over 320M active users, 2 billion monthly searches, and its Apple Store rating count has been steadily rising, from 4.09M last year to 4.93M today.
That’s a lot of eyes on a lot of ads! Pinterest relies on targeted ad revenue, “promoted pins,” and selling click-to-buy ad space to businesses and retail partners. There’s a lot of room to grow advertising and monetization.
Just last week, Pinterest launched its new “Try On” tool for users to test out looks in augmented reality. For now, the feature is limited to lipstick shades from retailers like Estée Lauder, Sephora, bareMinerals, Neutrogena, and NYX Professional Makeup. Retail is dying and the dressing room of the future is in the palm of your hand.
About the Data:
Thinknum tracks companies using the information they post online - jobs, social and web traffic, product sales and app ratings - and creates data sets that measure factors like hiring, revenue and foot traffic. Data sets may not be fully comprehensive (they only account for what is available on the web), but they can be used to gauge performance factors like staffing and sales.
Further Reading:
- Pinterest is down - but data proves the social shopping IPO isn't out
- ’Tis the season to get engaged according to social media data for major jewelers
- Nike can offset the Coronavirus' impact thanks to the strength of its app
