In the latest trading session, Pinterest (PINS) closed at $37.11, marking a +2.85% move from the previous day. This change outpaced the S&P 500's 0.01% loss on the day. On the other hand, the Dow registered a loss of 0.32%, and the technology-centric Nasdaq increased by 0.05%.
Coming into today, shares of the digital pinboard and shopping tool company had gained 3.74% in the past month. In that same time, the Computer and Technology sector gained 7.44%, while the S&P 500 gained 5.37%.
Market participants will be closely following the financial results of Pinterest in its upcoming release. The company plans to announce its earnings on August 7, 2025. On that day, Pinterest is projected to report earnings of $0.34 per share, which would represent year-over-year growth of 17.24%. Meanwhile, the latest consensus estimate predicts the revenue to be $973.08 million, indicating a 13.99% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.84 per share and revenue of $4.15 billion. These totals would mark changes of +42.64% and +13.81%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Pinterest. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Pinterest is holding a Zacks Rank of #3 (Hold) right now.
With respect to valuation, Pinterest is currently being traded at a Forward P/E ratio of 19.64. This denotes a discount relative to the industry average Forward P/E of 28.43.
Also, we should mention that PINS has a PEG ratio of 0.59. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Internet - Software industry stood at 2.14 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 77, positioning it in the top 32% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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, Inc. (PINS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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