Pinterest Inc Class A
PINS: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$58.00 | Yywmb | Njgdgbvv |
Pinterest Earnings: Advertiser Adoption Should Drive Higher User Monetization and Margin Expansion
We are maintaining our $36 fair value estimate on narrow-moat Pinterest. The firm’s second-quarter results indicate that its network effect is strengthening as more advertisers adopt its ad performance measurement tools, which we think will increase ad prices and user monetization. At the same time, continuing user growth and improvements in engagement are providing more opportunities for advertisers to reach an audience.