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Why NYSE:PINS Is a Standout High-Growth Stock in a Consolidation Phase.

By Mill Chart

Last update: May 15, 2024

Exploring Growth Potential: PINTEREST INC- CLASS A (NYSE:PINS) and Its Base Formation. Growth investors seek promising revenue and EPS growth, and PINTEREST INC- CLASS A has come under our scrutiny for potential growth investing. While it's crucial to do your own research, we've detected PINTEREST INC- CLASS A on our screen for growth with base formation, suggesting it merits a closer look.

What does the Growth looks like for NYSE:PINS

A key component of ChartMill's stock assessment is the Growth Rating, which spans from 0 to 10. This rating evaluates diverse growth factors, such as EPS and revenue growth, considering both past performance and future projections. NYSE:PINS has received a 8 out of 10:

  • PINS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 106.78%, which is quite impressive.
  • The Earnings Per Share has been growing by 41.29% on average over the past years. This is a very strong growth
  • The Revenue has grown by 12.80% in the past year. This is quite good.
  • The Revenue has been growing by 32.22% on average over the past years. This is a very strong growth!
  • The Earnings Per Share is expected to grow by 19.43% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 15.39% on average over the next years. This is quite good.

Understanding NYSE:PINS's Health

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:PINS scores a 9 out of 10:

  • PINS has an Altman-Z score of 34.02. This indicates that PINS is financially healthy and has little risk of bankruptcy at the moment.
  • With an excellent Altman-Z score value of 34.02, PINS belongs to the best of the industry, outperforming 98.51% of the companies in the same industry.
  • PINS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
  • PINS has a Current Ratio of 10.04. This indicates that PINS is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 10.04, PINS belongs to the top of the industry, outperforming 95.52% of the companies in the same industry.
  • A Quick Ratio of 10.04 indicates that PINS has no problem at all paying its short term obligations.
  • PINS has a Quick ratio of 10.04. This is amongst the best in the industry. PINS outperforms 95.52% of its industry peers.

Profitability Analysis for NYSE:PINS

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:PINS has earned a 5 out of 10:

  • PINS's Return On Assets of 4.04% is fine compared to the rest of the industry. PINS outperforms 71.64% of its industry peers.
  • PINS has a Return On Equity of 4.71%. This is in the better half of the industry: PINS outperforms 70.15% of its industry peers.
  • PINS's Return On Invested Capital of 1.64% is fine compared to the rest of the industry. PINS outperforms 62.69% of its industry peers.
  • Looking at the Profit Margin, with a value of 4.64%, PINS is in the better half of the industry, outperforming 70.15% of the companies in the same industry.
  • With a decent Gross Margin value of 78.11%, PINS is doing good in the industry, outperforming 68.66% of the companies in the same industry.
  • PINS's Gross Margin has improved in the last couple of years.

How do we evaluate the setup for NYSE:PINS?

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NYSE:PINS currently holds a 7 as its setup rating, suggesting a particular level of consolidation in the stock.

Although PINS has an excellent technical rating, the quality of the presented setup is not ideal at the moment. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first.

More Strong Growth stocks can be found in our Strong Growth screener.

Check the latest full fundamental report of PINS for a complete fundamental analysis.

Check the latest full technical report of PINS for a complete technical analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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