PINTEREST INC- CLASS A (PINS) Stock Fundamental Analysis
USA - NYSE:PINS - US72352L1061 - Common Stock
25.49 USD
-0.28 (-1.09%)
25.78 USD
+0.29 (+1.14%)
PINS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. PINS gets an excellent profitability rating and is at the same time showing great financial health properties. PINS is evaluated to be cheap and growing strongly. This does not happen too often! This makes PINS very considerable for value and growth and quality investing!
1. Profitability
1.1 Basic Checks
PINS had positive earnings in the past year.
PINS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PINS reported negative net income in multiple years.
PINS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PINS's Return On Assets of 36.03% is amongst the best of the industry. PINS outperforms 98.57% of its industry peers.
Looking at the Return On Equity, with a value of 41.19%, PINS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
PINS has a Return On Invested Capital of 4.35%. This is in the better half of the industry: PINS outperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 36.03% | ||
| ROE | 41.19% | ||
| ROIC | 4.35% |
ROA(3y)10.46%
ROA(5y)7.08%
ROE(3y)11.71%
ROE(5y)7.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 48.99%, PINS belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
PINS's Profit Margin has improved in the last couple of years.
PINS's Operating Margin of 6.91% is fine compared to the rest of the industry. PINS outperforms 64.29% of its industry peers.
In the last couple of years the Operating Margin of PINS has declined.
Looking at the Gross Margin, with a value of 79.99%, PINS is in the better half of the industry, outperforming 77.14% of the companies in the same industry.
In the last couple of years the Gross Margin of PINS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.91% | ||
| PM (TTM) | 48.99% | ||
| GM | 79.99% |
OM growth 3Y-26.95%
OM growth 5YN/A
PM growth 3Y60.84%
PM growth 5YN/A
GM growth 3Y-0.02%
GM growth 5Y2.97%
2. Health
2.1 Basic Checks
PINS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PINS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PINS has more shares outstanding
PINS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 16.61 indicates that PINS is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 16.61, PINS belongs to the best of the industry, outperforming 95.71% of the companies in the same industry.
There is no outstanding debt for PINS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.61 |
ROIC/WACC0.43
WACC10.05%
2.3 Liquidity
PINS has a Current Ratio of 8.36. This indicates that PINS is financially healthy and has no problem in meeting its short term obligations.
PINS has a better Current ratio (8.36) than 94.29% of its industry peers.
PINS has a Quick Ratio of 8.36. This indicates that PINS is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 8.36, PINS belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.36 | ||
| Quick Ratio | 8.36 |
3. Growth
3.1 Past
PINS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.63%.
Measured over the past years, PINS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.67% on average per year.
Looking at the last year, PINS shows a quite strong growth in Revenue. The Revenue has grown by 16.79% in the last year.
Measured over the past years, PINS shows a very strong growth in Revenue. The Revenue has been growing by 26.12% on average per year.
EPS 1Y (TTM)5.63%
EPS 3Y8.67%
EPS 5YN/A
EPS Q2Q%-5%
Revenue 1Y (TTM)16.79%
Revenue growth 3Y12.25%
Revenue growth 5Y26.12%
Sales Q2Q%16.79%
3.2 Future
Based on estimates for the next years, PINS will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.41% on average per year.
PINS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.45% yearly.
EPS Next Y23.31%
EPS Next 2Y21.71%
EPS Next 3Y21.11%
EPS Next 5Y15.41%
Revenue Next Year16.79%
Revenue Next 2Y15.87%
Revenue Next 3Y15.38%
Revenue Next 5Y13.45%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.99 indicates a correct valuation of PINS.
64.29% of the companies in the same industry are more expensive than PINS, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.47. PINS is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 11.87, the valuation of PINS can be described as very reasonable.
Based on the Price/Forward Earnings ratio, PINS is valued a bit cheaper than 67.14% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.42, PINS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.99 | ||
| Fwd PE | 11.87 |
4.2 Price Multiples
PINS's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, PINS is valued a bit cheaper than the industry average as 68.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.45 | ||
| EV/EBITDA | 42.95 |
4.3 Compensation for Growth
PINS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PINS has a very decent profitability rating, which may justify a higher PE ratio.
PINS's earnings are expected to grow with 21.11% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.73
PEG (5Y)N/A
EPS Next 2Y21.71%
EPS Next 3Y21.11%
5. Dividend
5.1 Amount
PINS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.49
-0.28 (-1.09%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners93.23%
Inst Owner Change8.01%
Ins Owners0.41%
Ins Owner Change-4.96%
Market Cap17.33B
Revenue(TTM)4.06B
Net Income(TTM)1.99B
Analysts81.67
Price Target44.22 (73.48%)
Short Float %3.6%
Short Ratio1.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.48%
Min EPS beat(2)-10.7%
Max EPS beat(2)-8.27%
EPS beat(4)0
Avg EPS beat(4)-11.4%
Min EPS beat(4)-14.91%
Max EPS beat(4)-8.27%
EPS beat(8)4
Avg EPS beat(8)2.67%
EPS beat(12)8
Avg EPS beat(12)45.96%
EPS beat(16)11
Avg EPS beat(16)47.92%
Revenue beat(2)1
Avg Revenue beat(2)-0.77%
Min Revenue beat(2)-1.94%
Max Revenue beat(2)0.39%
Revenue beat(4)1
Avg Revenue beat(4)-0.78%
Min Revenue beat(4)-1.94%
Max Revenue beat(4)0.39%
Revenue beat(8)2
Avg Revenue beat(8)-0.67%
Revenue beat(12)3
Avg Revenue beat(12)-0.69%
Revenue beat(16)5
Avg Revenue beat(16)-0.68%
PT rev (1m)0.71%
PT rev (3m)4.26%
EPS NQ rev (1m)-4.59%
EPS NQ rev (3m)-5.91%
EPS NY rev (1m)-1.64%
EPS NY rev (3m)0.05%
Revenue NQ rev (1m)-0.29%
Revenue NQ rev (3m)0.37%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)1.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.99 | ||
| Fwd PE | 11.87 | ||
| P/S | 4.27 | ||
| P/FCF | 15.45 | ||
| P/OCF | 15.11 | ||
| P/B | 3.59 | ||
| P/tB | 3.67 | ||
| EV/EBITDA | 42.95 |
EPS(TTM)1.5
EY5.88%
EPS(NY)2.15
Fwd EY8.43%
FCF(TTM)1.65
FCFY6.47%
OCF(TTM)1.69
OCFY6.62%
SpS5.97
BVpS7.1
TBVpS6.94
PEG (NY)0.73
PEG (5Y)N/A
Graham Number15.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 36.03% | ||
| ROE | 41.19% | ||
| ROCE | 5.51% | ||
| ROIC | 4.35% | ||
| ROICexc | 9.16% | ||
| ROICexgc | 9.58% | ||
| OM | 6.91% | ||
| PM (TTM) | 48.99% | ||
| GM | 79.99% | ||
| FCFM | 27.65% |
ROA(3y)10.46%
ROA(5y)7.08%
ROE(3y)11.71%
ROE(5y)7.96%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-44.09%
ROICexgc growth 5YN/A
ROICexc growth 3Y-43.46%
ROICexc growth 5YN/A
OM growth 3Y-26.95%
OM growth 5YN/A
PM growth 3Y60.84%
PM growth 5YN/A
GM growth 3Y-0.02%
GM growth 5Y2.97%
F-Score7
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 100.46% | ||
| Cap/Sales | 0.62% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 375.46% | ||
| Profit Quality | 56.45% | ||
| Current Ratio | 8.36 | ||
| Quick Ratio | 8.36 | ||
| Altman-Z | 16.61 |
F-Score7
WACC10.05%
ROIC/WACC0.43
Cap/Depr(3y)71.85%
Cap/Depr(5y)59.06%
Cap/Sales(3y)0.66%
Cap/Sales(5y)0.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.63%
EPS 3Y8.67%
EPS 5YN/A
EPS Q2Q%-5%
EPS Next Y23.31%
EPS Next 2Y21.71%
EPS Next 3Y21.11%
EPS Next 5Y15.41%
Revenue 1Y (TTM)16.79%
Revenue growth 3Y12.25%
Revenue growth 5Y26.12%
Sales Q2Q%16.79%
Revenue Next Year16.79%
Revenue Next 2Y15.87%
Revenue Next 3Y15.38%
Revenue Next 5Y13.45%
EBIT growth 1Y144.85%
EBIT growth 3Y-18.01%
EBIT growth 5YN/A
EBIT Next Year652.84%
EBIT Next 3Y122.52%
EBIT Next 5Y69.94%
FCF growth 1Y174.87%
FCF growth 3Y8.11%
FCF growth 5YN/A
OCF growth 1Y177.74%
OCF growth 3Y8.61%
OCF growth 5Y324.47%
PINTEREST INC- CLASS A / PINS FAQ
What is the fundamental rating for PINS stock?
ChartMill assigns a fundamental rating of 7 / 10 to PINS.
Can you provide the valuation status for PINTEREST INC- CLASS A?
ChartMill assigns a valuation rating of 7 / 10 to PINTEREST INC- CLASS A (PINS). This can be considered as Undervalued.
Can you provide the profitability details for PINTEREST INC- CLASS A?
PINTEREST INC- CLASS A (PINS) has a profitability rating of 7 / 10.
What is the expected EPS growth for PINTEREST INC- CLASS A (PINS) stock?
The Earnings per Share (EPS) of PINTEREST INC- CLASS A (PINS) is expected to grow by 23.31% in the next year.