Social commerce platform Pinterest (NYSE: PINS) will be announcing earnings results today after market close. Here's what to expect.
Last quarter Pinterest reported revenues of $684.5 million, up 8.15% year on year, beating analyst revenue expectations by 2.68%. It was a mixed quarter for the company, with a decent beat of analyst estimates but slow revenue growth. The company reported 445 million monthly active users, up 0.22% year on year.
Is Pinterest buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Pinterest's revenue to grow 4.73% year on year to $886.7 million, slowing down from the 19.9% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.28 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 3.23%.
Looking at Pinterest's peers in the consumer internet segment, some of them have already reported Q4 earnings results, giving us a hint what we can expect. Snap delivered top-line growth of 0.14% year on year, missing analyst estimates by 0.61% and Meta reported revenue decline of 4.47% year on year, exceeding estimates by 1.49%. Snap traded down 14.5% on the results, Meta was up 13%. Read our full analysis of Snap's results here and Meta's results here.
There has been positive sentiment among investors in the consumer internet segment, with the stocks up on average 34.4% over the last month. Pinterest is up 10.4% during the same time, and is heading into the earnings with with analyst price target of $28.52, compared to share price of $27.47.
One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.
The author has no position in any of the stocks mentioned.