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

By Mill Chart

Last update: Sep 5, 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.


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Growth Analysis for NYSE:PINS

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:PINS has earned a 8 for growth:

  • The Earnings Per Share has grown by an impressive 88.41% over the past year.
  • PINS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 41.29% yearly.
  • PINS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.21%.
  • The Revenue has been growing by 32.22% on average over the past years. This is a very strong growth!
  • PINS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.43% yearly.
  • The Revenue is expected to grow by 15.56% on average over the next years. This is quite good.

Health Assessment of NYSE:PINS

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:PINS has received a 9 out of 10:

  • PINS has an Altman-Z score of 24.18. This indicates that PINS is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 24.18, PINS belongs to the top of the industry, outperforming 98.55% 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.
  • A Current Ratio of 9.50 indicates that PINS has no problem at all paying its short term obligations.
  • PINS's Current ratio of 9.50 is amongst the best of the industry. PINS outperforms 95.65% of its industry peers.
  • PINS has a Quick Ratio of 9.50. This indicates that PINS is financially healthy and has no problem in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 9.50, PINS belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.

A Closer Look at Profitability for NYSE:PINS

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NYSE:PINS scores a 5 out of 10:

  • Looking at the Return On Assets, with a value of 5.12%, PINS belongs to the top of the industry, outperforming 81.16% of the companies in the same industry.
  • PINS has a better Return On Equity (6.00%) than 76.81% of its industry peers.
  • PINS has a better Return On Invested Capital (2.70%) than 66.67% of its industry peers.
  • PINS has a better Profit Margin (5.75%) than 75.36% of its industry peers.
  • PINS has a Operating Margin of 3.46%. This is in the better half of the industry: PINS outperforms 65.22% of its industry peers.
  • PINS has a Gross Margin of 78.58%. This is in the better half of the industry: PINS outperforms 68.12% of its industry peers.
  • PINS's Gross Margin has improved in the last couple of years.

How do we evaluate the setup for NYSE:PINS?

ChartMill takes into account not only the Technical Rating but also assigns a Setup Rating to each stock. This rating, on a scale of 0 to 10, reflects the degree of consolidation observed based on short-term technical indicators. Currently, NYSE:PINS exhibits a 7 setup rating, indicating its consolidation status in recent days and weeks.

Although the technical rating is bad, PINS does present a nice setup opportunity. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 32.34. Right above this resistance zone may be a good entry point.

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.

For an up to date full technical analysis you can check the technical report of PINS

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

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