#PINTEREST NYSE PINS PLUS#

And in particular, as Facebook/Instagram ( META) hone in on their Marketplace functionalities, Pinterest’s niche as a shopping-oriented site may be threatened. Needless to say, there are many social media applications competing for users’ time.

#PINTEREST NYSE PINS PLUS#

Unfortunately, user growth domestically has been stagnant for several quarters, which is a reflection of Pinterest’s high penetration within its target audience plus the rampant competition among social media apps in the U.S. Pinterest generates the majority of its revenue (just like any other social media company) in the U.S. Pinterest’s core user base is not seeing growth.Here, in my view, are the biggest red flags to watch out for with Pinterest:

The question for investors now is: does Pinterest have what it takes to stage a rebound? In my view, the answer is no, and I remain ardently bearish on this name. And so far this year, all we’ve seen is a crumbling of user trends alongside a persistent rising of costs. The stock is down by nearly three-quarters versus 2021 peaks above $80.

Look no further than Pinterest ( NYSE: PINS) to ascertain the damage. The market is no longer willing to gobble up pie-in-the-sky growth stories and is particularly retreating on the social media stocks that were among the hottest trades of 2021. Amid skyrocketing interest rates and continued market volatility, it’s no big secret that investors’ risk appetite has sharply waned.

Pinterest nyse pins