A Year Since IPO and 40% Cheaper, Pinterest Stock Deserves Some Love
I first placed visual search, idea sharing, and shopping stock Pinterest (NYSE: PINS) on my watch list last autumn, after it declined some 30% from its all-time high shortly after the company made its public debut. I'm glad I waited. The stock has continued to tumble and is now 40% below those peak levels.
On one hand, there are great reasons for this. As is the case with most social media platforms, advertising is the model for generating revenue. And now that coronavirus is wreaking havoc on lives and the economy, advertising budgets are likely to shrink. That doesn't bode well for Pinterest as it was already operating in the red.
On the other hand, though, this is a fast-growing corner of social media that was always a long-term play. With significant pain now priced in, it's time to revisit Pinterest stock.
Source Fool.com
