While Pinterest trades at a price-to-sales ratio of 12x, we believe that its current price is justifiable, as the company's revenues in Q1 alone increased by 35% Y/Y.
By pivoting to the eCommerce advertising business, the company will be able to leverage its unique audience and become profitable in the foreseeable future.
We’re long Pinterest.
After hitting its bottom in late March, Pinterest (PINS) stock has been steadily appreciating since then, and the current price is now above its last year’s IPO price. While the company’s loss widened