This Overlooked Growth Stock Is Absurdly Cheap Right Now
Pinterest is one of the most attractively valued growth stocks in the market today.
This Overlooked Growth Stock Is Absurdly Cheap Right Now
Overview
One of the most overlooked growth stocks that is trading at an absurdly cheap valuation right now is Pinterest (NYSE: PINS). The stock is down around 40% over the past year, despite continued strong revenue growth, a cheap valuation, and the backing of renowned activist investor Elliott Investment Management.
The stock's sell-off over the past year has left it trading at a forward price-to-earnings (P/E) ratio of just 11 times current-year estimates and below 9.5 times next year's consensus. This comes despite the company seeing 18% year-over-year (15% in constant currency) revenue growth in the first quarter, to over $1 billion.
Details
Over the past few years, the company has done a great job of repositioning its platform from a simple online vision board to a shoppable discovery destination. It has leaned into artificial intelligence (AI) features and become a leader in multimodal search capabilities, especially with visual searches. AI is also helping it improve the personalization and curation it delivers to its users.
Source
Originally published at www.fool.com.
