Yahoo Finance Live anchors discuss the move in Pinterest stock after Goldman Sachs upgraded the stock.
- Also keeping close tabs on shares of Pinterest here today, ticker symbol P-I-N-S, up 3.6% today. This morning after Goldman Sachs analyst Eric Sheridan gave the company an upgrade to buy from neutral, raise the price target to $31 per share, saying that he left a recent meeting with senior Pinterest management with increased confidence here.
There were a few things that were called out as a part of this. One of them, according to the analyst, the company's leaders are focused on monetizing its platform working to raise the amount of inventory that users can purchase and making that more shoppable, which is what we continue to talk about. A good social media company, even if Pinterest doesn't want to be called a social media company, let's be real here.
It's going to come back to the e-commerce, the shopability of a platform that is so directly annexed to this idea of its users coming there and finding inspiration or pinspiration, if you will. As long as users aren't flocking to another platform or getting taught by Tik-Tok how to do something and then having a purchase decision that gets triggered from there, then Pinterest perhaps can maintain some of that fanfare among its new consumers and that triggering a better average revenue per user on the site too.
I like this note. And one reason why I like it is because I was at that Goldman Sachs conference. I saw Eric working the room. And I saw the Pinterest team there. So this is a very thorough, I think, well thought out report by Eric Sheridan who came on with us at the event, talked a lot about the headwinds that tech is facing right now.
But there's a lot of expectations now built into Pinterest. And I think a lot of that rests on new CEO Bill Ready delivering against some of these expectations. And I would just caution investors that it might take a couple of quarters to see his vision play out in the top and bottom lines of Pinterest.
- The shares are actually down less this year than I would have expected. All right, let's--