Kresimir Grgurev
π“˜π“Ό $PINS (Pinterest Inc) 𝓼𝓽𝓲𝓡𝓡 π“ͺ 𝓫𝓾𝔂? I will try to explain why I believe that soon we will get an opening for $PINS and I will use that opening to increase my exposure and build up position.πŸ›’πŸ›’ 𝙑𝙖𝙑π™ͺπ™–π™©π™žπ™€π™£ 𝙖𝙣𝙙 π™–π™™π™«π™–π™£π™©π™–π™œπ™šπ™¨ π™€π™«π™šπ™§ π™˜π™€π™’π™₯π™šπ™©π™žπ™©π™€π™§π™¨πŸ’°πŸ’°πŸ’ͺπŸ’ͺ Main reason why is because $PINS over the long run has a clear competitive advantage when compared to $TWTR (Twitter) and $FB (Facebook) . Difference is that $PINS consistently grows user base and ad sales and can easily review any metric. Same cannot be said for the other two, both lately controversial and expected to loose a lot of profits in the following months.πŸ™ŠπŸ™Š Furthermore, for now it's valuation is not good not terrible(45bil.) and that adds on why $PINS is undervalued. $SNAP (Snapchat Inc) has market cap of 80bil, $FB has market cap of 735bil and $TWTR has market cap of 38bil. πŸ’°πŸ’° 𝙄𝙒π™₯π™§π™€π™«π™žπ™£π™œ π™©π™π™š π™’π™€π™£π™šπ™©π™žπ™―π™–π™©π™žπ™€π™£ 𝙀𝙛 π™žπ™£π™©π™šπ™§π™£π™–π™©π™žπ™€π™£π™–π™‘ π™ͺπ™¨π™šπ™§π™¨πŸ˜πŸ˜ Like other social media websites such as Facebook, Pinterest generates revenue by selling advertising on its website. As of the third quarter of 2020, Pinterest counted 442 million global monthly active users, who visit the platform at least once a month. This is a huge audience for advertisers to market to!πŸ‘¨β€πŸ‘¨β€πŸ‘§β€πŸ‘¦πŸ‘¨β€πŸ‘¨β€πŸ‘¦β€πŸ‘¦πŸ‘¨β€πŸ‘¨β€πŸ‘§β€πŸ‘§ Interestingly, the vast majority of Pinterest's users are located outside of the United States. In fact, the company has 343 million MAUs outside the U.S., and that cohort of users is growing faster than domestic users. However, the company has had much more success in generating revenue from its U.S. users. U.S. users generate 18 times more revenue per user than foreign users.🌟🌟 The gap in monetization between U.S. users and foreign users presents an interesting opportunity. If Pinterest can improve the monetization of international users, it can drive significant revenue growth. The company is aware of this immense opportunity and noted that it is building out its sales team in Europe to improve its advertising sales in the region. This effort will be interesting to monitor in the coming year.πŸš€πŸš€ 𝘼π™ͺπ™©π™€π™’π™–π™©π™žπ™˜ π™–π™™π™«π™šπ™§π™©π™žπ™¨π™žπ™£π™œ π™—π™žπ™™π™™π™žπ™£π™œπŸ™‹β€β™‚οΈπŸ™‹β€β™€οΈ Diversifying the advertiser base is another focal point for Pinterest. One way the company has highlighted accomplishing this is by adding a self-service advertising tool. Until recently, Pinterest has primarily used its salesforce to bring advertisers on its platform, but a self-service tool allows advertisers to buy advertising on their own.πŸ€¦β€β™‚οΈπŸ€¦β€β™‚οΈ To make its self-service advertising product more accessible, Pinterest has invested in an automatic advertising bidding tool. What this means is that advertisers can set up a campaign on Pinterest with certain parameters -- for example, how much they are willing to pay for ads and what types of customers they would like to reach. The automatic bidding tool will then buy ads on the website when the campaign parameters are met. This is beneficial for all parties because it helps Pinterest sell more ads and it provides better targeting for advertisers.🎯🎯 Since the launch of automatic bidding in July of 2020, the company has noted that advertisers have increased their spending budget. This is a good sign that Pinterest is able to provide better value for advertisers by improving its offering. Of course, the company is still working on improving its advertising tools, and investors should expect more updates on this front in the coming quarters.πŸ’°πŸ’° On top of that, video content expansion and advertising products are a great new tool to attract customers and generate revenue.😊😊 In 2020, video content, in particular, has been a major focus. The company noted in its most recent earnings release that video uploads grew sevenfold compared to the same period last year. This was accomplished by providing better video publishing tools that enable content creators to publish video posts more easily. Video content is interesting for a couple of reasons. First, video tends to be more engaging than text and photos, which can attract more users to Pinterest and keep existing users on the website longer. Second, video advertising rates tend to be higher than text and picture ads, which could help drive additional revenue growth for Pinterest.πŸ’°πŸ’° π˜Ύπ™€π™£π™˜π™‘π™ͺπ™¨π™žπ™€π™£! $PINS could soon become profitable, if they succeed to bill the world market same way they build domestic markets. I would give a buy rating with a price target of 100-120 by the end on 2021. If the price goes below 65$, It's a clean buy if circumstances don't change.πŸ›’πŸ›’ π™‹π™€π™©π™šπ™£π™©π™žπ™–π™‘ π™˜π™€π™₯π™žπ™šπ™§π™¨ If anyone is interested into copying my trades, please read my bio. I provide monthly update and stock analysis. Please be patient if you decide to copy my trades. I can guarantee with my stats for 2020. Let's get rich together! πŸ’°πŸ€œπŸ€›πŸ’° Source:www.fool.com/investing/2021/01/08/3-ways-pinterest-plans-to-drive-revenue-growth-in/
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