Pinterest's Price Momentum (NYSE: PINS)Shares of visual search and idea platform Pinterest (PINS -1.17%) skyrocketed on hours ago, following the company's third-quarter earnings report. While its stronger-than-expected third-quarter results and robust fourth-quarter revenue guidance were obviously key to the tech stock's big move higher, there was likely more behind the move than the details provided in the earnings release. For instance, investors may want to listen to Pinterest's earnings call to see if there was even more bullish information shared by management during the call.
The call was packed with useful information for investors -- and some good reasons to be bullish. Here are the two must-see takeaways from the call.
1. The advertising market is stabilizing
During times of uncertainty, investors look for management to provide clues that the macroeconomic environment isn't deteriorating. From Pinterest's view, it isn't. Indeed, advertiser demand seems to be stabilizing.
One way this is showing up is the trend the company is seeing in its average price of ads. Though ad prices on its platform were down 12% year over year, this was a huge improvement from 20% year-over-year declines in pricing last quarter. Management said this was driven by a combination of "industrywide demand stabilization" and the company's artificial intelligence-driven efficiencies gained across its ad stack during the quarter.
2. AI is becoming integral to Pinterest's business
One of the most repeated keywords during the call was artificial intelligence (AI).
"We continue to use AI to improve the relevance and personalization of our content recommendations and satisfy user intent on our platform through improved shopping experiences," said Ready.
In one example of how Pinterest is using AI, it's pairing it with large language models "to more precisely link product metadata to user queries to show ads that are visually and contextually relevant," Ready said. Doing this "drove meaningful improvements across cost per click and cost per action and better ads relevance."
With Ready calling AI a "great source of strength" for the company, investors should expect Pinterest to continue investing in it. Fortunately, it looks like it's already additive to the company's business performance; so shareholders are in the fortunate position of being able to see results from these investments quickly.
Pinterest's momentum in AI, a stabilization in advertiser demand, and its improving differentiation as a place for a unique and seamless shopping experience position the company well for a potentially solid fourth quarter and a strong 2024. With momentum like this, Pinterest's top-line growth could continue accelerating.
No wonder shares surged higher this week.
Pinslong
Is Pinterest awaiting a higher correction?Pinterest - 30d expiry - We look to Sell at 28.88 (stop at 30.28)
In our opinion this stock is overvalued.
We are trading at overbought extremes.
Bearish divergence can be seen on the daily chart (the chart makes a higher high while the oscillator makes a lower high), often a signal of exhausted bullish momentum, or at least a correction lower.
A higher correction is expected.
29.27 has been pivotal.
29 continues to hold back the bears.
Preferred trade is to sell into rallies.
Our profit targets will be 25.58 and 25.08
Resistance: 27.70 / 28.35 / 29.27
Support: 26.97 / 26.00 / 25.50
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Pinterest Breaking Through Resistance? Pinterest - Short Term - We look to Buy a break of 26.97 (stop at 25.27)
Trading within the Channel formation. 26.50 continues to hold back the bulls. A break of bespoke resistance at 26.50, and the move higher is already underway. Although the anticipated move higher is corrective, it does offer ample risk/reward today.
Our profit targets will be 31.53 and 34.00
Resistance: 26.50 / 32.00 / 40.00
Support: 25.00 / 22.00 / 15.00
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$PINS is SAFE BUYHaving shed off 60% from its 2021 high, price have reached its multi- year resistance which has now flipped to support. The support zone held has buyers rushed in to defend the zone closing the day with 7% rise and printing a bullish engulfing daily candle. which now serves a confirmation that the buyers are in charge of the market.
hence we can now place our buys and long the market.
Buy range -$35-$37 .
first take profit range is at $49-$52
Goodluck!!
PINS Good Opportunity Ahead of Earnings? [LONG]Pins in a great spot after the PYPL news was reverted, over reaction ahead of earning in my personal opinion. Still bullish LONG term.
More risk adverse investors will likely want to wait until after Q3 earnings. But my outlook is long-term so i'm happy to add to my DCA position here.
Short-Mid term:
Bullish divergence on the daily and weekly (MACD and Stoch)
Horizontal support with the 0.382 fib level
Oversold on Daily
Oversold on Weekly with money flow in the red (great upside from here)
PINTEREST Daily TimeframeSNIPER STRATEGY
This magical strategy works like a clock on almost any charts
Although I have to say it can’t predict pullbacks, so I do not suggest this strategy for leverage trading.
It will not give you the whole wave like any other strategy out there but it will give you huge part of the wave.
The best timeframe for this strategy is Daily, Weekly and Monthly however it can work any timeframe above three minutes.
Start believing in this strategy because it will reward believers with huge profit.
There is a lot more about this strategy.
It can predict and also it can give you almost exact buy or sell time on the spot.
I am developing it even more so stay tuned and start to follow me for more signals and forecasts.
PINS Bullish Engulfing PatternPINS' chart has only seen a Bullish Engulfing (BE) pattern on 4 instances since it has gone public.
1) The first was at the beginning of January 2020 - the stock rallied from $18.88 to $27.10 by Feb 7th, 2020. (43.5% increase)
2) The second was at the end of March 2020 - the stock rallied from $14.92 to $21.59 by May 5th, 2020. (44.7% increase)
3) The third was on March 17th, 2021 - the stock rallied from $74.07 to $88.75 by April 14th, 2021. (19.8% increase)
4) The 4th one just happened on May 11th, 2021.
I think this is a great opportunity to buy PINS as it has shown quick returns (around a month's timeframe) in the past after a BE pattern has been demonstrated. RSI values are also sitting very low (which means the stock is oversold). The Stochastic RSI is also indicating oversold levels. All of these indicators tell us that this is a great time to buy PINS. Please ensure that you set your target sell prices and make sure to do your own due diligence first.