Pinterest Beats Q2 Revenue Expectations; User Monetization Continues To Improve; Stock Attractive

While Pinterest posted mixed second-quarter results, we were pleased with user monetization, indicating continuing demand improvement from advertisers. Pinterest missed FactSet bottom-line expectations as investments in commerce and content enhancements continued. At the same time, we welcome that Bill Ready, the firm’s new CEO, will not run Pinterest as a growth-at-any-cost firm as he mentioned on the earnings call. Ready’s position at the helm is also supported by the firm’s new activist investor, Elliott Management.