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BenzingaEditorial

Pinterest Boards The Video Train

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Pinterest (NYSE: PINS) is expanding its footprint in the creator community with Tuesday’s launch of a video-first feature called “Idea Pins”. The image platform is challenging other social media platforms by allowing creators to record and edit creative videos with up to 20 pages of content, voiceover recording, background music, transitions and other interactive elements in its “positive”, “inspiring” and creative community.

Pinterest shares dropped after the company managed to beat estimates on both the top and bottom lines for its latest quarter on April 27th as investors focused on a slowdown in user growth ahead of the re-openings. Although the resurgence of Covid-19 infections due to variants fueled Pinterest’s growth, the vaccination rates are slowing the virus spread, so it is to be expected that users will curtail their time spent on the image sharing platform in the near future.

The story behind Idea Pins

Obviously, video is the key element of this concept that aim to target the consumer demand for short video content but in this case, it is of creative nature. Idea Pins evolved from enhancing Story Pins that were launched in September last year, after a year of various development stages. Pinterest explained that Story Pins were different from the Stories you’d find on Snap Inc’s (NYSE: SNAP) Snapchat and Instagram Reels or YouTube Shorts because they focused on what people were doing, the action itself like undertaking a new project or an idea, instead of providing a glimpse into a creator’s personal life. Another notable differentiator was that Story Pins didn’t disappear after a certain amount of time, but rather could be surfaced through search and other discovery mechanisms. Idea Pin is merely a rebranded Story Pin, which now offers a broader suite of editing tools.

Idea Pins still include many features common to Stories, with over 100 hand-drawn stickers focused on top categories and expected behaviors and the option to tag other creators, along with plans for the royalty-free music database Epidemic Sound to offer free tracks as part of an ongoing collaboration. But, an additional perk is that Idea Pins can include “detail pages” where viewers can find the ingredient list or instructions as its aim is to inspire people to try a recipe or a new project, which is handy.

The Idea Pin format has been released on May 18th to creators with a business account in the U.S., U.K., Australia, Canada, France, Germany, Austria and Switzerland.

The first quarter figures – a defining milestone

During the first quarter, revenue grew at an impressive YoY rate of 78.3% as it amounted to $485 million. Adjusted EBITDA expanded to $84 million, smashing analyst estimates of $57.4 million. Pinterest’s net loss shrank 85% to $21.7 million, from a loss of $141.2 million a year ago. But monthly active users of 478 million came below theconsensus estimate of 480.5 million.

Outlook

With the 3-cent GAAP EPS loss in the first quarter, Q2 losses will likely come in higher Q2 global MAUs are expected to grow only in the mid-teens with U.S. MAUs expected to remain flat on a year-on-year comparison. Meanwhile, sequential operating expenses will accelerate.

The company is investing in comprehensive marketing. It has creators adding to native content that will drive long-term user engagement and result in higher revenue per engaged user. The concept that despite MAU being expected to drop in the post-Covid world, the platform is working towards expanding margins from its core customer base.

CFO Todd Morgenfeld emphasized investments to align the platform with advertisers and the improved solution will result in an average revenue per user growth (ARPU) opportunity while meeting the needs of small and medium businesses, hopefully allowing Pinterest to attract advertisers even from Twitter (NASDAQ:TWTR) and Facebook (NASDAQ:FB).

Fortunately, the site’s growth is seasonal and it’s coming off a weak period. Even as people return to the physical workplace and go outside to restaurants and movies, they will still visit Pinterest, they will just spend less time on the platform. But the point is that they will shop more meaningfully by spending the same amount in less time on the site.

The next step is to make Idea Pins more shopable

With many tests underway, Pinterest has been increasing its investment in the creator community in recent months. Last month, it launched its first-ever Creator Fund and this month, it tested live-streamed events with 21 creators, along withtesting numerous brand collaborations.

A highly competitive environment

Its competitors are way ahead when it comes to spending as the new Creator Fund of $500 thousand falls short of the $1 million per day Snap paid creators, the $100 million fund Alphabet (NASDAQ: GOOG) committed to YouTube Shorts creators, TikTok’s $200 million fund and even the deals Instagram has been making to lure Reels creators. These platforms, along with a host of startups are investing big to help creators directly monetize their efforts through features like tips, donations, subscriptions and more.

But Pinterest has two things in its favor. Its reach as the company claims it gathers 475 million users and especially the fact it is a rare environment where ads are ‘welcome’ instead of annoying to users, and that is an opportunity that advertisers would be crazy to pass on.

Inspiration and creativity never go out of style

Its content policy is simple: inspiration comes from people who are fueled by their passions and want to bring positivity and creativity into the world, as explained by Pinterest co-founder and Chief Design and Creative Officer Evan Sharp. On this platform, anyone can inspire : from creators to hobbyists to publishers. This unique image platform is a place where anyone can publish great ideas and find inspiration. What Pinterest does is spark creativity in its users, inspiring them to create the life they love -what’s not to love about that?

This article is not a press release and is contributed by a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure. IAM Newswire does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you’re interested in becoming an IAM journalist contact: contributors@iamnewswire.com

BenzingaEditorial

This Week’s Recap

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The market and the economy continue to open, which is probably a result of bottled-up demand for many products and services affected by the pandemic. Maybe the inflation or rising bond yields will trigger the selloff on the market at some moment, but the current Fed’s transitory inflation message has been accepted by many investors. Also, the best way to deal with inflation is to stay with your investments and keep your faith in the market. So, despite the jump of May’s consumer-price index, that did not affect the investors who adopted a different mindset, so all three major averages finished in a positive zone.

The Dow Jones Industrial Average managed to recover from one of the steeper declines, thanks to gains from companies like IBM (NYSE: IBM), Microsoft (NASDAQ: MSFT), and Salesforce (NYSE: CRM). The Nasdaq Composite Index has also risen 49.09 points to 14,069.42. The tech-heavy index continued with the positive run, led by DocuSign (NASDAQ: DOCU), Zoom Video (NASDAQ: ZM), and CrowdStrike (NASDAQ: CRWD).

Tuesday brought us an earnings report from Oracle

Although it was a slim week for the earnings reports, Oracle (NYSE: ORCL) announced its last quarter results, as well as plans and guidance. The results are better than expected, as the achieved revenues were $11.23 billion (compared to the expected $11.04 billion) and the achieved adjusted earnings of $1.54 per share (compared to the expected $1.31). On the other hand, the company revealed its quarterly revenue guidance, which is lower than expected due to the plans to increase investments to support its cloud strategy and keep migrating existing on-premises customers to the cloud. This all led to a share fall of 5%, as many investors are skeptical if Oracle can successfully compete with major “cloud” players like Amazon (NASDAQ: AMZN), Salesforce, or Workday (NASDAQ: WDAY).

Adobe reported impressive results on Thursday

The Wall Street analysts recognized the work-from-home trend and this second digitization era as the main reasons for Adobe’s (NASDAQ: ADBE) sustained growth and therefore a monster quarter. And they were right. The company reported revenues of $3.84 billion, which is an increase of 23% compared year to year. That is also above the Wall Street estimate of $3.73 billion. The digital media business revenues, consisting of Creative Cloud and Document Cloud, grew by 25% compared to the previous year. The adjusted earnings per share were $3.03, which is higher than the estimated $2.81. For the following quarter, the company expects revenues of $3.88 billion and adjusted earnings per share of $3.00.

Conclusion

All these factors taken together, proven by positive index movements and earnings results better than anticipated, support the fact that the economic recovery is firmly underway, and those are very encouraging news.

This article is not a press release and is contributed by a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure. IAM Newswire does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you’re interested in becoming an IAM journalist contact: contributors@iamnewswire.com

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BenzingaEditorial

Several new earnings reports and more management presentations this week

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We might be witnessing the lower volume of quarterly earnings reports this week, but that only means we passed last quarter’s report peak and we are getting ready for the June-quarter earnings season, which will hit us not long after the 4th of July. However, we do not lack many management presentations, which are typical after announcing earnings reports. This week brings us news for future result expectations from more than 30 companies, so let’s try and not miss any important clues. Besides earnings reports, this week is bringing us a total of 9 new IPOs like Marqeta, Inc. (NASDAQ: MQ), TaskUs, Inc. (NASDAQ: TASK), LifeStance Health Group, Inc. (NASDAQ: LFST), monday.com Ltd. (NASDAQ: MNDY), Zeta Global Holdings Corp.(NYSE: ZETA) and Jaws Hurricane Acquisition Corp (NASDAQ: HCNEU).

Monday

Yesterday we saw the first quarter report of fiscal 2022 for Marvell Technology (NASDAQ: MRVL), a Delaware-based company that develops and produces semiconductors and related technology. Marvel Technologies reported new revenues of $832 million, which is an increase of 20% year-to-year. GAAP gross profit margin was 50.2% and non-GAAP gross margin was 64.3%, while GAAP diluted loss per share was $0.13 and non-GAAP diluted income per share was $0.29.

Also, Vail Resorts, Inc. (NYSE: MTN) which owns and operates several premier mountain resorts in Colorado and California, reported fiscal 2021 third-quarter results yesterday. The report showed a net income of $274.6 million which is an increase of 80% compared to the third fiscal quarter of 2020. The reported EBITDA was $462.2 million, which is a significant increase from last year same quarter’s $304.4 million.

Tuesday

Besides earnings reports from Navistar International (NYSE: NAV) and Calavo Growers (NASDAQ: CVGW) on Tuesday, we are also expecting reports from Thor Industries (NYSE: THO), Casey’s General Stores (NASDAQ: CASY), and ABM Industries (NYSE: ABM).

Wednesday

Wednesday is reserved for earnings reports from Brown Forman (NYSE: BF-B), United Natural Foods (NYSE: UNFI), and Restoration Hardware (NYSE: RH). RH, the California-based furnishing company is expected to report earnings of $3.99 per share, which is growth of over 214% compared to the same period last year. Also, GameStop Corp (NYSE: GME), one of the world’s largest video game retailer’s earnings report is expected on Wednesday. The expected loss for the first quarter is $0.68 per share, which is an improvement from the same period last year (-%1.61 per share). In order to accelerate its transformation, the company decided to restructure its board, so it can keep up with industry growth and company expansion in the digital arena.

Thursday

On Thursday, we expect to see reports from National Beverage (NASDAQ: FIZZ), Chewy (NYSE: CHWY), and Dave & Buster’s (NASDAQ: PLAY). Chewy, the Florida-based pet store retailer, is expected to report a quarterly revenue growth of over 125%, compared year over year.

Friday

We are not expecting any major earnings reports on Friday.

This article is not a press release and is contributed by a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure. IAM Newswire does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you’re interested in becoming an IAM journalist contact: contributors@iamnewswire.com

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BenzingaEditorial

The week may be starting slowly but do not let that mislead you

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The celebration of Memorial Day in the U.S. caused the slower start, but the rest of the week will bring us plenty of news, updates, and earnings reports from companies like Zoom Video Communications (NASDAQ: ZM), Hewlett-Packard Enterprise (NYSE: HPE), Advanced Auto Parts (NYSE: AAP) and Slack Technologies, Inc. (NYSE: WORK). This week will also bring us news from the EV and the IPO worlds, as well as the 2021 Bitcoin conference, one of the biggest cryptocurrency events this year. Before we move to the day-to-day highlights, if you are a small business owner, do not miss today’s deadline to apply for the latest round of the Paycheck Protection Program funding.

Tuesday

This week’s earnings reports will be led by Kirkland’s Inc (NASDAQ: KIRK), and that is due before the market opens. It will be followed by HP’s and Zoom’s earnings reports, after the bell. SoFi Technologies (NYSE: SOFI) is a fintech startup IPO joining the trading world after its SPAC merger on Friday.

 

Wednesday

Before the market opens on Wednesday, we are expecting the earnings reports from Advance Auto Parts and Lands’ End Inc (NASDAQ: LE). The reports will keep coming after the bell as well, so we are keen to see how NetApp Inc (NASDAQ: NTAP), Endeavor Group Holdings (NYSE: EDR), Splunk Inc (NASDAQ: SPLK), and PVH Corp (NYSE: PVH) did in the previous period. Wednesday is also the day when we are expecting the Beige Book, which will give us the latest analysis of the economic conditions in the U.S. as the COVID-19 restrictions reduce.

Thursday

Thursday is expected to be the busiest of the week, when we expect earnings reports from Express Inc (NYSE: EXPR), Asana Inc (NYSE: ASAN), Duluth Holdings Inc (NASDAQ: DLTH), Broadcom Inc (NASDAQ: AVGO), The Toro Company (NYSE: TTC), The Cooper Companies (NYSE: COO), Science Applications International Corporation (NYSE: SAIC), Lululemon Athletica (NASDAQ: LULU), as well as Slack Technologies.

Thursday is a big day for NVIDIA Corporation (NASDAQ: NVDA) also. After reporting the record profits and earnings, highly affected by the company’s revenues from graphic cards for crypto mining, the shareholders will vote on a 4-for-1 stock split. That will increase the number of authorized shares of common stock, and if approved, each shareholder will receive an additional dividend of three additional shares.

Thursday will be also interesting in the automotive world. Kia will start taking reservations for its new EV6 crossover, while Nio Inc (NYSE: NIO), the Chinese automaker, will hold a general meeting so it can increase the diversity of its board.

This day will also be dominated by cryptocurrencies, as the 2021 Bitcoin conference, taking place in Miami, will kick-off.

Friday

The week’s end is reserved for the earnings report from Hooker Furniture Corporation (NASDAQ: HOFT), and that is expected before the opening bell. During the rest of Friday, we will focus on the latest unemployment rates and data.

This article is not a press release and is contributed by a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure. IAM Newswire does not hold any position in the mentioned companies. Press Releases – If you are looking for full Press release distribution contact: press@iamnewswire.com Contributors – IAM Newswire accepts pitches. If you’re interested in becoming an IAM journalist contact: contributors@iamnewswire.com

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