Pinterest Inc. Shares (PINS) surged yesterday after its new ‘Shuffles by Pinterest’ app appeared to have taken the internet by storm. The app is named as the number 5 app in the iOS app store in the “lifestyle” category. PINS stock ended the day up 14.1% on August 25.
The growing popularity of the app is all the more encouraging given that it was only recently launched on July 27 and has a relatively small user base. According to Sensor Tower, the app has had about 338,000 installs so far.
The Shuffles app allows users to create collective collages. The collages made by this app are trending on TikTok as the users can create the visual collage, set it to music and share it on social media sites or even share it privately with friends.
The app even has some cool features like the ability to animate the collage as well as the ability to cut out parts of a gallery image which can be added to the collage. The Shuffles app resonates well with Gen Z users who are currently obsessed with sharing and expressing publicly or with friends every mood and occasion on social media.
The app description reads, “Want to stage a festival outfit? Visualize your dream bedroom. Moodboard your current aesthetic vibe? Or just express yourself by creating something beautiful, weird, or funny? You’ll love Shuffles.
What is Pinterest’s target stock price?
On TipRanks, PINS stock has a moderate buy consensus rating based on six buys versus 17 takes. Pinterest’s average price target of $26.05 implies an upside potential of 8.5% from current levels. Meanwhile, the stock has lost more than 34% so far this year.
There’s a lot going on with Pinterest right now. New York-based Elliott Management Corp. has taken a 9% stake in Pinterest, which is well known for making strategic changes to companies’ management and operations. Additionally, the company is led by new CEO Bill Ready, who took over after PINS’ 37% owner Ben Silbermann resigned in June. Additionally, weak ad spend and a drop in global monthly active users (MAUs) are also dragging the stock down.
On the other hand, analysts on the street also seem cautiously bullish on the stock. And retail investors have reduced their stake in PINS shares by 0.4% over the past seven days. All these factors indicate that it is better to wait on the key until the dust settles.