Pinterest (PINS -0.58%) may never make as much money on their international users as they do on their U.S. users, but there's still potential for considerable expansion ahead. In this clip from "The Rank" on Motley Fool Live, recorded on April 25, Motley Fool contributor Danny Vena discusses why now is an optimal time to invest in Pinterest at a discounted price.
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Danny Vena: The interesting thing for me about Pinterest, and I think one of the reasons why, aside from the decline in users, which is not only because we are on the tail-end, I would think, of the pandemic, but also because there's some seasonality there. But, I think Wall Street dislikes uncertainty. I've said that many times before. And sometimes Wall Street takes a wait-and-see attitude, and they're doing the same thing with Pinterest that they are with Etsy (ETSY -4.40%). They saw declining user base. And a lot of investors are saying, "Okay, well, they haven't yet monetized their international users to the degree that they have their U.S. user base, and maybe they won't. And I think that's a fair point. But to Matt's point, the fact that we're talking $0.08 on that slide that you showed compared to almost $5 for the U.S., I think there's a lot of room for expansion there, and I think investors shouldn't get caught up on the fact that they will never make as much on their international users as they do on their U.S. users. Fair enough. They don't have to. But like Matt said, if they get up to a dollar, that's kind of a ten-fold increase in their largest user cohort, which is the rest-of-the-world. So, I would say now is a really good time to get this stock at a discount. I don't think it's ever going to be the biggest social media. But I think it's always going to be the least toxic social media. And as a result of that, people who are fed up with back-biting and sniping comments and things of that nature are going to retreat here rather than go to some of the larger social media sites.