Comparing Pinterest (NYSE:PINS) and Vimeo (NASDAQ:VMEO)

Pinterest (NYSE:PINS) and Vimeo (NASDAQ:VMEO) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Volatility & Risk

Pinterest has a beta of 1, suggesting that its share price has a similar volatility profile to the S&P 500.Comparatively, Vimeo has a beta of 2.09, suggesting that its share price is 109% more volatile than the S&P 500.

Institutional and Insider Ownership

88.8% of Pinterest shares are held by institutional investors. Comparatively, 85.0% of Vimeo shares are held by institutional investors. 7.1% of Pinterest shares are held by insiders. Comparatively, 6.3% of Vimeo shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Pinterest and Vimeo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pinterest	5.75%	6.94%	5.93%
Vimeo	7.85%	8.59%	5.32%

Valuation & Earnings

This table compares Pinterest and Vimeo”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pinterest	$3.34 billion	6.65	-$35.61 million	$0.21	154.71
Vimeo	$417.21 million	2.05	$22.03 million	$0.17	30.29

Vimeo has lower revenue, but higher earnings than Pinterest. Vimeo is trading at a lower price-to-earnings ratio than Pinterest, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Pinterest and Vimeo, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pinterest	0	8	22	0	2.73
Vimeo	0	2	1	0	2.33

Pinterest presently has a consensus target price of $43.25, suggesting a potential upside of 33.12%. Vimeo has a consensus target price of $5.33, suggesting a potential upside of 3.56%. Given Pinterest’s stronger consensus rating and higher probable upside, equities analysts clearly believe Pinterest is more favorable than Vimeo.

Summary

Pinterest beats Vimeo on 10 of the 14 factors compared between the two stocks.

About Pinterest

Pinterest, Inc. operates as a visual search and discovery platform in the United States and internationally. Its platform allows people to find ideas, such as recipes, home and style inspiration, and others; and to search, save, and shop the ideas. The company was formerly known as Cold Brew Labs Inc. and changed its name to Pinterest, Inc. in April 2012. Pinterest, Inc. was incorporated in 2008 and is headquartered in San Francisco, California.

About Vimeo

Vimeo, Inc., together with its subsidiaries, provides video software solutions worldwide. It provides the video tools through a software-as-a-service model, which enables its users to create, collaborate, and communicate with video on a single platform. The company also offers over-the-top OTT streaming and monetization services; AI-driven video creation and editing tools; and interactive and shoppable video tools. It serves large organizations, small businesses, creative professionals, marketers, and digital agencies. The company was founded in 2004 and is headquartered in New York, New York.