Pinterest, Inc.
Thesis
We purchased Pinterest after its stock fell significantly, believing that increased engagement during the pandemic would enhance its business value despite the drop in stock price.
Did it work?
failed
confidence: medium
The thesis was a long bet that pandemic-driven engagement would enhance Pinterest's business value and lift the stock after a significant decline. Instead, the stock has fallen 22.7% since the pitch, moving decisively against the long direction and indicating the market has not rewarded the anticipated engagement-driven value creation. Because the pitch stated no explicit horizon and the elapsed time is unknown, confidence is tempered, but the substantial negative return means the thesis has not played out so far.