Reviewing Pinterest (NYSE:PINS) and ZoomInfo Technologies (NASDAQ:ZI)

Pinterest (NYSE:PINS) and ZoomInfo Technologies (NASDAQ:ZI) are both communication services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, earnings, institutional ownership, profitability, risk, dividends and analyst recommendations.

Volatility & Risk

Pinterest has a beta of 0.9, suggesting that its share price is 10% less volatile than the S&P 500. Comparatively, ZoomInfo Technologies has a beta of 1.02, suggesting that its share price is 2% more volatile than the S&P 500.

Insider and Institutional Ownership

88.8% of Pinterest shares are held by institutional investors. Comparatively, 95.5% of ZoomInfo Technologies shares are held by institutional investors. 8.1% of Pinterest shares are held by insiders. Comparatively, 9.0% of ZoomInfo Technologies shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Pinterest and ZoomInfo Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pinterest	0	19	18	0	2.49
ZoomInfo Technologies	2	2	1	0	1.80

Pinterest currently has a consensus target price of $27.90, suggesting a potential upside of 41.88%. ZoomInfo Technologies has a consensus target price of $5.50, suggesting a potential upside of 44.74%. Given ZoomInfo Technologies’ higher possible upside, analysts clearly believe ZoomInfo Technologies is more favorable than Pinterest.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pinterest	$4.22 billion	2.61	$416.86 million	$0.34	57.84
ZoomInfo Technologies	$1.21 billion	1.07	$107.30 million	$0.12	31.67

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

Profitability

This table compares Pinterest and ZoomInfo Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pinterest	5.46%	7.49%	5.62%
ZoomInfo Technologies	0.74%	12.05%	3.46%

Summary

Pinterest beats ZoomInfo Technologies on 8 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 ZoomInfo Technologies

ZoomInfo Technologies Inc., together with its subsidiaries, provides go-to-market intelligence and engagement platform for sales and marketing teams in the United States and internationally. The company's cloud-based platform provides information on organizations and professionals to help users identify target customers and decision makers, obtain continually updated predictive lead and company scoring, monitor buying signals and other attributes of target companies, craft messages, engage through automated sales tools, and track progress through the deal cycle. It serves enterprises, mid-market companies, and down to small businesses that operate in various industry, including software, business services, manufacturing, telecommunications, financial services, media and internet, transportation, education, hospitality, and real estate. The company was founded in 2007 and is headquartered in Vancouver, Washington.