The Unraveling In Pinterest Stock Isn’t Done, So Here’s The Trade To Make
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This week’s bounce is likely a ruse — here’s what to do with PINS stock
Remember when Pinterest (NYSE:PINS) cashed in on the euphoria surrounding stay-at-home stocks last year? It joined Zoom Video Communications (NASDAQ:ZM), Teladoc Health (NYSE:TDOC), Peloton Interactive (NASDAQ:PTON), DocuSign (NASDAQ:DOCU), and many others on a rocket ship ride for the ages. If you thought the meteoric rise was eye-popping, you should see this year’s unraveling in PINS stock.
It’s been brutal.
As is always the case when asset prices become unmoored from reality, there is a reckoning. Sooner or later — and in this case, it was sooner — an earnings report arrives that disappoints the masses. It often reveals the company’s growth is robust but not enough to meet the lofty expectations baked into the sky-high share price.
If you want to bet we revisit the lows, then here’s an options spread that will profit.
The article The Unraveling in Pinterest Stock Isn’t Done, So Here’s the Trade to Make originally appeared at InvestorPlace.
Category: Options Trading Strategy
