2 Beaten Down Growth Stocks That Will Rally 80% or More, According to Wall Street

: PINS | Pinterest Inc. News, Ratings, and Charts

PINS – Despite the recent market correction, the reopening economy and supportive government policies should drive the performance of some quality growth stocks. Wall Street analysts expect beaten-down growth stocks Pinterest (PINS) and Duolingo (DUOL) to deliver solid returns in the near term. So, it could be wise to add them to your watchlist now.

Since the beginning of this year, the stock market has been in correction territory as the Federal Reserve hinted at a rise in interest rates from near zero as soon as March after bond-purchase tapering ends. The market is predicting four rate hikes in 2022 due to omicron-induced inflationary pressures. 

However, according to The Conference Board, the U.S. real GDP is expected to rise 3.5% in fiscal 2022. This should bode well for stocks that possess solid growth attributes. 

So, it could be wise to bet on growth stocks, Pinterest, Inc. (PINS) and Duolingo, Inc. (DUOL), which have declined significantly over the past month. Wall Street analysts expect these stocks to soar more than 80% in the near term.

Pinterest, Inc. (PINS)

PINS provides a visual discovery engine internationally. The company’s engine allows people to find inspiration for their lives, including recipes, style, home inspiration, and DIY. It shows them visual recommendations based on people’s tastes and interests.

On November 4, 2021, PINS announced that it expects its Q4 revenue to grow in the high teen’s percentage range year-over-year, and non-GAAP operating expenses to grow in the low teens quarter-over-quarter as they continue to invest in their business, including native content/Creator ecosystem, and brand marketing campaign.

PINS’ revenue surged 43% year-over-year to $632.93 million in the third quarter, ending September 30, 2021. The company’s adjusted EBITDA grew 117% year-over-year to $201.47 million. Its non-GAAP net income came in at $190.55 million, representing a 119% year-over-year increase. Also, its non-GAAP EPS came in at $0.28, up 115.4% year-over-year.

PINS’ EPS is expected to increase 27.3% year-over-year to $0.14 for the quarter ending March 31, 2022. In addition, it surpassed Street EPS estimates in each of the trailing four quarters. The company’s revenue is expected to increase 24.6% year-over-year to $3.19 billion in fiscal 2022.

PINS’ has lost 28.5% over the past month to close yesterday’s trading session at $26.88. However, Wall Street analysts expect the stock to hit $50.50 in the near term, which indicates a potential upside of 87.9%.

Duolingo, Inc. (DUOL)

DUOL develops a language-learning website and mobile app in the United States and China. The company offers courses in 40 languages, including Spanish, French, Japanese, and German. It also provides a digital language proficiency assessment exam.

On November 10, 2021, Luis von Ahn, Co-Founder and CEO of DUOL, said, “I’m very proud that we continue to grow rapidly, even on top of last year’s extraordinary performance, furthering our mission to develop the best education in the world and make it universally available.”

DUOL’s revenue surged 40% year-over-year to $63.60 million in the third quarter, which ended September 30, 2021. The company’s gross profit grew 41% year-over-year to $45.50 million. Its total assets came in at $617.78 million for the period ended September 30, 2021, compared to $175.74 million for the period ended December 31, 2020.

Analysts expect DUOL’s EPS and revenue to increase 0.8% and 30.9% year-over-year, respectively, in fiscal 2022. While the stock has declined 21.2% over the past month to close yesterday’s trading session at $86.88, Wall Street analysts expect the stock to hit $158.40 in the near term, which indicates a potential upside of 82.3%.

What To Do Next?

If you’d like to see more top growth stocks, then you should check out our free special report:

9 “MUST OWN” Growth Stocks

What makes them “MUST OWN“?

All 9 picks have strong fundamentals and are experiencing tremendous momentum. They also contain a winning blend of growth and value attributes that generates a catalyst for serious outperformance. 

Even more important, each recently earned a Buy rating from our coveted POWR Ratings system where the A rated stocks have gained +31.10% a year.

Click below now to see these top performing stocks with exciting growth prospects:

9 “MUST OWN” Growth Stocks


PINS shares were trading at $26.20 per share on Friday afternoon, down $0.68 (-2.53%). Year-to-date, PINS has declined -27.92%, versus a -7.69% rise in the benchmark S&P 500 index during the same period.


About the Author: Nimesh Jaiswal


Nimesh Jaiswal's fervent interest in analyzing and interpreting financial data led him to a career as a financial analyst and journalist. The importance of financial statements in driving a stock’s price is the key approach that he follows while advising investors in his articles. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
PINSGet RatingGet RatingGet Rating
DUOLGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


Updated 2024 Stock Market Outlook

The bull market continues to rage on with the S&P 500 (SPY) making new highs. That is the past...the question is what does the future hold? That is why 44 year investment veteran Steve Reitmeister provides this updated 2024 Stock Market Outlook to help you carve a path to outperformance the rest of the year. Read on below for the full story...

Top 4 Tech Giants Poised for Explosive Growth

Fueled by the ever-growing demand for advanced technological solutions across various sectors and ongoing innovation, the tech industry has robust growth prospects. Thus, it could be wise to invest in top tech stocks Dropbox (DBX), TTM Technologies (TTMI), Lantronix (LTRX) and AstroNova (ALOT) for potential growth. Continue reading…

3 Top Rated Software Stocks to Streamline Your Investments

The software industry is thriving with soaring demand, presenting ample investment opportunities. So, fundamentally solid software stocks ServiceNow (NOW), Autodesk (ADSK), and Docebo (DCBO) might be ideal buys for promising returns. Read on...

Biotech Investors: Should You Buy, Hold, or Sell Moderna (MRNA) and Arrowhead Pharmaceuticals (ARWR)?

Despite facing several challenges, the biotech sector thrives due to growing demand for effective treatments, consistent innovations, and a sustained demand for high-quality drugs and therapies. Let's assess whether one should Buy, Hold, or Sell biotech stocks Moderna (MRNA) and Arrowhead Pharmaceuticals (ARWR). Keep reading...

Investor Alert: “Buy the Rumor, Sell the News!”

Everyone knows that the Fed is going to cut rates at some point this year. That is the worst kept secret on the planet helping to explain how we keep making new highs for the for the S&P 500 (SPY). Unfortunately that creates an interesting predicament for stocks after rates are cut. Plus another hurdle in the 2024 Presidential election. Steve Reitmeister is here to share his insights on the market outlook along with a preview of his top 12 stocks to outperform. Read on for more...

Read More Stories

More Pinterest Inc. (PINS) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All PINS News