Fast Money Blog -7/30/21

Continuing our look at this week’s major stock earnings, we will focus on Starbucks Corporation (SBUX), Visa, Inc. (V) and Pinterest, Inc. (PINS).

On Tuesday, July 27th, Starbucks Corporation released Q3 2021 earnings with top-line revenue of $7.5 billion, an increase of 77% year-over-year.

Comparable store sales increases were outstanding, as global comparable store sales increased 73% and U.S. comparable store sales increased 83%. In addition, the number of Starbucks® Rewards loyalty program 90-day active members in the U.S. increased to 24.2 million, up 48% year-over-year.

One of the reasons that Starbucks earnings are steadying rising is the tiny incremental increases in their base cups of coffee/tea, and all of the special customizable add-ons that their active daily visitors are willing to pay for.

Another company that released its earnings on Tuesday, July 27th, was Visa Inc. They reported top line revenue of $6.13 billion, an increase of 27% year-over-year.

In addition, Visa’s payments volume was $3.3 trillion, an increase of 34% year-over-year.

We all know their best quarter is Q4, so hold on to your shares as a long term investment and you’ll do well.

On Thursday, July 29th, Pinterest, Inc. reported Q2 2021 revenue of $613.2 million, a growth of 125% year-over-year and a growth of 26% quarter-over-quarter.

However, user engagement did not do as well.

After posting impressive global monthly active user growth of 30% in Q1 2021, the growth rate in Q2 slowed to just 9%.

And while global monthly active users rose 9%, Pinterest saw a 7% decline in U.S. users.

Note: Don’t confuse user growth with revenue growth. One quarter of declining user growth should not trump extraordinary revenue growth on the top and bottom line. Pinterest stock still makes a good date.

Stay the course.

So far it’s been a great earnings season for Wealthy Investor stocks!

Tyrone Jackson

The Wealthy Investor