Why Pinterest Might Be Marching Towards an IPO

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With the release of its first programming interface for developers, Pinterest has taken its first big step toward a public offering, Fool contributor Tim Beyers says in the following video.

APIs, as they are known, are key for social sites such as Pinterest in that they allow big brands to leverage the data they host. Twitter made hay as one of the first to openly share data, and to this day the site still generates 9% of revenue from licensing its data for various uses.

Pinterest, for its part, ranks with both Facebook and Twitter as one of the three biggest sources for referral traffic for other websites. It's also the fastest-growing, up 66.5% in September, according to tracking site Shareaholic.

Could the new API fuel further gains? We can't be sure, but Wal-Mart and Walt Disney are among the early adopter businesses interested. Mix in growing commerce capabilities and a forthcoming push into advertising, and the ingredients for a successful Pinterest IPO are in place, Tim argues.

Do you agree? Would you be interested in purchasing shares were Pinterest to file for an IPO? Watch the video to get Tim's full take and then leave a comment to let us know where you stand.

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The article Why Pinterest Might Be Marching Towards an IPO originally appeared on Fool.com.

Fool contributor Tim Beyers is a member of the  Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He owned shares of Apple and Walt Disney at the time of publication. Check out Tim's web home and portfolio holdings or connect with him on Google+Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.The Motley Fool recommends Amazon.com, Apple, Facebook, and Walt Disney. The Motley Fool owns shares of Amazon.com, Apple, Facebook, and Walt Disney. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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