Pinterest still makes little revenue, yet the scrapbooking site’s value is soaring in the eyes of venture capitalists.

The company said Thursday it raised a $200 million investment that values it at $5 billion, making Pinterest one of the most valuable venture-capital backed startups in the world.Pinterest Raises $200 million VC Funding, Valuing The Company at $5 Billion [blogs.wsj.com]

The company aspires to compete with search engines like Google Inc. and Microsoft Corp.’s Bing by building new tools to help users discover content from around the Web. Last month, it unveiled a new “guided search” feature for its mobile apps, which produces a page of images based on the keyword a user enters, such as “hairstyles,” and then prompts them to refine the search with more specific categories like “beehive” or “bangs.”