Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - UBS maintained its Buy rating and $50.00 price target on Pinterest Inc (NYSE:PINS) in a research note released Monday. The stock, currently trading at $34.92, has seen a significant 10% decline over the past week, though InvestingPro data shows 8 analysts have recently revised their earnings estimates upward.
The firm cited mixed regional performance, noting that while Pinterest faced headwinds from slowing advertiser spending in the Asia-Pacific region during the second quarter of 2025, the company showed accelerating revenue growth in Europe and Rest of World markets. Despite regional challenges, Pinterest maintains strong fundamentals with a "GREAT" financial health score according to InvestingPro analysis, supported by robust revenue growth of 17% over the last twelve months.
UBS analyst Stephen Ju had previously anticipated an acceleration in revenue growth to appear in Pinterest’s third-quarter 2025 guidance as the company lapped food and beverage category headwinds from last year, but emerging APAC advertiser spending slowdowns have temporarily derailed that expectation.
The investment bank highlighted Pinterest’s success with first-party-driven export of lower funnel products in Europe and its onboarding of third-party partners to drive Rest of World growth as positive developments from the second quarter.
UBS modestly increased its revenue estimates for Pinterest by approximately 1% for both 2026 and 2027, while adjusting its EBITDA estimates upward by 1% and 2% respectively for those years, citing natural operating leverage in the business. With a strong balance sheet showing more cash than debt and a current ratio of 8.76, Pinterest appears well-positioned for future growth. Discover more detailed insights and 12 additional ProTips in the comprehensive InvestingPro Research Report.
In other recent news, Pinterest Inc reported strong second-quarter results, with revenue growth of 16.9% year-over-year, surpassing consensus estimates by 2%. The company’s EBITDA also exceeded expectations, beating consensus by approximately 8%. Following these results, TD Cowen raised its price target for Pinterest to $44.00 while maintaining a Buy rating. Similarly, JPMorgan increased its price target to $44.00, reflecting a 10% rise in their previous valuation and keeping an Overweight rating. CFRA also adjusted its price target to $43.00, citing Pinterest’s AI capabilities, while maintaining a Strong Buy rating. Benchmark reiterated its Buy rating with a $48.00 price target, despite concerns over the average revenue per user in the U.S. and Canada. However, the firm noted strong ARPU growth in Europe and the Rest of the World. Raymond (NSE:RYMD) James maintained a Market Perform rating, acknowledging advancements in Pinterest’s advertising technology and partnerships with major tech companies like Amazon (NASDAQ:AMZN) and Google (NASDAQ:GOOGL). These developments reflect a mix of optimism and caution among analysts regarding Pinterest’s future performance.
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