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1. Company Snapshot

1.a. Company Description

Pinterest, Inc.operates as a visual discovery engine in the United States and internationally.The company's engine allows people to find inspiration for their lives, including recipes, style and home inspiration, DIY, and others; and provides video, product, and idea pins.


It shows visual machine learning recommendations based on pinners taste and interests.The company was formerly known as Cold Brew Labs Inc.and changed its name to Pinterest, Inc.


in April 2012.Pinterest, Inc.was incorporated in 2008 and is headquartered in San Francisco, California.

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1.b. Last Insights on PINS

Breaking News: Pinterest Inc. has received a $1 billion investment from Elliott Investment Management, which will be used to fund a new $3.5 billion share repurchase program. The investment will make Elliott the company's largest shareholder. American Century Companies Inc. has reduced its holdings in Pinterest by 43.4% during the quarter. Meanwhile, Pomerantz Law Firm is investigating claims on behalf of investors of Pinterest. The company's shares have jumped 9.5% in premarket trading following the announcement. Analysts at various firms have not publicly released recommendations regarding the stock.

1.c. Company Highlights

2. Pinterest's Q4 2025 Earnings: A Strong Year for Growth and Innovation

Pinterest's Q4 2025 revenue came in at $1,319,000,000, representing a 14% year-over-year growth, with the US and Canada contributing $979,000,000 and Europe $245,000,000, growing 9% and 25%, respectively. The company's adjusted EBITDA margin is expected to be roughly in line with 2025, excluding a 100-basis-point drag from the TV Scientific acquisition. Actual EPS was $0.38, slightly below estimates of $0.4164. For the full year 2025, free cash flow increased 33% to $1,250,000,000, and the company deployed $927,000,000 towards share repurchases.

Publication Date: Feb -13

📋 Highlights
  • Global MAU Growth:: Pinterest reached 619 million Monthly Active Users (MAUs) in Q4 2025, a 12% year-over-year increase, with 10 consecutive quarters of record-high MAUs.
  • Q4 Revenue Performance:: Global revenue hit $1.319 billion, up 14% YoY, with Europe growing 25% ($245M) and US/Canada up 9% ($979M), despite ad spend headwinds from top retail advertisers.
  • AI and Visual Commerce Expansion:: The platform processed 80 billion monthly visual searches and 1.7 billion outbound clicks, while launching Pinterest Assistant (voice modality) and Performance Plus beta, which boosted new customer conversions by 64% in testing.
  • Acquisition and Monetization:: Acquisition of TV Scientific (connected TV ad platform) aims to expand high-intent audience monetization beyond Pinterest’s surfaces, expected to close in Q1–Q2 2026, adding a 100-basis-point EBITDA drag.
  • SMB and International Growth:: SMBs contributed 15% of revenue in 2025, with a near-doubled growth rate YoY; Performance Plus users saw 12% higher monthly revenue growth, driving a multi-year focus on SMB and international monetization.

User Growth and Engagement

Pinterest ended 2025 with 619 million global Monthly Active Users (MAUs), up 12% year-over-year, with 10 consecutive quarters of record high MAUs. The company has become one of the largest search destinations in the world, with 80 billion monthly searches and 1.7 billion monthly clicks. Gen Z users represent over 50% of Pinterest's user base, indicating a strong and engaged user demographic.

Monetization and Advertising

Pinterest is focusing on broadening its revenue mix, with a particular emphasis on mid-market enterprises and SMB advertisers. The company's managed SMB business is growing rapidly, representing 15% of revenue, and the revenue growth rate nearly doubled in 2025 versus 2024. The acquisition of TV Scientific is expected to enhance Pinterest's performance advertising capabilities, particularly in connected TV.

Guidance and Outlook

For Q1 2026, Pinterest expects revenue to be in the range of $951,000,000 to $971,000,000, representing 11% to 14% growth year over year. The company expects adjusted EBITDA to be in the range of $166,000,000 to $186,000,000. Analysts estimate next year's revenue growth at 14.5%. Pinterest's guidance suggests a continued focus on growth and innovation.

Valuation

With a P/E Ratio of 6.32, P/B Ratio of 2.6, and P/S Ratio of 3.11, Pinterest's valuation appears reasonable. The company's EV/EBITDA ratio is 32.74, indicating a relatively high multiple. However, with a Free Cash Flow Yield of 8.91%, Pinterest's cash generation capabilities are attractive. As the company continues to drive growth and innovation, its valuation may be supported by improving financials.

3. NewsRoom

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INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Pinterest, Inc. - PINS

Mar -03

Source: globenewswire.com

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Activist investor Elliot takes a $1B stake in Pinterest, betting on AI-driven growth

Mar -03

Source: techcrunch.com

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Pinterest's stock is rising. Here's why investors are cheering a big boost to the buyback program.

Mar -03

Source: marketwatch.com

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Pinterest Lands $1 Billion Investment Amid AI Push

Mar -03

Source: pymnts.com

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Struggling Pinterest Stock Lands $1 Billion Investment

Mar -03

Source: schaeffersresearch.com

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Pinterest shares jump 9.5% as Elliott invests $1bn and company launches $3.5bn buyback

Mar -03

Source: proactiveinvestors.com

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Pinterest Stock Jumps 8% as Activist Elliott Takes $1 Billion Stake

Mar -03

Source: barrons.com

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Pinterest shares pop 8% as activist Elliott Management takes $1 billion stake

Mar -03

Source: cnbc.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (15.60%)

6. Segments

Internet Information Providers

Expected Growth: 15.6%

Growing demand for online platforms and internet access drives growth, fueled by increasing digitalization, rising online shopping, and Pinterest's expanding user base and improving monetization strategies.

7. Detailed Products

Shopping Ads

Pinterest's shopping ads allow businesses to promote their products directly to users who are actively searching for similar items.

Video Ads

Pinterest's video ads allow businesses to create engaging, full-screen video ads that can be up to 60 minutes long.

Carousel Ads

Pinterest's carousel ads allow businesses to showcase multiple images or cards in a single ad, allowing users to scroll through and engage with different content.

Shopping Catalogs

Pinterest's shopping catalogs allow businesses to upload their product catalogs and enable users to purchase products directly from their Pinterest feed.

Lens

Pinterest's Lens is a camera feature that allows users to take a photo of an object and find similar products or ideas on Pinterest.

Instant Experience

Pinterest's Instant Experience allows businesses to create fast, full-screen experiences that load quickly and seamlessly, allowing users to engage with their brand.

8. Pinterest, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Pinterest's unique visual discovery and planning website and mobile app make it difficult for substitutes to emerge, reducing the threat of substitutes.

Bargaining Power Of Customers

While customers have some bargaining power due to the availability of alternative platforms, Pinterest's strong brand and user engagement reduce the bargaining power of customers.

Bargaining Power Of Suppliers

Pinterest has a diverse range of suppliers, and the company's strong brand and market position reduce the bargaining power of suppliers.

Threat Of New Entrants

While there are barriers to entry, such as the need for significant investment in technology and marketing, new entrants can still emerge, posing a moderate threat to Pinterest.

Intensity Of Rivalry

The online advertising and social media industries are highly competitive, with many established players, leading to a high intensity of rivalry.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 5.97%
Debt Cost 8.88%
Equity Weight 94.03%
Equity Cost 8.88%
WACC 8.88%
Leverage 6.35%

11. Quality Control: Pinterest, Inc. passed 7 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Alphabet

A-Score: 5.8/10

Value: 1.0

Growth: 8.2

Quality: 8.2

Yield: 0.0

Momentum: 10.0

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
T-Mobile US

A-Score: 5.2/10

Value: 4.5

Growth: 7.1

Quality: 5.8

Yield: 2.0

Momentum: 3.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
Meta

A-Score: 5.1/10

Value: 1.8

Growth: 8.8

Quality: 8.3

Yield: 0.0

Momentum: 6.0

Volatility: 5.7

1-Year Total Return ->

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Stock-Card
Pinterest

A-Score: 4.9/10

Value: 3.7

Growth: 8.6

Quality: 8.9

Yield: 0.0

Momentum: 4.0

Volatility: 4.0

1-Year Total Return ->

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Stock-Card
DoorDash

A-Score: 4.7/10

Value: 0.5

Growth: 9.1

Quality: 6.4

Yield: 0.0

Momentum: 7.5

Volatility: 4.7

1-Year Total Return ->

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Stock-Card
Snap

A-Score: 3.4/10

Value: 5.5

Growth: 6.3

Quality: 4.0

Yield: 0.0

Momentum: 1.5

Volatility: 3.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

19.38$

Current Price

19.38$

Potential

-0.00%

Expected Cash-Flows