Pinterest (PINS) Stock Forecast & Price Target

Pinterest's financial performance indicates a robust outlook, highlighted by a notable 24% year-over-year increase in Adjusted EBITDA to $306 million, which slightly exceeded estimates. The company's third-quarter sales of $1,049 million grew 17% year-over-year and aligned with the high end of its guidance range, reflecting strong momentum in user engagement and revenue generation. Furthermore, an increase in monthly active users to 600 million, surpassing projections, and anticipated revenue growth of 13.8% to 15.9% year-over-year for the next quarter underscore Pinterest's potential for sustained growth, particularly as it capitalizes on emerging verticals and enhanced AI-driven advertising strategies.

Pinterest's financial outlook appears negative, primarily due to a consistent decline in user growth in the US and Canada, with sequential growth rates decreasing from 16% to 8% over consecutive quarters. Revenue expectations for 4Q25 have been revised downward to $1.3 billion, reflecting a slight year-over-year increase of 15.3%, which is lower than previous estimates. Furthermore, the company's EBITDA margin is projected to decrease, alongside a modest reduction in overall revenue for the full year, highlighting concerns over the platform's performance amid macroeconomic uncertainties.