Pinterest (NYSE:PINS) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research downgraded Pinterest from “hold” to “strong sell” and projects fiscal 2028 earnings of $1.04 per share.
• Analyst sentiment remains mixed: Pinterest has a consensus “hold” rating from 37 analysts, with a consensus price target of $27.90 versus shares opening at $21.76.
• Pinterest recently exceeded quarterly expectations, reporting $0.43 EPS and $1.18 billion in revenue, up 18.2% year over year; however, insiders have sold 691,827 shares worth about $14.7 million over the past three months.

Pinterest (NYSE:PINS - Get Free Report) was downgraded by stock analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued to clients and investors on Tuesday, Zacks reports. Zacks Research also issued estimates for Pinterest's FY2028 earnings at $1.04 EPS.

PINS has been the topic of several other reports. Cantor Fitzgerald reiterated an "overweight" rating and set a $30.00 target price on shares of Pinterest in a research report on Wednesday, August 5th. Guggenheim increased their price target on shares of Pinterest from $24.00 to $26.00 and gave the stock a "buy" rating in a research report on Wednesday, August 5th. Wall Street Zen raised shares of Pinterest from a "hold" rating to a "buy" rating in a research report on Sunday, August 9th. Rosenblatt Securities raised their price target on shares of Pinterest from $24.00 to $25.00 and gave the stock a "neutral" rating in a research note on Wednesday, August 5th. Finally, Citigroup lifted their price objective on Pinterest from $25.00 to $27.00 and gave the company a "neutral" rating in a report on Wednesday, August 5th. Eighteen analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus target price of $27.90.

Pinterest Price Performance

Shares of NYSE:PINS opened at $21.76 on Tuesday. The firm has a market capitalization of $12.19 billion, a PE ratio of 64.00, a PEG ratio of 1.46 and a beta of 0.90. The company has a current ratio of 3.81, a quick ratio of 3.81 and a debt-to-equity ratio of 0.34. Pinterest has a 1-year low of $13.84 and a 1-year high of $35.42. The business's 50 day moving average is $21.00 and its 200-day moving average is $20.89.

Pinterest (NYSE:PINS - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $0.43 earnings per share for the quarter, topping analysts' consensus estimates of $0.36 by $0.07. Pinterest had a net margin of 5.46% and a return on equity of 7.49%. The firm had revenue of $1.18 billion for the quarter, compared to the consensus estimate of $1.15 billion. During the same quarter in the previous year, the company earned $0.33 earnings per share. The business's revenue was up 18.2% compared to the same quarter last year. Sell-side analysts predict that Pinterest will post 0.58 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Benjamin Silbermann sold 93,750 shares of the business's stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $21.43, for a total value of $2,009,062.50. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Julia Donnelly sold 59,096 shares of the business's stock in a transaction on Friday, August 7th. The shares were sold at an average price of $23.48, for a total transaction of $1,387,574.08. Following the completion of the sale, the chief financial officer owned 817,409 shares in the company, valued at $19,192,763.32. This represents a 6.74% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 691,827 shares of company stock valued at $14,708,582. Company insiders own 8.09% of the company's stock.

Hedge Funds Weigh In On Pinterest

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd lifted its holdings in Pinterest by 2,017.3% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,101 shares of the company's stock worth $29,000 after buying an additional 1,049 shares in the last quarter. MidFirst Bank bought a new position in Pinterest in the 4th quarter valued at $44,000. Summit Securities Group LLC acquired a new stake in shares of Pinterest in the 1st quarter valued at $43,000. Bessemer Group Inc. increased its stake in shares of Pinterest by 445.1% in the 1st quarter. Bessemer Group Inc. now owns 3,712 shares of the company's stock valued at $68,000 after buying an additional 3,031 shares during the period. Finally, Parallel Advisors LLC increased its stake in shares of Pinterest by 31.7% in the 1st quarter. Parallel Advisors LLC now owns 5,780 shares of the company's stock valued at $106,000 after buying an additional 1,390 shares during the period. 88.81% of the stock is currently owned by institutional investors and hedge funds.

Pinterest Company Profile

Pinterest, Inc operates a visual discovery and planning platform that helps people find, save and organize ideas for projects, interests and everyday activities. Users can collect images, videos and other content as “Pins” and arrange them on personalized or collaborative boards. The platform supports discovery across areas such as home design, food, fashion, travel, beauty and do-it-yourself projects.

Pinterest also provides tools for businesses and creators, including visual advertising, shopping features, product catalogs and analytics.

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