Pinterest (NYSE:PINS) Raised to Strong-Buy at DA Davidson

Key Points

• DA Davidson upgraded Pinterest to a strong-buy, adding to a broadly positive analyst backdrop for the stock.
• Other firms have also turned more constructive, with Wells Fargo, UBS, and Morgan Stanley lifting price targets to $30, while the broader consensus remains Hold with a $27.42 target.
• Pinterest’s latest earnings beat expectations, posting $0.27 EPS on $1.01 billion revenue, with revenue up 17.8% year over year; however, insiders have also sold shares recently and analysts note some caution around ad-market headwinds.

Pinterest (NYSE:PINS - Get Free Report) was upgraded by analysts at DA Davidson to a "strong-buy" rating in a research note issued on Wednesday,Zacks.com reports.

Several other brokerages have also issued reports on PINS. Wells Fargo & Company increased their price target on shares of Pinterest from $28.00 to $30.00 and gave the stock an "overweight" rating in a research note on Tuesday. UBS Group upped their price objective on shares of Pinterest from $29.00 to $30.00 and gave the stock a "buy" rating in a report on Tuesday, May 5th. Guggenheim reaffirmed a "buy" rating and set a $24.00 target price on shares of Pinterest in a research note on Monday, June 15th. Barclays raised their target price on shares of Pinterest from $25.00 to $27.00 and gave the company an "equal weight" rating in a research note on Tuesday, May 5th. Finally, Morgan Stanley lifted their target price on shares of Pinterest from $27.00 to $30.00 and gave the company an "overweight" rating in a report on Tuesday, May 5th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, eighteen have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $27.42.

Pinterest Price Performance

Shares of PINS stock opened at $22.54 on Wednesday. The stock has a market cap of $12.63 billion, a price-to-earnings ratio of 46.96, a PEG ratio of 1.26 and a beta of 0.89. The business's fifty day moving average is $20.65 and its 200 day moving average is $20.92. Pinterest has a twelve month low of $13.84 and a twelve month high of $39.93. The company has a quick ratio of 4.23, a current ratio of 4.23 and a debt-to-equity ratio of 0.34.

Pinterest (NYSE:PINS - Get Free Report) last announced its quarterly earnings data on Monday, May 4th. The company reported $0.27 EPS for the quarter, beating the consensus estimate of $0.22 by $0.05. Pinterest had a return on equity of 8.26% and a net margin of 7.64%.The business had revenue of $1.01 billion during the quarter, compared to analyst estimates of $965.84 million. During the same quarter last year, the firm posted $0.23 earnings per share. The company's revenue for the quarter was up 17.8% on a year-over-year basis. Research analysts expect that Pinterest will post 0.66 EPS for the current fiscal year.

Insider Buying and Selling at Pinterest

In other news, insider Wanjiku Juanita Walcott sold 27,337 shares of the firm's stock in a transaction dated Friday, May 29th. The shares were sold at an average price of $20.46, for a total transaction of $559,315.02. Following the sale, the insider owned 724,673 shares of the company's stock, valued at $14,826,809.58. This trade represents a 3.64% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gokul Rajaram sold 2,100 shares of Pinterest stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $20.00, for a total transaction of $42,000.00. Following the completion of the sale, the director owned 27,450 shares of the company's stock, valued at $549,000. This represents a 7.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 279,070 shares of company stock worth $5,817,283. Company insiders own 8.09% of the company's stock.

Institutional Investors Weigh In On Pinterest

A number of hedge funds have recently added to or reduced their stakes in PINS. Vanguard Group Inc. grew its holdings in shares of Pinterest by 1.8% in the fourth quarter. Vanguard Group Inc. now owns 62,056,069 shares of the company's stock worth $1,606,632,000 after acquiring an additional 1,069,646 shares during the period. Price T Rowe Associates Inc. MD boosted its position in Pinterest by 15.2% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 27,809,693 shares of the company's stock worth $719,994,000 after purchasing an additional 3,669,476 shares during the last quarter. Victory Capital Management Inc. boosted its position in Pinterest by 30.5% in the fourth quarter. Victory Capital Management Inc. now owns 26,808,870 shares of the company's stock worth $694,082,000 after purchasing an additional 6,258,628 shares during the last quarter. State Street Corp grew its stake in shares of Pinterest by 52.6% during the 4th quarter. State Street Corp now owns 21,492,169 shares of the company's stock valued at $556,432,000 after purchasing an additional 7,412,213 shares during the period. Finally, Ameriprise Financial Inc. grew its stake in shares of Pinterest by 10.7% during the 3rd quarter. Ameriprise Financial Inc. now owns 19,732,086 shares of the company's stock valued at $634,767,000 after purchasing an additional 1,913,668 shares during the period. 88.81% of the stock is currently owned by hedge funds and other institutional investors.

Pinterest News Summary

Here are the key news stories impacting Pinterest this week:

• Positive Sentiment: Wells Fargo raised its price target on Pinterest (PINS) to $30 and maintained an overweight rating, reinforcing a bullish outlook for the stock. Benzinga / The Fly report
• Positive Sentiment: Pinterest (PINS) is being highlighted as a trending stock across multiple market sites, which can attract short-term buying interest and boost sentiment. Zacks article
• Neutral Sentiment: Several research notes from Zacks Research trimmed Pinterest’s near- and long-term EPS estimates, including cuts to FY2026, FY2027, and FY2028 projections, signaling slightly more cautious earnings expectations. MarketBeat report
• Neutral Sentiment: Commentary on macroeconomic headwinds and a tougher ad-test backdrop suggests Pinterest still faces advertising-market pressure, which may limit upside if revenue growth slows. Insider Monkey report
• Negative Sentiment: Analysts have also noted that Pinterest’s rally could face a bigger ad-related test, underscoring risk around the company’s core advertising business. Kalkine Media article

About Pinterest

Pinterest, Inc operates a visual discovery platform that helps users find inspiration and ideas for projects ranging from home design and fashion to cooking and travel. Users create and curate "Pins" — images or videos linked to content — organized on thematic boards. The service is available through its website and mobile applications and emphasizes personalized recommendations and visual search to surface relevant content based on user interests.

The company's primary revenue model is advertising, offering promoted content formats that integrate into user feeds and search results.

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