Wall Street Zen Downgrades Pinterest (NYSE:PINS) to Hold

Key Points

• Wall Street Zen has downgraded Pinterest (NYSE:PINS) from a "buy" to a "hold" rating, indicating a shift in investor sentiment towards the stock.
• Despite the downgrade, other analysts have raised their target prices for Pinterest, with estimates now ranging from $42.00 to $46.00, reflecting some ongoing confidence in its performance.
• Insider trading has been noted, with significant stock sales by the CFO and CAO, raising concerns about insider confidence in the company's future prospects.

Pinterest (NYSE:PINS - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Saturday.

Several other equities research analysts have also recently weighed in on PINS. KeyCorp upped their target price on Pinterest from $40.00 to $45.00 and gave the stock an "overweight" rating in a research note on Thursday, July 17th. Monness Crespi & Hardt upped their target price on Pinterest from $40.00 to $46.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. Wedbush upped their target price on Pinterest from $42.00 to $44.00 and gave the stock an "outperform" rating in a research note on Friday, August 8th. TD Cowen upped their target price on Pinterest from $40.00 to $43.00 and gave the stock a "buy" rating in a research note on Tuesday, July 15th. Finally, Wells Fargo & Company set a $42.00 target price on Pinterest and gave the stock an "overweight" rating in a research note on Tuesday, July 1st. One investment analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, Pinterest presently has an average rating of "Moderate Buy" and an average price target of $42.63.

Pinterest Price Performance

Shares of NYSE:PINS opened at $31.91 on Friday. The company has a market capitalization of $21.70 billion, a P/E ratio of 11.44, a P/E/G ratio of 1.34 and a beta of 0.81. Pinterest has a 1 year low of $23.68 and a 1 year high of $40.90. The business's 50 day simple moving average is $35.94 and its 200 day simple moving average is $33.15.

Pinterest (NYSE:PINS - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The company reported $0.33 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.34 by ($0.01). The company had revenue of $998.23 million for the quarter, compared to analyst estimates of $973.42 million. Pinterest had a return on equity of 8.44% and a net margin of 49.31%.The company's quarterly revenue was up 16.9% compared to the same quarter last year. During the same period in the prior year, the company earned $0.29 EPS. Pinterest has set its Q3 2025 guidance at EPS. On average, sell-side analysts anticipate that Pinterest will post 0.6 EPS for the current fiscal year.

Insiders Place Their Bets

In other Pinterest news, CFO Donnelly Julia Brau sold 22,821 shares of the stock in a transaction dated Wednesday, September 24th. The stock was sold at an average price of $34.85, for a total transaction of $795,311.85. Following the completion of the sale, the chief financial officer directly owned 312,422 shares in the company, valued at approximately $10,887,906.70. This trade represents a 6.81% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CAO Andrea Acosta sold 3,759 shares of the stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $34.96, for a total value of $131,414.64. Following the sale, the chief accounting officer owned 157,402 shares of the company's stock, valued at approximately $5,502,773.92. The trade was a 2.33% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 967,635 shares of company stock valued at $34,866,344. 7.06% of the stock is currently owned by insiders.

Institutional Trading of Pinterest

Large investors have recently made changes to their positions in the company. Golden State Wealth Management LLC grew its stake in shares of Pinterest by 282.7% in the 2nd quarter. Golden State Wealth Management LLC now owns 685 shares of the company's stock valued at $25,000 after buying an additional 506 shares during the period. Bartlett & CO. Wealth Management LLC acquired a new stake in shares of Pinterest in the 1st quarter valued at about $25,000. Garde Capital Inc. acquired a new stake in shares of Pinterest in the 1st quarter valued at about $26,000. NBC Securities Inc. grew its stake in shares of Pinterest by 99,900.0% in the 1st quarter. NBC Securities Inc. now owns 1,000 shares of the company's stock valued at $31,000 after buying an additional 999 shares during the period. Finally, West Branch Capital LLC acquired a new stake in shares of Pinterest in the 2nd quarter valued at about $36,000. 88.81% of the stock is currently owned by institutional investors and hedge funds.

About Pinterest

Pinterest, Inc operates as a visual search and discovery platform in the United States and internationally. Its platform allows people to find ideas, such as recipes, home and style inspiration, and others; and to search, save, and shop the ideas. The company was formerly known as Cold Brew Labs Inc and changed its name to Pinterest, Inc in April 2012.

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