Pinterest Stock Undervalued with Significant Growth Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 17 2026
0mins
Source: Yahoo Finance
- Stock Decline: Pinterest's stock has fallen approximately 40% over the past year, despite achieving over $1 billion in revenue with an 18% year-over-year growth in Q1, indicating a potential buying opportunity for investors who recognize its undervalued status.
- International Market Growth: The company has seen strong performance in international markets, with European revenue increasing by 27% to $186 million and rest-of-world revenue surging 59% to $72 million, highlighting Pinterest's potential for user growth and revenue enhancement in under-monetized regions.
- Strategic Investment: Elliott Investment Management's purchase of $1 billion in convertible senior notes in March reflects confidence in Pinterest, while the company used these proceeds for a $1 billion accelerated share repurchase, enhancing shareholder value and demonstrating commitment to future growth.
- AI-Driven Business Model: Pinterest is leveraging AI to enhance personalization and search capabilities, particularly in visual search, which is expected to attract more users and advertisers, thereby driving revenue growth and solidifying its competitive position in the e-commerce space.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy PINS?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on PINS
Wall Street analysts forecast PINS stock price to rise
17 Analyst Rating
14 Buy
3 Hold
0 Sell
Strong Buy
Current: 22.250
Low
24.90
Averages
35.46
High
44.00
Current: 22.250
Low
24.90
Averages
35.46
High
44.00
About PINS
Pinterest, Inc. (Pinterest) offers visual search and discovery platform. The Company’s primary service, Pinterest, can be accessed through its mobile application or the Web. People use Pinterest to find ideas. As they browse Pinterest content, Pins, they fine-tune their tastes and find the idea. Users interact with the platform in multi-session journeys to find inspiration, curate their latest look, plan their next project and shop from brands. It has approximately 553 million monthly active users across the world. Content on Pinterest comes from a variety of sources, including retailers, brands, creators, publishers and users. It acquires that content via a range of methods, including product catalog uploads, direct publishing, and user curation. Content formats include images that allow the user to click into an idea to learn more, videos that provide the steps of an idea, and products that brands and merchants upload from catalogs.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Investment Opportunities Amid 2026 Market Volatility
- Market Volatility Analysis: The stock market in 2026 has experienced significant volatility; however, there are still investment opportunities, indicating that dynamic market changes provide potential profit avenues for investors.
- Price Data Reference: Stock prices as of the afternoon of June 30, 2026, reflect unstable market sentiment, yet certain stocks continue to perform strongly, potentially attracting investors looking for buy-low, sell-high strategies.
- Video Release Timing: The video was published on July 2, 2026, aimed at providing investors with the latest market insights and strategies to help them make informed decisions in an uncertain market environment.
- Investment Strategy Recommendations: Given the current market conditions, investors should focus on sectors that can maintain stable growth amid volatility to achieve better returns during future rebounds.
See More
Top Investment Opportunities Revealed for 2026
- Market Volatility and Opportunities: Despite increased volatility in the stock market in 2026, the analyst team has identified promising investment opportunities, particularly the 10 recommended stocks that could yield substantial returns in the coming years.
- Historical Return Comparisons: For instance, if an investor had put $1,000 into Netflix when it was recommended in December 2004, it would now be worth $400,101, while an investment in Nvidia from April 2005 would have grown to $1,212,683, highlighting the potential of these recommendations.
- Strong Performance of Stock Advisor: Stock Advisor boasts an impressive average return of 911%, significantly outperforming the S&P 500's 208%, indicating the effectiveness and competitiveness of its stock selection strategy.
- Value of Investor Community: Joining Stock Advisor not only provides access to the latest top 10 stock recommendations but also allows participation in an investing community built by individual investors, enhancing confidence and support in investment decisions.
See More
Investment Choices: Pinterest vs. Reddit
- Pinterest's Financial Performance: In FY 2025, Pinterest reported revenue of approximately $4.2 billion, reflecting a 15.8% increase year-over-year, with a net income of about $416.9 million and a net margin of nearly 9.9%, indicating sustained profitability despite facing multiple securities fraud class action lawsuits.
- Reddit's Rapid Growth: Reddit achieved revenue of around $2.2 billion in FY 2025, a significant 69.4% increase from the previous year, with a net income of approximately $529.7 million and a net margin of nearly 24.1%, marking a successful transition from prior losses to profitability, showcasing strong growth potential in advertising revenue.
- Risk Comparison: Pinterest faces revenue concentration risks heavily reliant on the retail and consumer goods sectors, while needing to effectively execute a restructuring plan to address competitive pressures; in contrast, Reddit's reliance on a small group of major advertisers poses instability risks if those relationships change, alongside regulatory pressures from global safety acts.
- Valuation Comparison: Pinterest's forward P/E ratio stands at 11.0x and P/S ratio at 3.3x, significantly lower than Reddit's 33.8x and 14.6x, indicating a more attractive valuation despite its advertising business struggling to accelerate, while still maintaining a loyal user base and unique visual discovery platform.
See More
Pinterest Shares Poised for 83% Upside, Analyst Says
- Analyst Optimism: TD Cowen analyst John Blackledge named Pinterest as the best Smidcap idea for 2026, setting a price target of $38, which implies an 83% upside, reflecting strong market confidence in its growth potential.
- Strong User Growth: Pinterest's monthly active users rose 11% year-over-year in Q1 to 631 million, indicating increased user engagement that is likely to drive advertising revenue growth.
- Ad Innovation Driving Growth: The adoption rate of Performance+ has significantly increased, with management stating that 30% of lower funnel revenue is generated through this platform, which is expected to enhance advertiser growth and improve ad effectiveness.
- Acquisition Enhances Competitiveness: Pinterest's acquisition of tvScientific allows advertisers to access connected TV streaming audiences, diversifying revenue channels and driving long-term revenue growth, thereby strengthening its competitive position in the digital advertising market.
See More
Zhipu's GLM 5.2 Emerges as a Competitive AI Model
- Open Source Breakthrough: Zhipu's GLM 5.2 has achieved performance close to Anthropic's Opus 4.8 on a key intelligence benchmark, while costing only a fifth of its price, showcasing its strong competitiveness in the AI market.
- Developer Surge: The rapid increase in OpenRouter token traffic indicates that GLM 5.2 is attracting a significant number of developers, surpassing the growth seen after the launch of DeepSeek V4, reflecting market recognition of its potential.
- Enterprise Automation Demand: GLM 5.2 excels in agentic tasks such as planning, coding, and testing, addressing the urgent need for efficient AI solutions among enterprises, particularly in the context of unexpectedly high AI spending.
- Future of Open Source AI: The free availability and self-hosting capabilities of GLM 5.2 exert pricing pressure on closed-source models, while providing a safer alternative amid increasing government regulation.
See More
Pinterest Stock Outperforms Market Indices
- Stock Performance: Pinterest (PINS) closed at $19.86, up 1.69% from the previous day, outperforming the S&P 500's 0.1% decline, indicating its resilience amidst market fluctuations.
- Monthly Growth: Over the past month, PINS gained 1.03%, surpassing the Computer and Technology sector's 2.15% loss and the S&P 500's 1.34% drop, reflecting its competitive strength and investor confidence.
- Earnings Expectations: The upcoming earnings report is projected to show an EPS of $0.36, a 9.09% increase year-over-year, with quarterly revenue expected to reach $1.15 billion, up 15.34%, which could positively impact the stock price.
- Valuation Analysis: PINS currently trades at a Forward P/E ratio of 10.22, below the industry average of 17.83, and holds a PEG ratio of 0.38, indicating its relative undervaluation, which may attract more investor interest.
See More
Investment Opportunities Amid 2026 Market Volatility
- Market Volatility Analysis: The stock market in 2026 has experienced significant volatility; however, there are still investment opportunities, indicating that dynamic market changes provide potential profit avenues for investors.
- Price Data Reference: Stock prices as of the afternoon of June 30, 2026, reflect unstable market sentiment, yet certain stocks continue to perform strongly, potentially attracting investors looking for buy-low, sell-high strategies.
- Video Release Timing: The video was published on July 2, 2026, aimed at providing investors with the latest market insights and strategies to help them make informed decisions in an uncertain market environment.
- Investment Strategy Recommendations: Given the current market conditions, investors should focus on sectors that can maintain stable growth amid volatility to achieve better returns during future rebounds.
See More
Top Investment Opportunities Revealed for 2026
- Market Volatility and Opportunities: Despite increased volatility in the stock market in 2026, the analyst team has identified promising investment opportunities, particularly the 10 recommended stocks that could yield substantial returns in the coming years.
- Historical Return Comparisons: For instance, if an investor had put $1,000 into Netflix when it was recommended in December 2004, it would now be worth $400,101, while an investment in Nvidia from April 2005 would have grown to $1,212,683, highlighting the potential of these recommendations.
- Strong Performance of Stock Advisor: Stock Advisor boasts an impressive average return of 911%, significantly outperforming the S&P 500's 208%, indicating the effectiveness and competitiveness of its stock selection strategy.
- Value of Investor Community: Joining Stock Advisor not only provides access to the latest top 10 stock recommendations but also allows participation in an investing community built by individual investors, enhancing confidence and support in investment decisions.
See More
Investment Choices: Pinterest vs. Reddit
- Pinterest's Financial Performance: In FY 2025, Pinterest reported revenue of approximately $4.2 billion, reflecting a 15.8% increase year-over-year, with a net income of about $416.9 million and a net margin of nearly 9.9%, indicating sustained profitability despite facing multiple securities fraud class action lawsuits.
- Reddit's Rapid Growth: Reddit achieved revenue of around $2.2 billion in FY 2025, a significant 69.4% increase from the previous year, with a net income of approximately $529.7 million and a net margin of nearly 24.1%, marking a successful transition from prior losses to profitability, showcasing strong growth potential in advertising revenue.
- Risk Comparison: Pinterest faces revenue concentration risks heavily reliant on the retail and consumer goods sectors, while needing to effectively execute a restructuring plan to address competitive pressures; in contrast, Reddit's reliance on a small group of major advertisers poses instability risks if those relationships change, alongside regulatory pressures from global safety acts.
- Valuation Comparison: Pinterest's forward P/E ratio stands at 11.0x and P/S ratio at 3.3x, significantly lower than Reddit's 33.8x and 14.6x, indicating a more attractive valuation despite its advertising business struggling to accelerate, while still maintaining a loyal user base and unique visual discovery platform.
See More
Pinterest Shares Poised for 83% Upside, Analyst Says
- Analyst Optimism: TD Cowen analyst John Blackledge named Pinterest as the best Smidcap idea for 2026, setting a price target of $38, which implies an 83% upside, reflecting strong market confidence in its growth potential.
- Strong User Growth: Pinterest's monthly active users rose 11% year-over-year in Q1 to 631 million, indicating increased user engagement that is likely to drive advertising revenue growth.
- Ad Innovation Driving Growth: The adoption rate of Performance+ has significantly increased, with management stating that 30% of lower funnel revenue is generated through this platform, which is expected to enhance advertiser growth and improve ad effectiveness.
- Acquisition Enhances Competitiveness: Pinterest's acquisition of tvScientific allows advertisers to access connected TV streaming audiences, diversifying revenue channels and driving long-term revenue growth, thereby strengthening its competitive position in the digital advertising market.
See More
Zhipu's GLM 5.2 Emerges as a Competitive AI Model
- Open Source Breakthrough: Zhipu's GLM 5.2 has achieved performance close to Anthropic's Opus 4.8 on a key intelligence benchmark, while costing only a fifth of its price, showcasing its strong competitiveness in the AI market.
- Developer Surge: The rapid increase in OpenRouter token traffic indicates that GLM 5.2 is attracting a significant number of developers, surpassing the growth seen after the launch of DeepSeek V4, reflecting market recognition of its potential.
- Enterprise Automation Demand: GLM 5.2 excels in agentic tasks such as planning, coding, and testing, addressing the urgent need for efficient AI solutions among enterprises, particularly in the context of unexpectedly high AI spending.
- Future of Open Source AI: The free availability and self-hosting capabilities of GLM 5.2 exert pricing pressure on closed-source models, while providing a safer alternative amid increasing government regulation.
See More
Pinterest Stock Outperforms Market Indices
- Stock Performance: Pinterest (PINS) closed at $19.86, up 1.69% from the previous day, outperforming the S&P 500's 0.1% decline, indicating its resilience amidst market fluctuations.
- Monthly Growth: Over the past month, PINS gained 1.03%, surpassing the Computer and Technology sector's 2.15% loss and the S&P 500's 1.34% drop, reflecting its competitive strength and investor confidence.
- Earnings Expectations: The upcoming earnings report is projected to show an EPS of $0.36, a 9.09% increase year-over-year, with quarterly revenue expected to reach $1.15 billion, up 15.34%, which could positively impact the stock price.
- Valuation Analysis: PINS currently trades at a Forward P/E ratio of 10.22, below the industry average of 17.83, and holds a PEG ratio of 0.38, indicating its relative undervaluation, which may attract more investor interest.
See More
