Pinterest (NYSE:PINS) is drawing renewed bullish sentiment from Wall Street after delivering a stronger-than-expected second quarter, marked by accelerating user growth, solid revenue beats, and a bullish third-quarter outlook. However, despite the upbeat results and guidance, the stock is trading lower on Friday.
Analysts at Bank of America and Goldman Sachs reiterated Buy ratings while raising or reaffirming their price forecasts, citing Pinterest’s growing traction among Gen Z, momentum in AI-driven product enhancements, and expanding advertiser demand.
Pinterest posted second-quarter revenue of $998 million, up 17% year over year, surpassing the Street estimate of $976 million. EBITDA reached $251 million, ahead of the $235 million consensus. Global monthly active users climbed to 578 million, increasing by 8 million quarter over quarter, with broad-based growth across regions.
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Pinterest issued third-quarter guidance above expectations, forecasting revenue between $1.033 billion and $1.053 billion and EBITDA in the range of $282 million to $302 million.
BofA Securities analyst Justin Post reiterated a Buy rating on Pinterest and raised the price forecast from $41 to $44 following the company’s second-quarter 2025 results.
Post attributed the platform’s success to its rising popularity among Gen Z, now over half its user base, and growing appeal to male users. He also highlighted the effectiveness of AI-powered features that enhance user intent capture and drive shopping engagement.
Post raised his 2025E revenue estimate to $4.2 billion and EBITDA to $1.3 billion, while increasing 2026E revenue to $4.9 billion and EBITDA to $1.5 billion, citing accelerating user growth, improved monetization, and continued investment in product and sales infrastructure.
His revised $44 price forecast is based on an 18x EV/EBITDA multiple on 2026E, justified by Pinterest’s early-stage AI monetization potential and expanding margins. Key risks include U.S. user softness, ad load saturation, AI infrastructure costs, and stock-based compensation pressures.
Goldman Sachs analyst Eric Sheridan also maintained a Buy rating with a 12-month price forecast of $43, noting Pinterest’s second-quarter beat on revenue and forward-looking strength in digital ad demand.
The analyst emphasized Gen Z’s growing engagement and the company’s continued integration of AI-powered visual and search tools. Sheridan highlighted Performance+ as gaining traction and pointed to margin expansion despite ongoing R&D and ad sales investments.
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