RBC Capital Cautious on Pinterest (PINS) Due to Macroeconomic Sensitivity, Despite Outperform Rating

5 days ago 6

Maham Fatima

Tue, November 25, 2025 astatine 7:07 AM CST 2 min read

Pinterest Inc. (NYSE:PINS) is 1 of the most profitable ample headdress stocks to bargain close now. On November 4, RBC Capital expert Brad Erickson lowered the firm’s terms people connected Pinterest to $38 from $45 with an Outperform standing connected the shares. This sentiment was announced arsenic Pinterest released its Q3 2025 net report, which Erickson believes reinforced concerns held by bears astir the company’s deficiency of lawsuit diverseness and its higher sensitivity to macroeconomic factors.

In Q3, the company’s full gross for the 4th reached $1.049 billion, marking a 17% year-over-year increase. The level achieved a grounds 600 cardinal Monthly Active Users/MAUs, representing 12% maturation year-over-year and its 9th consecutive 4th of idiosyncratic growth. Notably, the Gen Z cohort is present the largest and fastest-growing segment, comprising implicit 50% of the idiosyncratic base. Revenue maturation was skewed towards planetary markets, signaling the exportation of monetization strategies.

RBC Capital Cautious connected Pinterest (PINS) Due to Macroeconomic Sensitivity, Despite Outperform Rating

Revenue successful the Rest of World conception surged by 66% year-over-year to $70 million. Europe gross was besides up 41% to $193 million. In the location market, US and Canada Revenue grew 9% to $786 million. Despite idiosyncratic growth, the planetary monetization remains underdeveloped; planetary users relationship for 83% of the idiosyncratic basal but lone lend 25% of planetary revenue. The institution saw a 54% summation successful Ad Impressions maturation but faced a 24% diminution successful Ad Pricing owed to a premix displacement towards the lower-priced planetary markets.

Pinterest Inc. (NYSE:PINS) operates arsenic a ocular hunt and find level successful the US, Canada, Europe, and internationally.

While we admit the imaginable of PINS arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.