Pinterest (PINS) Q3 Guidance Reflects Steady Growth Amid AI Advertising Momentum
Pinterest reported third-quarter revenue guidance of $1.19 billion to $1.21 billion, representing a year-over-year growth rate between 13% and 15%. The company also expects adjusted EBITDA in the range of $335 million to $355 million for Q3. In Q2, Pinterest achieved revenue of $1.18 billion with global monthly active users reaching an all-time high of 640 million—a growth rate of 11%. Global average revenue per user (ARPU) increased by 7%, led by the U.S. and Canada. Analysts have adjusted their price targets following Pinterest's earnings call, with Baird raising its target to $26 from $24 while maintaining a Neutral rating, and Wells Fargo increasing it to $31 from $30 with an Overweight rating. The debate centers on whether Q3 guidance reflects normalization after temporary tailwinds or early signs of slowing ad growth in the competitive social media landscape. Bullish investors highlight Pinterest's sustained user growth, AI-driven personalization efforts, and strong free cash flow generation as positives. On the other hand, bears point to low international ARPU figures and potential challenges from infrastructure costs and debt obligations.
Tickers: $PINS
Topics: AI advertising PINS stock Pinterest Q3 guidance revenue growth