TLDR

Pinterest forecast Q1 revenue of $951M-$971M, missing Wall Street’s $980.1M estimate, sending shares down 18% in after-hours trading
Q4 revenue rose 14% to $1.32 billion, slightly below the $1.33 billion expected by analysts
Major retailers hit by tariffs have pulled back advertising spending across the platform to protect margins
Global monthly active users reached 619 million, up from 553 million in 2024, beating estimates of 606 million
Company faces mounting competition from TikTok and Instagram, which offer larger user bases and more advanced AI advertising tools

Pinterest shares tumbled more than 18% in extended trading Thursday after the company issued first-quarter revenue guidance that fell short of Wall Street expectations. The social media platform projected Q1 revenue between $951 million and $971 million, below analyst estimates of $980.1 million.

#Pinterest$PINS, Q4-25.

Results:
Adj. EPS: $0.67
Revenue: $1.31B
Net Income: $277M
All-time high of 619M global monthly active users. pic.twitter.com/72yH2tqqZN

— EarningsTime (@Earnings_Time) February 12, 2026

The disappointing forecast comes as retailers face pressure from new tariffs. Many of Pinterest’s largest advertising customers have cut spending to protect their profit margins.

Chief Financial Officer Julia Donnelly said major retailers hit by tariffs are pulling back on advertising across the industry. The company’s higher mix of large retail advertisers created a bigger impact on revenue.

Pinterest, Inc., PINS

Fourth-quarter revenue climbed 14% to $1.32 billion. The result came in just below analyst expectations of $1.33 billion. Earnings per share hit 67 cents, slightly missing the 68-cent forecast.

Competitive Pressure Mounts

Pinterest faces growing competition from social media giants like TikTok and Instagram. These platforms offer advertisers access to larger user bases and more sophisticated AI targeting tools.

“Competition from larger platforms such as TikTok and Instagram is likely to remain a structural headwind,” said Longdley Zéphirin, CEO of The Zephirin Group. Advertisers continue to favor platforms with superior targeting and engagement capabilities.

Analysts at Jefferies warned that Pinterest faces “tangible AI bear narrative” risks. The threat isn’t hypothetical. Unlike other companies where AI disruption requires assumptions about rapid progress, Pinterest’s AI risk is immediate given its core use case.

“While AI downside for many names in our coverage requires assumptions around rapid, exponential AI progress, PINS’ AI risk is more immediate,” the Jefferies team wrote. The analysts said the company’s cheap valuation still makes it challenging for buyers to step in.

User Growth Provides Bright Spot

Pinterest ended 2025 with 619 million global monthly active users. The figure beat Wall Street estimates of 606 million and marked growth from 553 million users in 2024. The increase shows the platform’s core product remains popular with consumers seeking inspiration for home decor, fashion, and recipes.

The company cut 15% of its workforce last month. Management positioned the move as a shift toward AI-powered products. Investors viewed the restructuring as defensive rather than strategic.

CEO Bill Ready told analysts he wasn’t satisfied with Q4 revenue performance. He said the results don’t reflect what Pinterest can deliver over time.

Ready acknowledged the company absorbed an “exogenous shock” from tariffs affecting top retail advertisers. He added that the quarter showed where Pinterest needs to move faster.

New Leadership and AI Strategy

Pinterest hired former Spotify ads head Lee Brown as chief business officer. The company also brought on longtime Amazon executive Claudine Cheever as chief marketing officer. Both appointments aim to strengthen Pinterest’s advertising business.

The company is pushing its expanded AI-powered Performance+ ad suite. Ready said Pinterest plans to keep AI at the core of everything it does. This includes personalized user experiences, new features like Pinterest Assistant, and advertiser tools.

“Our differentiation is clear. We’re using AI to power visual search, discovery, and shopping, not general-purpose text-based search,” Ready said. The company must convince advertisers who already have sophisticated tools on larger platforms, according to Jeremy Goldman, senior director at eMarketer.

Pinterest’s softer outlook contrasts with stronger results from rivals Snap and Reddit. Both competitors benefited from their respective AI tools. Pinterest shares have lost 52% over the past year heading into Thursday’s results.

The company’s first-quarter guidance and competitive challenges present a tough road ahead. Donnelly said the higher mix of large retailers resulted in a bigger impact from tariff-related advertising cuts.

The post Pinterest (PINS) Stock Falls 18% on Weak Q1 Revenue Forecast and Tariff Pressures appeared first on CoinCentral.

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Filed under: News - @ February 13, 2026 10:28 am