UBS analyst Stephen Ju maintained a Buy rating on Pinterest today and set a price target of $48.00.
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Stephen Ju has given his Buy rating due to a combination of factors including the resilience shown by Pinterest’s international markets, which have demonstrated accelerating revenue growth, particularly in the EU and ROW regions. Despite challenges in the US and Canada due to tariff impacts on large retail advertisers, the overall growth trajectory is supported by the strong performance in other regions, which helps offset the domestic shortfall.
Additionally, Pinterest’s user metrics remain robust, with US/Canada maintaining over 100 million MAUs for four consecutive quarters and ROW MAUs growing at a faster rate than global averages. The company’s strategic partnerships with major players like Amazon and Google are expected to further drive revenue growth, particularly internationally. Although there are concerns about competitive pressures and moderate margin expansion, the long-term profit margin expectations and the limited downside risk after recent stock derating support the Buy rating.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $44.00 price target.