Optimistic Outlook for Pinterest: Buy Rating with Raised Price Target to $42

Analyst Ken Gawrelski of Wells Fargo maintained a Buy rating on Pinterest (PINS – Research Report), with a price target of $42.00.

Ken Gawrelski has given his Buy rating due to a combination of factors, including an optimistic outlook for Pinterest’s financial performance. The company is expected to see a modest increase in revenue and EBITDA for the second quarter of 2025, driven by strong user engagement and advertising momentum, particularly in the UCAN region. The stabilization of the tariff environment is also anticipated to contribute positively to revenue growth in the third quarter.
Furthermore, the company’s ability to expand its margins and manage costs effectively is highlighted, with a notable margin expansion forecasted for both the second and third quarters. The return of cross-border e-commerce advertisers and the sustained growth in monthly active users further bolster the positive outlook. Consequently, Gawrelski has raised the price target for Pinterest to $42, reflecting confidence in the company’s continued growth and financial health.

Gawrelski covers the Communication Services sector, focusing on stocks such as Alphabet Class A, Match Group, and DoorDash. According to TipRanks, Gawrelski has an average return of 16.6% and a 69.01% success rate on recommended stocks.

In another report released on June 25, Citi also maintained a Buy rating on the stock with a $44.00 price target.