Key Takeaways
- KeyBanc cut its Pinterest price target to $28 from $30 on Oct. 28 but kept its Overweight rating, and the new target is still 35% above the stock price.
- Pinterest shares are 42% below their high of a year ago. Growth slowed in the US and Canada, and the business in Europe ran into trouble.
- The $28 target is about 13x the earnings analysts expect over the next 12 months, barely above Pinterest’s average multiple over the past year.
- KeyBanc’s $28 looks like a fair target on estimates that have been rising since summer, and the Oct. 29 third-quarter report is the next test.
Pinterest (PINS) has had a rough year, with shares down 42% from their high of a year ago. But KeyBanc still sees a 35% rebound from here, even after a target cut.
Retailers and Europe pulled it down
The slide started with the fourth-quarter report in February. Revenue growth in the US and Canada, which brings in three-quarters of Pinterest’s revenue, slowed to 9%. Management said its heavy mix of large retailers made their tariff-driven pullback hit harder than it did at peers.
That business recovered to 18% growth in the second quarter. But in August, Pinterest guided to 13%-15% growth for the third quarter. Then-CFO Julia Donnelly said “we faced incremental pressure mid-quarter from Asia-based cross-border retailers impacted by regulatory actions, particularly in Europe, and that pressure is continuing in the third quarter.”
Donnelly resigned weeks later. On Sept. 9, CEO Bill Ready warned about challenges in the international business at Goldman Sachs’ Communacopia conference.
KeyBanc trims, but stays bullish
On Oct. 28, KeyBanc analyst Justin Patterson kept his Overweight rating on Pinterest and cut his price target to $28 from $30. That’s still [35%] above the [$20.82] share price, and just under the Street’s $29 consensus target.
Here’s how the stock gets there. Analysts expect Pinterest to earn about $2.18 a share over the next 12 months, so $28 works out to about 13x those earnings.
TIKR tracks 39 analysts on Pinterest. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on Pinterest, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Pinterest’s Analyst Ratings
Does $28 add up?
The consensus target has fallen from $44 a year ago to $29, with individual targets now running from $22 to $42.
Earnings estimates have gone the other way since summer. Analysts now expect normalized EPS of $2.02 for 2026, up from $1.90 three months ago, and $2.39 for 2027, up from $2.23.
That’s about 19% a year of earnings growth from 2025’s $1.60 to 2028’s $2.71. Thursday’s report could move them.
And the multiple sits near the bottom of its range. Pinterest traded at 9.4x forward earnings at the Oct. 27 close. That’s just above September’s low of 8.4x and far below its 5-year average of 24x.
KeyBanc’s roughly 13x is barely above the stock’s 12x average over the past year.
Normalized earnings leave out stock pay, though, and it’s big. Stock pay ran $880.5 million in 2025, 21% of revenue, and analysts expect just $0.42 a share of GAAP earnings for 2026. Pinterest also borrowed $1 billion this year to help buy back more than $2 billion of stock, so part of the per-share growth comes from a shrinking share count.
Even so, $28 looks like a fair target. It only asks Pinterest to hit estimates that have been rising since summer, at about the multiple it has held over the past year.
The test comes after the close on Thursday, Oct. 29, in the first report under new CFO James Dibbo. Pinterest has fallen after four of its last five reports. Growth in the US and Canada against the second quarter’s 18% will show whether the recovery is holding.
So what is Pinterest stock actually worth?
TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR’s valuation model and see what Pinterest could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It’s free to use.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any of the stocks mentioned. Thank you for reading, and happy investing!
