Pinterest (PINS) Surges 5.96% on Bargain-Hunting as Firm Falls to Record Low

Pinterest Inc. (NYSE:PINS) was one of the standout performers in the stock market on Friday, with its share prices jumping by 5.96 percent to close at $17.77 per share. This surge came after the stock hit a nearly six-year low earlier in the week, prompting investors to take advantage of the bargain prices.

The rally on Friday marked Pinterest’s fifth consecutive day in the green as investors flocked to buy shares at the discounted price. The stock had dropped to a record low of $13.84 just four trading days ago following a weak earnings performance last year.

During the same period, the company reported a 78 percent drop in net income to $416.8 million from $1.86 billion in 2024. However, revenues saw a 17 percent increase to $4.2 billion from $3.6 billion year-on-year.

In the fourth quarter alone, Pinterest’s net income plummeted by 85 percent to $277 million from $1.8 billion in the same quarter a year earlier. Despite this decline, revenues still managed to climb by 13 percent to $1.3 billion from $1.15 billion year-on-year.

CEO Bill Ready reassured investors that the company remains focused on execution and is actively working to align monetization efforts with commercial intent to drive growth.

Looking ahead, Pinterest is targeting revenue growth of 11 to 14 percent for the first quarter of the year, with a projected range of $951 million to $971 million. Adjusted EBITDA is also expected to fall between $166 million and $186 million.

While Pinterest shows promise as an investment, some AI stocks may offer greater potential for higher returns with limited downside risk. Investors seeking opportunities in the AI sector may want to explore options beyond Pinterest.

For more investment insights, including opportunities in the AI sector, readers can check out our free report on the best short-term AI stock. Additionally, those looking for stocks with significant growth potential may want to explore our articles on 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article was originally published on Insider Monkey.