Pinterest Shares Jump Nearly 6% to $17.77 After Six-Year Low
Pinterest shares jumped 5.96% to $17.77 after falling to $13.84 four days earlier, marking a fifth daily gain. Net income fell 78% to $416.8 million on 17% revenue growth to $4.2 billion, while Q4 profit plunged 85% to $277 million.
1. Price Rebound After Record Low
Pinterest shares climbed 5.96% to close at $17.77, reversing a drop to a six-year low of $13.84 four trading days earlier. This gain marked the stock’s fifth consecutive day of advances driven by bargain-hunting activity.
2. Full-Year Financial Decline and Revenue Growth
For the full year, Pinterest’s net income tumbled 78% to $416.8 million even as revenues grew 17% to $4.2 billion. The sharp profit decline reflects higher operating costs and investments in monetization initiatives.
3. Fourth-Quarter Profit Plunge and Sales Increase
In Q4, net income plunged 85% to $277 million from $1.8 billion a year earlier, while revenues rose 13% to $1.3 billion. The quarter’s results underscore ongoing margin pressure despite accelerating topline growth.
4. Q1 Guidance and Outlook
Management is targeting first-quarter revenue growth of 11% to 14% to a range of $951 million to $971 million, with adjusted EBITDA forecast between $166 million and $186 million. Executives are focused on refining go-to-market efforts to align monetization with commercial intent.