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Pinterest Sinks After Q4 Miss and Soft Outlook as Tariffs Hit Ad Spend

Tariff-driven pullbacks by large retailers are weighing on Pinterest’s advertising revenue.

Overview

  • Shares dropped roughly 19%–22% after the company guided Q1 revenue to $951 million–$971 million, below Wall Street estimates.
  • Fourth-quarter revenue rose 14% to about $1.32 billion with adjusted EPS of $0.67, while net income fell 85% to $277 million.
  • Management said tariff-related uncertainty prompted major retailers to cut marketing budgets, pushing ad prices down about 19% even as impressions rose about 41% and users reached a record 619 million.
  • Pinterest is restructuring after layoffs of under 15% to rebuild sales, broaden its advertiser mix, and scale AI-led products such as Performance+ and a beta Pinterest Assistant.
  • Brokerages issued downgrades and lower price targets as the company presses an AI and connected‑TV push, including the planned tvScientific acquisition that management said could modestly pressure near‑term margins.