Company and Industry Overview * **Company**: Pinterest, Inc. (NYSE:PINS) * **Industry**: Social media, e-commerce, visual search * **Event**: Goldman Sachs Communacopia + Technology Conference, September 11, 2024 * **Participants**: Bill Ready - CEO of Pinterest, Eric Sheridan - Goldman Sachs Key Strategic Priorities * **User Growth and Engagement**: Pinterest has seen eight consecutive quarters of user growth and is focusing on increasing engagement through shoppable content, curation, and AI-driven recommendations. * **Monetization**: The company is expanding its monetization efforts by targeting lower funnel advertising and leveraging its unique user behavior data. * **AI and Machine Learning**: Pinterest is leveraging AI to improve recommendation relevance, personalize user experiences, and enhance ad targeting. User Growth and Engagement * **User Growth**: Pinterest has seen eight consecutive quarters of user growth, with record levels of new users and deeper engagement per user. * **Shoppable Content**: Pinterest has transformed from a window shopping platform to a shoppable platform, allowing users to click, convert, and buy directly from the platform. * **Curation**: Pinterest's unique curation behavior provides valuable insights into user preferences and interests, which are used to improve recommendations and personalize user experiences. * **AI-Driven Recommendations**: Pinterest's AI algorithms analyze user behavior and preferences to deliver highly relevant recommendations, driving engagement and user satisfaction. Monetization * **Lower Funnel Advertising**: Pinterest is focusing on lower funnel advertising, targeting users who are actively looking to purchase products. * **Performance Advertising**: The company is gaining share in performance budgets by offering tools and solutions that help advertisers drive clicks and conversions. * **Third-Party Partnerships**: Pinterest has formed partnerships with third-party platforms like Amazon and Google to expand its ad inventory and reach. AI and Machine Learning * **AI-Driven Recommendations**: Pinterest's AI algorithms analyze user behavior and preferences to deliver highly relevant recommendations, driving engagement and user satisfaction. * **Computer Vision**: Pinterest is leveraging computer vision to analyze images and provide more accurate and personalized recommendations. * **Large Language Models**: Pinterest is using large language models to improve the relevance of its recommendations and personalize user experiences. Competitive Landscape * **Unique User Behavior**: Pinterest's unique user behavior and curation signals provide a competitive advantage over other social media and e-commerce platforms. * **Focus on Lower Funnel Advertising**: Pinterest's focus on lower funnel advertising differentiates it from other social media platforms that primarily focus on upper funnel advertising. * **AI and Machine Learning**: Pinterest's AI capabilities give it a competitive edge in delivering personalized and relevant user experiences. Gen Z * **40% of Users**: Gen Z represents the largest and fastest-growing demographic on Pinterest, accounting for more than 40% of the platform's user base. * **Shopability and Curation**: Gen Z users are drawn to Pinterest's shopability and curation features, which allow them to discover new products and express their personal style. * **Positive Alternative to Social Media**: Pinterest provides a positive alternative to social media, offering a space for users to invest in themselves and discover new ideas.

Core Viewpoint - Pinterest is experiencing sustained user growth and engagement, driven by strategic initiatives focused on making the platform more shoppable and actionable, enhancing user experience through unique curation behaviors, and leveraging AI for improved recommendations [5][6][9]. User Engagement and Growth - Pinterest has achieved eight consecutive quarters of user growth, with record levels of new users and increased engagement per user [6][10]. - The platform has transitioned from being primarily a window shopping site to a shoppable platform, enhancing user actionability and engagement [6][10]. - Unique curation behaviors allow users to create personalized outfits and room designs, providing valuable signals for AI-driven recommendations [8][9]. Monetization Strategy - The company is focusing on monetization through lower funnel offerings, with over two-thirds of revenue now coming from this segment [18][22]. - Pinterest is successfully integrating ads as valuable content, particularly in commercial contexts, which has led to increased ad load without negatively impacting user engagement [10][25]. - The introduction of tools like mobile deep linking and Performance Plus is driving clicks and conversions, with significant year-on-year growth in advertiser clicks [35][37]. Competitive Landscape - The macroeconomic environment is viewed as stable, with strong performance in retail advertising, particularly in lower funnel offerings [14][22]. - Pinterest is gaining share in performance budgets, with sophisticated advertisers allocating 5% to 10% of their budgets to Pinterest [19][40]. - The platform is positioned uniquely in the digital advertising space, focusing on user intent and curation behaviors that differentiate it from competitors [58][63]. AI and Technology Integration - AI is a core competency for Pinterest, significantly enhancing the relevance of recommendations and user engagement [46][56]. - The company has seen a 10 percentage point lift in recommendation relevance after implementing GPU serving for large models, demonstrating the effectiveness of its AI strategy [46][52]. - Pinterest is leveraging unique user signals to optimize AI models, resulting in a 300 basis point improvement in recommendation relevance when tuned to its specific data [52][56]. Demographic Trends - Gen Z now represents over 40% of Pinterest's user base, making it the fastest-growing demographic on the platform [68][72]. - The platform resonates with Gen Z due to its focus on positivity, curation, and shopability, providing a contrasting experience to traditional social media [70][72]. - Pinterest's ability to engage younger users is reflected in improved user engagement metrics, with new cohorts being twice as engaged as previous ones [73][74].

In the latest market close, Pinterest (PINS) reached $29.12, with a -0.99% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.45%. Meanwhile, the Dow lost 0.23%, and the Nasdaq, a tech-heavy index, added 0.84%. Shares of the digital pinboard and shopping tool company have appreciated by 1.38% over the course of the past month, outperforming the Computer and Technology sector's loss of 0.98% and lagging the S&P 500's gain of 2.54%. The investment communit ...

P TARIK KIZILKAYA Pinterest, Inc. (NYSE:PINS) has hardly rallied off the yearly lows, yet the social media company has consistently grown revenues over this period. The stock market has gone through a strange period where growth isn't always rewarded, unless the growth rate is consistent. My investment thesis remains ultra-Bullish on the stock, especially after the post-Q2 selloff. finviz Th PINS DAILY H32.72 L31.57 C32.02 Vol6,77M O 32.72 SMA 20 SMA 50 SMA itothiologicannially Jul Apr Source: Finviz Incons ...

Pinterest, Inc. (PINS) is currently witnessing a downtrend in estimate revisions after the second-quarter 2024 earnings release. Earnings estimates for Pinterest for 2024 have moved down 2.1% to $1.43 over the past 30 days, while the same for 2025 have decreased 2.3% to $1.72. The negative estimate revision portrays bearish sentiments about the stock's growth potential. Image Source: Zacks Investment Research What Ails Pinterest? Pinterest expects operating expenses to increase substantially in the near ter ...

dill 5./15 WEST Introduction & Investment Thesis I last covered Pinterest (NYSE:PINS) on June 13, where I reiterated my "buy" rating as it continued to demonstrate progress against its strategic initiatives to deepen user engagement, especially among Gen Z's, by leveraging AI to drive higher relevance and personalization while building lower funnel solutions for advertisers to drive higher monetization and ROI in ad spend. Although the stock had initially climbed 31% from my first "buy" rating to a price of ...

Amazon has partnered with TikTok and Pinterest to let the users of those social media apps buy products from Amazon without leaving those apps. This offering is designed to make it more convenient for Amazon customers to shop on those social media platforms, an Amazon spokesperson told Bloomberg in a report posted Thursday (Aug. 8). "Customers who choose to link their accounts in the U.S. will see real-time pricing, Prime eligibility, delivery estimates and product details on select Amazon product ads in Ti ...

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Pinterest. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

As Pinterest looks to become a central figure in the social commerce space, the company is integrating more directly shoppable features across the platform to drive sales. The addition of new filters such as price, retailer and brand on high shopping intent search queries across fashion and home decor verticals has been helping users tailor their searches to their preferences and budgets, driving engagement. Consumers want improved personalized shopping experiences. PYMNTS Intelligence's report "Personalize ...

Financial Data and Key Metrics - Q2 global MAUs reached a record high of 522 million, growing 12% YoY [5] - Q2 revenue was $854 million, up 21% YoY, driven by lower funnel offerings [5] - Adjusted EBITDA for Q2 was $180 million, with a 21% margin, up 600 basis points YoY [11] - Cash, cash equivalents, and marketable securities stood at $2.7 billion at the end of Q2 [71] Business Line Data and Key Metrics - Investments in AI have improved content relevance and personalization, leading to better user engagement [14] - Guided search has shown strong product-user fit, especially with episodic users [16] - Collages, a new content format, are saved three times more often than traditional pins, particularly by Gen Z users [19] - Outbound clicks to advertisers more than doubled YoY for the third consecutive quarter [20] - Shoppable video ads have driven higher click-through rates and lower cost per action compared to static catalog ads [22] Market Data and Key Metrics - US and Canada revenue grew 19% YoY to $673 million, driven by retail and emerging categories like technology, autos, and financial services [36] - Europe revenue grew 25% YoY to $143 million, with strength in retail [36] - Rest of World revenue grew 32% YoY to $38 million, with strong growth in emerging markets [67] - Ad impressions grew 35% YoY, while ad pricing declined 11% YoY [67] Company Strategy and Industry Competition - The company is focusing on becoming a full-funnel ad platform, with significant investments in lower funnel offerings [23] - Over half of large advertisers are using multiple campaign objectives, leading to higher conversion rates [25] - The company is leveraging AI and automation tools like Performance+ to improve campaign performance and reduce advertiser workload [28][31] - Third-party demand partnerships are contributing to revenue growth, particularly in under-monetized markets [59][69] Management Commentary on Operating Environment and Future Outlook - Management highlighted the momentum in user growth and revenue, driven by strategic initiatives [10] - The company expects Q3 2024 revenue to be in the range of $885 million to $900 million, representing 16% to 18% YoY growth [99] - Foreign exchange is expected to be a 1-point headwind in Q3 [100] - The company anticipates continued margin expansion in 2024, albeit at a more modest level than in 2023 [74][102] Other Important Information - The company does not accept political ads, which differentiates it from other platforms [109] - Pinterest is seeing broad-based user growth across all demographics and geographies, with Gen Z being the fastest-growing segment [134] - The company is making progress in monetizing international markets through third-party partnerships and resellers [120][147] Q&A Session Summary Question: Macro factors impacting Q3 growth - Management attributed the deceleration in Q3 growth to tougher comps and FX headwinds, partially offset by partner revenue and ad load increases [106][108] Question: User engagement trends and ad load - User engagement is improving, with deeper penetration among mobile app users and increased outbound clicks [113][140] - Ad load is increasing, with ads being seen as great content in commercial contexts [139] Question: Competitive positioning in the digital advertising ecosystem - Pinterest is seeing strength in retail due to lower funnel improvements, with more than doubled clicks to advertisers YoY for three consecutive quarters [85][86] Question: Performance+ rollout and adoption - Performance+ is expected to follow a multi-quarter adoption curve, similar to previous lower funnel launches [31][126] - Early testers of Performance+ have seen significant improvements in cost per action and click-through rates [89][126] Question: Third-party partnerships and monetization - Third-party demand partnerships are ramping up, with contributions from Amazon and Google, and are expected to continue growing [129][157] - Resellers are also contributing to monetization in international markets [130][147] Question: US user growth and engagement - In mature markets like the US, the focus is on deepening engagement rather than increasing user growth, with improvements in clicks and curation signals [161][162] Question: Lower eCPMs from third-party ads - Lower eCPMs in under-monetized markets are in line with expectations, and the company expects them to rise over time as demand increases [171]