Pinterest Rides on Solid Customer Growth: Will the Uptrend Continue?

Core Insights - Pinterest, Inc. (PINS) has achieved a record high of 570 million global monthly active users (MAUs) in Q1 2025, reflecting steady growth across all regions [1][9] - The company is establishing a unique value proposition for advertisers, enhancing its advertising platform to attract consumer discretionary brands [2] - Recent innovations include AI-Powered Auto-Collages, which create personalized and shoppable visual content, driving user engagement [3][4] User Growth and Engagement - MAUs in the United States and Canada are projected to reach 106 million, a 5% year-over-year increase in 2025 [5] - European MAUs are estimated at 158.8 million, indicating a 9.5% year-over-year growth [5] - The rest of the world is expected to contribute 343.8 million MAUs, reflecting a solid 12% year-over-year increase [5] Competitive Landscape - Pinterest faces competition from Meta Platforms, which has increased user engagement through AI, achieving 3.43 billion Family Daily Active People, up 5.9% year-over-year [6] - Snap has also seen growth, with 460 million daily active users, up 9% year-over-year, although North America's DAU decreased by 1% [7] Financial Performance and Estimates - Pinterest shares have declined by 20.3% over the past year, contrasting with the Internet - Software industry's growth of 38.6% [8] - Earnings estimates for 2025 have increased by 2.22% to $1.84 per share, while 2026 estimates rose by 2.9% to $2.13 [11] - The company's shares currently trade at a price/sales ratio of 5.37, lower than the industry average [10]