Pinterest (PINS) Sold Off Despite Strong Results

3 weeks ago 11

Soumya Eswaran

Mon, April 6, 2026 astatine 8:07 AM CDT 4 min read

Lakehouse Capital, a Sydney-based concern manager, published its “Lakehouse Global Growth Fund” capitalist missive for November 2025. The period was characterized by important volatility successful the planetary equity market, on with persistent enthusiasm for Generative AI. A transcript of the missive is disposable to download here. Over the past year, the prevailing “risk-on” marketplace sentiment has led to a diminution successful the Fund’s quality-growth benignant of investing. Although the portfolio's marketplace worth has decreased implicit the past year, the underlying maturation fundamentals stay strong. For the month, the Fund posted a instrumentality of -7.5% aft fees and expenses, portion its benchmark, the MSCI All Country World Index Net Total Returns (AUD), returned -0.2%. Since its inception successful December 2017, the Fund returned 208.5%, surpassing its benchmark's 163.8%. In addition, delight cheque the Fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, Lakehouse Global Growth Fund highlighted stocks similar Pinterest, Inc. (NYSE:PINS). Pinterest, Inc. (NYSE:PINS) is simply a societal media and ocular find level that enables users to find ideas, specified arsenic recipes, home, and benignant inspiration. On April 2, 2026, Pinterest, Inc. (NYSE:PINS) closed astatine $18.18 per share. One-month instrumentality of Pinterest, Inc. (NYSE:PINS) was -9.15%, and its shares mislaid 29.48% implicit the past 52 weeks. Pinterest, Inc. (NYSE:PINS) has a marketplace capitalization of $12.09 billion.

Lakehouse Global Growth Fund stated the pursuing regarding Pinterest, Inc. (NYSE:PINS) successful its 4th fourth 2025 capitalist letter:

"Visual hunt and find platform, Pinterest, Inc. (NYSE:PINS), posted a coagulated quarterly effect that was mostly successful enactment with expectations. Revenue grew 17% (16% changeless currency) to $1.05 cardinal and adjusted EBITDA grew 24% to $306 million. Pleasingly, Pinterest's gross continues to beryllium driven by a steadfast premix of measurement and price. The company's monthly idiosyncratic number grew 12% to 600 cardinal (the highest level of sequential maturation successful 4 years), portion the firm's mean gross per idiosyncratic accrued 5% to $1.78. Pinterest besides continues to marque headway with its idiosyncratic buying experience, and importantly monetising that experience, arsenic the fig of unsocial buying SKUs with a paid advertisement content much than doubled year-on-year.

Despite providing what we believed was a coagulated update, Pinterest's banal sold disconnected astir 20% arsenic absorption struck a cautious code for 4Q guidance. Specifically, they noted they are seeing immoderate “pockets of weakness” successful North American advertisement walk arsenic immoderate of the largest retailers pulled backmost walk connected tariff related borderline pressure. In our view, these tiny “pockets of weakness” volition beryllium to beryllium impermanent headwinds and we instrumentality comfortableness successful absorption reiterating assurance successful their mid-term targets – i.e. mid teens gross maturation and 30-34% EBITDA margins.

Big picture, we inactive presumption Pinterest arsenic a differentiated, scaled level with important commercialized intent that is good placed to seizure incremental stock of advertizing budgets successful the years ahead. Coupled with an charismatic valuation of 14x net and implicit 12% of its marketplace capitalisation successful cash, we deliberation the risk/reward is attractive."

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