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Pinterest (PINS) delivered mixed results for 3Q25, reporting an EPS miss while achieving in-line revenue. The company’s midpoint guidance for Q4 revenue fell short of consensus, and management’s cautious commentary on macro uncertainty and new tariffs has sent shares sharply lower.

• Revenue grew 17% yr/yr to $1.049 bln, meeting expectations, but PINS missed on EPS due to increased investments and a negative ad mix shift driven by international expansion, which carries lower ad pricing.
• Q4 revenue guidance of $1.313-$1.338 bln (14-16% yr/yr growth) puts the midpoint slightly under Street expectations, reflecting ongoing uncertainty around tariffs and continued “pockets of moderating ad spend,” especially among large U.S. retailers coping with related margin pressures.
• Management said a new tariff in Q4 is “impacting the home furnishings category,” compounding their conservative tone. There are ongoing concerns about the digital ad environment, with particular mention of market uncertainty and “broader trends” impacting spend.
• Intensifying competition from Alphabet (GOOG) and Meta Platforms (META) is evident in PIN’s subdued results and outlook, especially as both rivals recently posted stronger quarters.
• PIN’s challenges in fully capturing performance budgets and continuing adoption of AI-driven ad tools is highlighted as an area lagging behind larger peers.
• On a positive note, global Monthly Active Users (MAUs) surged 12% yr/yr to 600 mln, exceeding expectations, with accelerated strength in Gen Z and continuing international momentum.
• Europe revenue climbed 41% yr/yr to $193 mln, and Rest of World revenue soared 66% to $70 mln, supporting the narrative that robust international growth remains a major bright spot for PINS.

Briefing.com Analyst Insight:

PIN’s mixed print and modest Q4 guide are disappointing, especially in the context of heavyweights GOOG and META posting strong quarters and pointing to healthy digital ad recovery. Management’s warnings about market uncertainty and tariffs in Q4 -- especially in categories like home furnishings -- have cast a shadow, and investors are reacting accordingly. While strong international growth and record MAUs provide support, PINS remains in catch-up mode on ad tech innovation compared to peers. Until PINS demonstrates consistent outperformance and better monetization, especially in the U.S., the stock’s upside may remain capped.