Pinterest stock hit by disappointing Q3 revenue forecast

Pinterest (PINS) stock is moving lower in Wednesday morning's pre-market trading — dipping lower after the market open — after the social media platform's third quarter revenue guidance disappointed Wall Street expectations. The website's second quarter earnings results inched past revenue and profit estimates, while citing pullbacks in advertising revenue per user.

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This post was written by Luke Carberry Mogan.

Transcripción del vídeo

Let's take a look at Pinterest.

That stock is among the trendy ticket here at Yahoo Finance.

Today's shares, moving to the downside, they're sinking after giving guidance for its third quarter that disappointed the street.

Now investors, the company is now executing or expecting excuse me, revenue to come in between 885 to $900 million below expectations of $907 million.

So it was that guidance that the streets really taking issue with why we're seeing shares drop of just about 7% here this morning, digging into this just a little bit more.

There clearly is some fear that Pinterest ad pricing weakness is going to persist for some time.

Brad.

That was my takeaway from this quarter.

We talked about muted engagement trends, something that Pinterest has been trying to correct here over the last couple of quarters.

But again, us and Canada average revenue per user falling below the street's expectations.

So a number of things that the street is taking issue with within this.

Yeah.

No, I'm with you.

Uh Also what's old is new again, collage is on the comeback.

According to Pinterest, it would be interesting to see how that plays out.

I heard our producer laughing about that when I mentioned that.

Uh So I, I think that we should all give that a shot.

I'm gonna give it a shot here anyway.

Um But at the end of the day, yeah, it's what you mentioned.

Tougher comps, collages.

We'll see if that saves the business.

And then ultimately, you've got some advertiser, budget adjustments here and, and they mentioned and acknowledged that it depends on a variety of factors, seeing performance appear in their individual measurement sources of truth, the level of resourcing required to implement incremental campaigns.

So all these things considered, uh there are a few verticals that actually were laggards in this most recent quarter.

Um But emerging verticals like technology, autos and financial services sources of strength here.

So we'll see if, uh I don't know the cars are enough to really boost the sales for printers in the advertising revenue anyway.