Pinterest Inc.’s stock jumped 3% on Tuesday after executives forecast accelerated revenue growth following a slowdown dating to 2022.
Speaking at Pinterest’s
first investor day, executives said they expect a compound annual growth rate over the next three to five years in the mid- to high teens, compared with guidance in the high single digits for the third quarter. Pinterest’s sales grew less than 9% last year, and analysts are modeling 8% growth this year.
To get there, Pinterest rolled out new ad tools at its investor day, including integrations for Salesforce Inc.’s
Commerce Cloud and Adobe Inc.’s
Commerce native applications. Pinterest also discussed its ongoing AI development.
Pinterest later named Scott Schenkel, the former chief financial officer and interim chief executive of eBay Inc.
to its board of directors.
“We believe innovation has accelerated at Pinterest over the past nine months,” Roth MKM analyst Rohit Kulkarni said in a note before the conference. “Pinterest has launched new ad formats, shopping tools, and advertiser tools as the company seems focused on building a full-funnel advertising solution.”
Pinterest’s stock is up 8% in 2023, while the broader S&P 500 index
has risen 16% this year,