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KeyBanc Trims Target on Pinterest (PINS) to $35, Citing Falling Valuation Multiples

Pinterest Inc. (NYSE:PINS) is one of the 11 Best Beaten Down Growth Stocks to Buy Now.

On February 3, KeyBanc trimmed its target price on Pinterest by 12.5% to $35 (from $40) while retaining its Overweight call on the company. The firm cited falling valuation multiples (P/E and EV/EBITDA) across the industry as the main factor influencing its decision. KeyBanc also added that it expects a volatile quarter for Pinterest due to intensifying competition for incremental ad budgets.

Mizuho echoed similar sentiments, cutting its target price on Pinterest to $35 (from $45) on February 3 while keeping an Outperform rating on the shares. The firm sees similar challenges in the short run for Pinterest’s fundamentals but believes that these are already priced into the shares.

These updates come just after Pinterest announced its global restructuring plan on January 26. The plan will involve cutting 15% of the company’s workforce over the next nine months and will cost $35 million to $45 million initially in restructuring charges.

BofA, in its January 28 research note, estimated that this move could lead to $300 million in annualized savings for Pinterest and could boost the company’s EBITDA margins to the low-30s. The bigger takeaway, however, is that this restructuring plan could be an indication that the weak ad revenue seen in 2025 has carried over to the 1st quarter of 2026, thus triggering the need for this restructuring plan.

Since the announcement of this restructuring plan, Pinterest’s stock price has fallen as much as 25.4% to $19.32 (from $25.90), before recovering slightly to $19.60. Despite this fall and the recent string of target price cuts over the past week, analysts still have a bullish view on Pinterest. This conviction is evident in the median analyst target price of $35.00, according to CNN data, implying a potential upside of 78.57%.

Pinterest Inc. (NYSE:PINS) is a pinboard-style photo-sharing website, headquartered in San Francisco, California, and founded in October 2008 by Benjamin Silbermann, Paul C. Sciarra, and Evan Sharp.

While we acknowledge the risk and potential of Pinterest Inc. (NYSE:PINS) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PINS and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 Best Cheap Stocks to Buy Right Now and Cathie Wood’s Stock Portfolio: Top 10 Stocks to Buy.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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