Pinterest (PINS) Shares Soar 2.40% on Analyst Upgrades

Pinterest (PINS) shares surged 2.40% today, marking the third consecutive day of gains, with a cumulative increase of 5.32% over the past three days. The stock price reached its highest level since February 2025, with an intraday gain of 4.82%.

The strategy of purchasing Pinterest (PINS) shares after they reached a recent high and holding for one week yielded moderate returns but underperformed the broader market. Here's a detailed analysis:

Recent High Point: The recent high point for PINS was $35.42, reached on July 11, 2025.

One-Week Holding Performance:

- The closing price of PINS one week later, on July 18, 2025, was $36.86.

- This represents a gain of approximately 3.5% over one week.

Annualized Return Calculation:

- To find the annualized return, we can use the formula:

- For a 3.5% change over 7 days:

- This is equivalent to a 5% annualized return.

Comparison with S&P 500:

- The S&P 500's annualized return over the same period was approximately 8%, which is higher than the 5% annualized return of the PINS strategy.

Conclusion: While the strategy provided some growth, it did not keep pace with the broader market's performance. This suggests that for long-term growth, investors may want to consider more aggressive strategies or a longer investment horizon.

In conclusion, while the strategy of buying PINS upon reaching a recent high and holding for one week resulted in a 5% annualized return, it was lower than the S&P 500's return during the same period. This indicates that for investors seeking higher returns, more aggressive strategies or a longer investment horizon might be more suitable.

Analysts' positive outlook on Pinterest has been a significant driver of the recent stock price increase. Morgan Stanley upgraded Pinterest's rating from "equal weight" to "overweight," and raised the price target to $45.00. This upgrade reflects a bullish sentiment towards the company's future prospects, likely contributing to the stock's upward momentum.

In addition to Morgan Stanley's upgrade, Roth Capital also increased its target price for Pinterest from $29 to $40. This adjustment suggests a positive outlook on the stock's future performance, further bolstering investor confidence and driving the stock price higher. The combined effect of these analyst upgrades has likely played a crucial role in Pinterest's recent stock price appreciation.