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Can Pinterest's Latest Visual Search Ads Boost Its Market Position?
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Key Takeaways
PINS adds Visual Search Ads to connect advertisers with users showing commercial intent.
Visual Search Ads use Pinterest Intelligence and Performance Plus to support lower-funnel advertising goals.
Pinterest adds Priority Products, A/B testing and App Promotion to expand advertiser tools and capabilities.
Pinterest, Inc. (PINS - Free Report) has introduced Visual Search Ads, a new performance advertising format designed to help brands reach consumers as they search, compare products and move closer to purchase decisions. The offering expands the company’s visual discovery platform by connecting user intent with more direct advertising opportunities.
Visual Search Ads will appear in Pinterest Search Results and Pin closeups, combining keyword relevance with visual discovery. With more than 80 billion monthly searches, mostly visual and more than half with commercial intent, the offering helps advertisers reach interested users and direct them to their websites. The feature is expected to enter beta for eligible advertisers across the company’s ad markets in the coming weeks.
The new ad format is powered by Pinterest Intelligence, artificial intelligence (AI) technology that understands images, products, preferences and user intent, while Performance+ supports lower-funnel advertising goals. The company is also adding Priority Products to give advertisers more control over promoted products during launches and promotions, along with self-serve A/B testing to compare different ads and targeting strategies.
For mobile-focused brands, App Promotion supports app installs and is in global beta, with one advertiser reporting up to an 85% lower cost per install. Pinterest is expanding its AI capabilities with Restyle, which lets users in the United States and Canada explore design ideas using their own photos. These initiatives could enhance the company’s advertising capabilities, improve monetization of user engagement and create additional growth opportunities.
How Are Competitors Faring?
Pinterest faces competition from SNAP, Inc. (SNAP - Free Report) and Meta Platforms, Inc. (META - Free Report) . SNAP is expanding its advertising tools with AI-powered solutions to improve targeting, campaign performance and measurement. The company is introducing new ad formats, including Sponsored Snaps, to help brands engage users in more interactive ways. SNAP is improving its advertising infrastructure with Unified Attribution and better app measurement to help advertisers track results and manage spending.
Meta is strengthening its advertising platform with AI to deliver more relevant ads and better campaign performance across Facebook and Instagram. Its AI tools also help advertisers create ads and measure results more effectively. Meta is adding more AI-powered creative tools to help brands develop and optimize campaigns.
PINS’ Price Performance, Valuation & Estimates
Pinterest shares have plunged 47.3% over the past year compared with the industry’s decline of 12.4%.
Image Source: Zacks Investment Research
From a valuation standpoint, Pinterest trades at a forward price-to-sales ratio of 1.94, below the industry tally of 4.17.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 5.6% to $2.06 over the past 60 days, while the same for 2027 have increased 3.5% to $2.35.
View the Zacks #1 Rank List
Image: Bigstock
Can Pinterest's Latest Visual Search Ads Boost Its Market Position?
Key Takeaways
Pinterest, Inc. (PINS - Free Report) has introduced Visual Search Ads, a new performance advertising format designed to help brands reach consumers as they search, compare products and move closer to purchase decisions. The offering expands the company’s visual discovery platform by connecting user intent with more direct advertising opportunities.
Visual Search Ads will appear in Pinterest Search Results and Pin closeups, combining keyword relevance with visual discovery. With more than 80 billion monthly searches, mostly visual and more than half with commercial intent, the offering helps advertisers reach interested users and direct them to their websites. The feature is expected to enter beta for eligible advertisers across the company’s ad markets in the coming weeks.
The new ad format is powered by Pinterest Intelligence, artificial intelligence (AI) technology that understands images, products, preferences and user intent, while Performance+ supports lower-funnel advertising goals. The company is also adding Priority Products to give advertisers more control over promoted products during launches and promotions, along with self-serve A/B testing to compare different ads and targeting strategies.
For mobile-focused brands, App Promotion supports app installs and is in global beta, with one advertiser reporting up to an 85% lower cost per install. Pinterest is expanding its AI capabilities with Restyle, which lets users in the United States and Canada explore design ideas using their own photos. These initiatives could enhance the company’s advertising capabilities, improve monetization of user engagement and create additional growth opportunities.
How Are Competitors Faring?
Pinterest faces competition from SNAP, Inc. (SNAP - Free Report) and Meta Platforms, Inc. (META - Free Report) . SNAP is expanding its advertising tools with AI-powered solutions to improve targeting, campaign performance and measurement. The company is introducing new ad formats, including Sponsored Snaps, to help brands engage users in more interactive ways. SNAP is improving its advertising infrastructure with Unified Attribution and better app measurement to help advertisers track results and manage spending.
Meta is strengthening its advertising platform with AI to deliver more relevant ads and better campaign performance across Facebook and Instagram. Its AI tools also help advertisers create ads and measure results more effectively. Meta is adding more AI-powered creative tools to help brands develop and optimize campaigns.
PINS’ Price Performance, Valuation & Estimates
Pinterest shares have plunged 47.3% over the past year compared with the industry’s decline of 12.4%.
Image Source: Zacks Investment Research
From a valuation standpoint, Pinterest trades at a forward price-to-sales ratio of 1.94, below the industry tally of 4.17.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 5.6% to $2.06 over the past 60 days, while the same for 2027 have increased 3.5% to $2.35.
Image Source: Zacks Investment Research
Pinterest currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.