Pinterest Earnings: Momentum Continues to Build With Users and Advertisers

In line with our expectation for accelerating growth, Pinterest delivered strong first-quarter results as user engagement and monetization continued to improve. Management expects strong growth to continue as recent efforts to attract more ad dollars attract more advertisers. The firm also plans to ramp up operating expense growth to invest further in artificial intelligence and sales personnel. We are maintaining our $43 fair value estimate, leaving the shares roughly fairly valued after rallying on earnings.