Pinterest (PINS) stock trades 44.2% below its highest close of the past two years, $40.00 on February 7, 2025, and cash generated over the last twelve months equals 10.2% of its market value, versus 4.3% for the median S&P 500 company. Free cash flow rose to $1,280 million in the twelve months to June 2026, from $1,047 million a year earlier and $370 million in the twelve months to June 2023, while sales grew 16.6%. Pinterest held $1,275 million of cash and short-term investments at June 30, 2026, roughly matching its $1,197 million of debt, which stood at $137 million a year earlier. Costs have outpaced sales: the fiscal Q2 2026 operating margin was -3.5% versus -0.4% a year earlier, and management guided fiscal Q3 revenue growth of 13% to 15%, down from 18%, while raising its full-year adjusted EBITDA margin expectation to about 30% from about 29%. The article says the share price appears to assume slower growth and higher costs will erode cash, and points to the fiscal Q3 report expected on October 29, 2026 as the next test.
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