** Shares of image-sharing platform Pinterest fall 3.4% to $29.61 premarket
** Jefferies downgrades rating on stock to "hold" from "buy" and cuts PT to $32 from $40, which still represents an upside of ~4% to stock's last close of $30.66
** Brokerage says it believes new products like Performance+ are too early to drive the mid-teens revenue growth implied in Wall Street's Q1'25 estimate
** The pace of margin expansion is likely to slow following the last 2 years of infrastructure cost optimization efforts - brokerage
** PINS faces challenges shifting from small-scale experimental brand budgets to larger, consistent "always on" performance ad investments - brokerage
** Jefferies says PINS' third party partnerships with Amazon, Google are less incremental to growth than the brokerage had expected
** 29 of 41 brokerages rate the stock "buy" or higher, 12 "hold"; their median PT is $38 - LSEG-compiled data
** PINS stock fell ~22% in 2024
(Reporting by Jaspreet Singh in Bengaluru)
((Jaspreet.Singh@thomsonreuters.com ; ))
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