Pinterest (PINS) shares dropped more than 18% in after-hours trading following a disappointing fourth-quarter earnings report.
The company reported Q4 revenue of $1.32 billion, missing the $1.33 billion consensus estimate. Management also issued a first-quarter sales forecast that fell below analyst expectations.
Management attributed the shortfall to reduced advertising spend from large retailers impacted by tariffs.
Evercore ISI downgraded the stock to In Line from Outperform and slashed its price target to $25. Analysts cited decelerating growth and rising competition as primary concerns.