SHAREHOLDER ALERT: Lowey Dannenberg, P.C. Files Securities Class Action Lawsuit Against Pinterest Inc. on Behalf of Investors Who Acquired Shares from May 16, 2019 to November 1, 2019 and Encourages Investors to Inquire About the Lead Plaintiff Position Before the January 22, 2021 Lead Plaintiff Deadline

NEW YORK, Nov. 23, 2020 (GLOBE NEWSWIRE) -- Lowey Dannenberg P.C., a preeminent law firm in obtaining redress for consumers and investors, has filed a federal securities class action in the United States District Court Northern District of California on behalf of its client and all similarly situated investors who purchased or otherwise acquired common stock of Pinterest Inc. ("Pinterest" or "the Company") (NYSE: PINS) from May 16, 2019 to November 1, 2019, inclusive (the "Class Period"). The class action alleges violations of the federal securities laws.

Headquartered in California, Pinterest is an image sharing and social media service comprised of small images or “pins” for finding ideas like recipes, home décor and style inspiration. Pinterest’s primary source of revenue is advertising revenue. The Company readily admits that its financial and operational well-being critically depends on its ability to grow its base of monthly active users. Pinterest measures the monetization of its platform through Average Revenue per User (“ARPU”).

On October 31, 2019, the Company announced its financial results for the quarter ended September 30, 2019. The Company reported disappointing financial results, including 8% growth in the U.S. MAUs year over year, reaching 87 million, only 8 million more than the same period of the previous year. Pinterest also missed its consensus projections and reported lower than expected U.S. advertising revenue. The Company only marginally increased its full year 2019 guidance, implying further deceleration in the future quarters. On this news, the price of the Company’s shares steeply declined by 17%, to close at $20.86, on November 1, 2019, on unusually high trading volume.

The Complaint alleges that Pinterest made false and misleading statements to the public throughout the Class Period and failed to disclose that: (i) the Company’s addressable market in the U.S. was reaching its maximum capacity; (ii) which significantly decelerated Pinterest’s future ability to monetize on U.S. average revenue per user; (iii) Pinterest was at an increased risk of losing advertising revenue; (iv) and as a result, Defendants’ public statements were materially false and misleading at all relevant times or lacked a reasonable basis and omitted material facts.

If you wish to serve as Lead Plaintiff for the Class, you must file a motion with the Court no later than January 22, 2021. Any member of the proposed Class may move to serve as the Lead Plaintiff through counsel of their choice.

If you have suffered a net loss from investment in Pinterest’s common stock from May 16, 2019 to November 1, 2019, you may obtain additional information about this lawsuit and your ability to become a Lead Plaintiff, by contacting Christian Levis at clevis@lowey.com or by calling 914-733-7220 or Andrea Farah at afarah@lowey.com or by calling 914-733-7256. The class action is titled Hessong v. Pinterest Inc., No. 3:20-cv-08243 (N.D. Cal.).