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- Pinterest (NYSE:PINS) may be testing a advertising partnership with Google (NASDAQ:GOOG) (NASDAQ:GOOGL) in the U.S., Piper Sandler said, a move that could help boost the former’s targeting capabilities.
- Citing a code string “GTHRetarg” inside the Pinterest app, the investment firm believes the ad units could be search-related or help use audience data to retarget users on Pinterest, analyst Thomas Champion said. Champion has an Overweight rating and $48 price target on Pinterest.
- If the testing results in a partnership between the two companies, it’s notable in the sense that it is “more rapid of a rollout” than the partnership with Amazon (AMZN) and it’s “geographically more interesting” because Google was previously seen as supplementing the international business, Champion said.
- “As a reminder, AMZN was initially marketed as a [demand-side platform] partnership but was later known to more expansive,” Champion wrote. “It’s possible we are seeing a similar cadence play out with Google. Clearly, there remain many unknowns as to what may be a ‘test unit’ versus ‘live.'”
- Pinterest shares rose nearly 3% in premarket trading on Tuesday.
