Elliott Investment Management has increased its stake in Pinterest, investing $1 billion in the startup. The fund first invested in the platform in 2022.
Pinterest CEO Bill Ready said that this investment is a sign of great confidence in the startup's strategy in the field of artificial intelligence. According to him, Pinterest achieved record revenue in 2025, the number of users increased for 10 consecutive quarters and the number of monthly searches on the platform exceeded 80 billion.
Under the agreement, Pinterest will buy back $1 billion worth of its shares. In addition, a new share buyback program totaling $3.5 billion was approved. The startup's shares rose 6% in over-the-counter trading after the news.
Pinterest has been under pressure over the past year due to weak financial results, 15% of its employees being laid off, declining advertising revenue and increasing competition from artificial intelligence chatbots. Nevertheless, Elliott’s investment shows continued confidence in the startup’s growth plans, particularly those focused on AI-powered visual search and personalized recommendation systems.
It should be noted that Elliott often requires strategic changes and cost reductions in the companies it invests in. For example, the fund has previously influenced the restructuring of the business at eBay. Therefore, the investor’s active role in Pinterest could result in new management and strategy changes in the future.
