We recently published 10 Big Names With Painful Declines. Pinterest Inc. (NYSE:PINS) was one of the worst performers on Tuesday.
Pinterest fell by 9.61 percent on Tuesday to close at $23.41 apiece as investors took path from news that it would let go of 15 percent of its total workforce and slowly transition to artificial intelligence.
In a regulatory filing, Pinterest Inc. (NYSE:PINS) said that its board of directors approved a global restructuring plan that would see the layoff of several workers as well as the reduction of office spaces. It said the initiative is expected to spend around $35 million to $45 million.
Photo by Souvik Banerjee on Unsplash
“The company is taking these actions to support its transformation initiatives, including but not limited to reallocating resources to AI-focused roles and teams that drive AI adoption and execution, prioritizing AI‑powered products and capabilities, and accelerating the transformation of its sales and go-to-market approach,” Pinterest Inc. (NYSE:PINS) said.
“Although the company is reducing its overall staffing levels with these actions in the near term, [it] plans to reinvest in key development areas and strategic opportunities. The company expects to complete the plan by the end of its third quarter, ending September 30, 2026, subject to local law and consultation requirements,” it noted.
Pinterest Inc. (NYSE:PINS) is set to hold a call after market close on February 12 to discuss its earnings performance in the fourth quarter and full-year 2025. Investors will be closely watching its outlook for 2026, alongside further details about its restructuring initiative.
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Disclosure: None. This article is originally published at Insider Monkey.
