Meta Platforms and Pinterest both reported double-digit revenue growth in the first quarter of 2026, but Meta's 40.6% operating margin and AI-driven ad momentum make it the preferred long-term pick over Pinterest's GAAP net loss and cash drain. Meta posted earnings per share of $10.44 on $56.311 billion in revenue, up 33.08% year over year, while Pinterest crossed $1 billion in quarterly revenue for the first time with $1.008 billion, up 17.84%, yet recorded a GAAP net loss of $73.6 million. Analysts target $822.69 for Meta against a recent price of $644.12, and Polymarket traders assign a 92.5% probability that Meta beats second-quarter earnings. Pinterest completed $1.946 billion in Class A buybacks that drained cash from $969 million to $378 million, an aggressive move for a company still running at a loss. Meta's massive capex guidance of $125 to $145 billion for the year and its Reality Labs operating loss of $4.03 billion remain key risks, but its return on equity of 32.9% and forward price-to-earnings ratio near 21 times support the bullish case.
Meta Platforms Inc.Meta's strong operating margin and earnings beat support bullish case.
Pinterest IncPinterest reported a GAAP net loss and cash drain from buybacks.
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