Heat a dry skillet over medium heat. Add the pine nuts and toast them for 3-4 minutes, shaking the pan frequently until golden and fragrant. Remove from heat and set aside.
In a food processor, combine fresh basil leaves, toasted pine nuts, grated Parmesan cheese, minced garlic, and olive oil. Blend until smooth and creamy, scraping down sides as needed. Season with salt and pepper.
Bring a large pot of salted water to a boil. Add the gnocchi and cook according to package instructions (about 2-3 minutes until they float). Drain using a slotted spoon or colander, reserving a small cup of pasta water.
In a large skillet over medium heat, cook the frozen peas for 2-3 minutes until tender and bright green. Pour in the heavy cream and stir to combine. Add the prepared basil pesto and stir until smooth and heated through.
Add the drained gnocchi to the skillet and gently toss in the creamy pesto sauce. If sauce is too thick, add reserved pasta water to loosen. Season with additional salt and pepper to taste.
Plate the gnocchi and peas, garnishing with extra grated Parmesan and fresh basil leaves if desired. Serve warm.
