Snap Inc. (NYSE:SNAP) Stock Rating Reaffirmed by Barclays PLC

  • Snap Inc. (NYSE:SNAP) Stock Rating Reaffirmed by Barclays PLC

Snap Inc. (NYSE:SNAP) Stock Rating Reaffirmed by Barclays PLC

The fund owned 42,406 shares of the company's stock after buying an additional 2,530 shares during the period.

Snap also missed its revenue estimates of US$185-million by just US$4-million this quarter. WFG Advisors LP purchased a new stake in shares of Snap during the first quarter valued at approximately $109,000. Parent company Snap Inc. should be doing better by now in generating sales.

The company announced overnight that its revenues were growing by only a small amount, and sent its shares into freefall. The stock has a 50-day moving average price of $15.27 and a 200 day moving average price of $19.19. The firm's market capitalization is $16.23 billion. While that's a gain of 21 percent year-over-year, it represents growth of 4 percent (or 7 million new users) from the previous quarter, down from growth of almost 24 percent in the second quarter of 2014.

On the company's earnings call, Spiegel discussed the current state of Snap's ad offering. The business had revenue of $181.70 million for the quarter, compared to the consensus estimate of $186.49 million. It won't be easy for Snapchat to top $1 billion in revenue this year, as investors have expected.

In the second quarter, the struggling social network also reported lower-than-expected average revenue per user of $1.05. Its stock fell as much as 25% overnight following that report. If you are viewing this article on another publication, it was illegally stolen and reposted in violation of United States & worldwide trademark and copyright legislation. The correct version of this piece can be accessed at

SNAP has been the subject of several research analyst reports. Canaccord Genuity reaffirmed a "hold" rating and set a $22.00 price objective on shares of Snap in a report on Friday, May 12th. Shares were trading Thursday morning at $13.48. Goldman Sachs Group, Inc. Finally, Jefferies Group LLC reiterated a "buy" rating and issued a $30.00 price target on shares of Snap in a research note on Monday, May 22nd.

The only reason Snap was able to go public in March with relatively little revenue, a scant track record and a insane rate of cash burn was that the company has been clever about repeatedly coming up with fresh ideas to keep its mostly young fans returning to the app. Nine research analysts have rated the stock with a sell rating, twenty-one have given a hold rating and fourteen have assigned a buy rating to the company. Snap has a consensus rating of "Hold" and an average price target of $21.02.

Uber Technologies Inc. faced a fresh round of turmoil Thursday, with its chief of global operations resigning and investors suing the company's former CEO. The Company's flagship product, Snapchat, is a camera application that helps people to communicate through short videos and images known as a Snap.