#6 - Snap, Inc. (NYSE:SNAP)
Snap, Inc. (NYSE: SNAP) - Speaking of stocks that have a profit problem, there’s Snap. Snap has seen erosion in its core base of teenage users who are becoming more inclined to use Instagram while at the same time are cooling on its new offerings such as their spectacles and short programs. When you can’t get the teen eyeballs, and subsequent dollars, it’s not a good sign. Investors have noticed. They’ve also noticed that while Snap has tended to beat earnings estimates it has been because their losses have been “less bad” than expected. That’s not a good formula for consumer confidence, particularly when analysts are not projecting profitability until at least 2022. Snap recently announced their intent to issue an initial public offering (IPO) that is currently an investigation by the U.S. government which may make it increasingly difficult for the company to raise additional money. The stock is currently trading just above $6 share, putting it dangerously close to penny stock territory. Now would seem to be a time to sell, not speculate.
About Snap
Snap Inc operates as a technology company in North America, Europe, and internationally. The company offers Snapchat, a visual messaging application with various tabs, such as camera, visual messaging, snap map, stories, and spotlight that enable people to communicate visually through short videos and images.
Read More - Current Price
- $11.40
- Consensus Rating
- Hold
- Ratings Breakdown
- 9 Buy Ratings, 22 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $37.10 (225.4% Upside)
