Snap Stock News

Snap's user and subscription growth is positive but too slow to drive a meaningful pivot toward profitability in the near term. Ad revenue growth guidance is optimistic, but macro headwinds and a lack of immediate catalysts limit upside potential. Valuation appears cheap, but ongoing losses and high execution risks make Snap a potential value trap rather than a deep value buy.

Snap missed bottom and top line estimates for Q2 on Wednesday, but only marginally. The 17% drop in share price seems exaggerated. The social media company continued to grow its revenues and daily active users at 9% Y/Y. ARPU in Snap's core market is still growing and indicates healthy user monetization. However, Snap's losses increased Y/Y, leading to the creation of a new negative sentiment o...

First, it's hard to get too negative when capital expenditures for companies building out AI infrastructure are running near $400 billion annualized, growing roughly 50% Y/Y. These are not small numbers and they've already influenced economic activity across sectors.

Snap's post-earnings slump is overdone; the market is ignoring strong subscription growth and undervaluing future revenue streams. The social messaging subscription business is gaining traction, with nearly 16 million subscribers and new higher-priced tiers like Lens+ and Platinum boosting potential revenue. Despite weak ad growth, Snap's Q3 guidance beats consensus, and the stock trades at a d...

A key takeaway from tech earnings was the impact of artificial intelligence on digital advertising. Meta and Alphabet both reported sales and earnings that beat Wall Street's expectations, and Reddit reported strong second-quarter sales of $500 million.

Snap stock price suffered a major reversal this week, erasing the gains made in the past few months. It plunged to a low of $7.5, down by over 27% from its highest point in July.

This was hardly a good week to be a Snap (SNAP -2.89%) shareholder, as the social media company's shares were getting rocked after it published its second-quarter earnings report. Outside of that, the company announced it was going to the well in an effort to raise more capital.

SANTA MONICA, Calif.--(BUSINESS WIRE)--Snap Inc. (NYSE: SNAP) announced today the pricing of $550 million aggregate principal amount of 6.875% senior notes due 2034, or the notes, in a private offering that is exempt from the registration requirements of the Securities Act of 1933, as amended, or the Securities Act. The sale of the notes is expected to close on August 12, 2025, subject to custo...