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Snap Gains on Analysts Upgrades as Messaging App Maker Wins Back Wall Street

Martin Baccardax

shares traded sharply higher Tuesday following a pair of analyst upgrades for the instant messaging app maker as it wins back faith from Wall Street amid improving revenues and longer user engagement. Aegis Capital boosted its price target on Snap by more than 50% to $17 a share, and upgraded its rating to "buy" from "hold", as it "walks back" a previous view that the group should seek a buyer for the business. Aegis analyst Victor Anthony increased his 2020/2021 revenue estimate by 5% and 10% respectively, citing improved results from the Android rebuild of the Snapchat app and a better advertising platform.