15.55 +0.05 (0.32%)
After hours: 7:58PM EDT
|Bid||15.45 x 1000|
|Ask||15.49 x 29200|
|Day's Range||15.28 - 15.73|
|52 Week Range||4.82 - 16.24|
|Beta (3Y Monthly)||1.07|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Baidu, Inc. (NASDAQ: BIDU ) and Snap Inc. (NYSE: SNAP ) have renewed their Asia sales partnership , which first began in May of 2017. The agreement authorizes Baidu to act as Snap’s representative to advertisers ...
Generation Z, born after the year 2000, has grown up in a world dominated by the cloud czars, where cynicism about technology motives and actions is pervasive, and where protecting your identity rather than publicizing it is the norm.Source: Shutterstock It's a vast new market that Snap (NASDAQ:SNAP) thinks it can win with new features and augmented reality.Wall Street has been buying this argument, and loving the growth, in 2019. Shares that traded at under $6 in January are now trading at over $15. The market cap is up to $21.1 billion and CEO Evan Spiegel, once considered Facebook (NASDAQ:FB) road kill, now has a net worth of $3.5 billion.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Dependable Dividend Stocks to Buy But the shares are still below their post-IPO high, below their February 2018 peak. Snap is still a minnow next to Facebook, let alone Chinese giants like Tencent Holdings (OTCMKTS:TCEHY). Does this move have legs? The Bull Case for SNAP StockSnap's growth is once again in overdrive. After bringing in $1.18 billion of 2018 revenue, the company brought in $320 million in the first quarter and is expected to report over $350 million for the June quarter on July 23, albeit with an 8 cent per share loss. If it can keep that up for the rest of the year, Snap could bring in $1.52 billion for all of 2019, a growth rate of nearly 29%.Snap is getting new respect from developers for Scan, an augmented reality platform that can be used to create .gifs on the fly, solve math problems from pictures, and become the heart of a new gaming system.Previous AR platforms lacked the community and daily use to interest Wall Street. Snap is also rolling out a new ad platform to monetize Scan. It says it is now used by 90% of 13-24 year-olds, which is more than Facebook reaches with either its main platform or Instagram.Snap's earlier features, like self-erasing messages, were quickly copied by Facebook. The hope is it can innovate its way away from the larger company. Goldman Sachs (NYSE:GS) recently put Snap back on its buy list. Analysts are also enjoying a new gender swap filter that can let users disguise themselves to friends. The Bear Case for SNAP StockThere can be a downside to anything.Stalkers could use the gender swap filter to cozy up to victims. The AR platform could also be misused. Snap is still focused on making money from advertising built on personal information, which is why many turned away from Facebook and even Alphabet's (NASDAQ:GOOGL, NASDAQ:GOOG) Google.Snap has gone from being cheap to being overvalued, cynics say, arguing bulls are getting ahead of themselves. They note that Twitter (NASDAQ:TWTR) generates three times Snap's revenue from a smaller user base. They say paying more than 10 times expected 2019 revenue for a money-losing company near the end of a recovery is, at best, speculative. Even some who are bullish on Snap are now suggesting option strategies to limit risk. The Bottom LineSnap is more than fully valued.If you're going to put money into it, you are going to have to watch that money closely. A negative earnings report, or a single bad headline, can still send Snap crashing to Earth.If you got into Snap at its lows, a hard fall still leaves you with an attractive acquisition target, at a price higher than what you paid. But even in that case, the take-out would not be at a premium to the current price.What you're left with is a trade, a speculation for young investors who might lose their stake but will at least learn a lesson from it. If you make this old man look foolish with your fat profits, you can buy me dinner.Dana Blankenhorn is a financial and technology journalist. He is the author of the mystery thriller, The Reluctant Detective Finds Her Family, available at the Amazon Kindle store. Write him at firstname.lastname@example.org or follow him on Twitter at @danablankenhorn. As of this writing he owned no shares in companies mentioned in this article. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Dependable Dividend Stocks to Buy * 10 Stocks Driving the Market to All-Time Highs (And Why) * 7 Short Squeeze Stocks With Big Upside Potential The post Snap Stock: The Youth Market is Back appeared first on InvestorPlace.
Is Twitter stock a buy now? Check out the stock's fundamental and technical metrics to figure out if the stock should be on your watchlist.
Twitter (NYSE: TWTR) and Snap (NYSE: SNAP) have struggled for years competing with Facebook (NASDAQ: FB) in the social media game. However, investors may now finally have a viable Facebook alternative in Pinterest (NYSE: PINS). Even after a bumpy IPO, Pinterest stock still has added more than 8% since April.Source: Shutterstock Like Facebook, Pinterest is primarily an advertising company. Like Facebook, Pinterest has plenty of exciting long-term growth opportunities.But unlike Facebook, PINS stock doesn't come attached to antitrust risk. Pinterest also doesn't have significant regulatory concerns and negative press about the harmful effects of its service.InvestorPlace - Stock Market News, Stock Advice & Trading Tips The Pinterest Stock Growth StoryPinterest has plenty of growth opportunities starting with simply expanding its user base. The company reported 291 million monthly active users in its first quarterly earnings report in May. * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond That number represented 21.7% growth from a year ago. The good news for investors is that Pinterest's user base doesn't seem to be plateauing just yet. That phenomenon has plagued both Twitter and Snap in recent years.Pinterest also seems to have plenty of room to improve its average revenue per user. Pinterest reported ARPU of 73 cents last quarter, an annual run rate of about $3. There seems to be plenty of opportunities for Pinterest to better monetize its user base given Facebook, Twitter and Snap have annual ARPU's of around $25, $9 and $6, respectively.Finally, Pinterest is investing heavily in expanding its Partners program to integrate third-party technology into its platform. According to Nomura Instinet analyst Mark Kelley, the latest group of Pinterest partners have dramatically improved ecommerce functionality on the platform. Users now have the ability to set up stores on Pinterest. Pins for certain products can also connect users directly to retailers for purchases.More than half of Pinterest users already use the app while they are shopping in brick-and-mortar stores, according to market researcher GfK."As the company's e-commerce efforts scale (Catalogs and Shopping Ads were outlined on the 1Q19 call), we think transactional capabilities could be a notable source of upside for the company's financials," Kelley says. Pinterest Stock Doesn't Have BaggageIn addition to the growth opportunities, PINS stock may have a key advantage over FB stock when it comes to investor sentiment and risk. There's no question Facebook's advertising business has been firing on all cylinders for years. However, there has been increasing uncertainty among investors about what the company's long-term future holds.First, Facebook, Amazon (NASDAQ: AMZN), Apple (NASDAQ: AAPL) and Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) recently has been the subject of a wave of antitrust rhetoric. For example, Democratic presidential candidate Elizabeth Warren has called for these tech companies to be broken up due to their size. Alternatively, regulators may force Facebook to change its business at some point to promote competition.At the same time, Facebook is facing scrutiny because of its size, it's also facing scrutiny because of its business. The Cambridge Analytica scandal and the abuse of social media platforms by foreign powers have investors worried about costly new regulations restricting data usage, content and access on Facebook's platform.Finally, another recent study has linked use of Facebook to depression. This study is simply adding fuel to the fire of groups calling for users to delete Facebook, Instagram, Snapchat and other popular social media accounts for their own good.Regardless of whether or not users leave the platforms, advertisers are well aware of the negative perceptions. The negative impact of Twitter and Facebook use have particularly captured the media's attention. Pinterest has a much better reputation as a positive platform. Advertisers certainly want their products associated with this type of positivity rather than a platform that has been linked to depression, suicide and ethnic cleansing. Pinterest Stock Has Its Own RisksPinterest stock may look like a much safer investment than FB stock when it comes to headline risk. Unfortunately, when it comes to financials, Pinterest is not a safe bet.PINS stock currently trades at a staggeringly high 17.5 price-to-sales ratio. Like other high-profile 2019 IPOs such as Uber (NYSE: UBER) and Lyft (NASDAQ: LYFT), Pinterest is not yet profitable. In addition, these tech IPOs have a horrendous track record in their first year of trading, suggesting upside for PINS stock may be limited in the near-term.As of this writing, Wayne Duggan did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy for Less Than Book * 7 Marijuana Stocks With Critical Levels to Watch * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond The post Pinterest Stock Very Well May Be the Best Alternative to Facebook appeared first on InvestorPlace.
Social network Strava takes a different — potentially healthier — approach than others. It has a freemium model, and it's trying to get you to use it more but also less.
You probably do not think of Bose, the 55-year-old headphone and speaker manufacturer. Much like Snapchat’s Spectacles added a camera and a Bluetooth connection to a pair of regular sunglasses in 2016, Bose Frames add a wireless audio system. “About two years ago, a team of us at Bose saw a demonstration of the open ear acoustic technology and were blown away,” says Mehul Trivedi, director of Bose Frames.
Snap Inc (NASDAQ: SNAP ) has received an upgrade after better-than-expected user growth. The Analyst Goldman Sachs analyst Heath Terry upgraded Snap from Neutral to Buy and raised the price target from ...
Investing.com – Snap rose on Friday after Goldman Sachs upgraded its outlook on the social media company on expectations that efforts to improve its product and money-making approach would deliver growth.
Snap Inc. appears to have regained some of its former glory, and now Wall Street analysts don’t want to miss the boat.
(Bloomberg) -- It only took six months and a basket of disguises for Wall Street to love Snap Inc. again.Snap has seen a dramatic recovery over the past several months, with shares more than tripling off a record low in December to trade at their highest level in more than a year. While there have been a number of tailwinds supporting the social-media company, one key ingredient behind the turnaround is this: it now allows users to “swap faces” with others in photographs, with “lenses” or filters that can, for example, make men look like women or babies.Those who are unfamiliar with the latest viral sensations may view such a feature as an unusual foundation to build an investment on. But Wall Street sees the early-May launch of the filters as a key factor behind improving user trends at the Snapchat app, which is in turn leading to more optimistic projections for Snap’s top- and bottom-lines.“The timing of the filter appears to have driven a notable increase in engagement,” said Mark Kelley, an analyst at Nomura Instinet.Snap rose as much as 4.3% on Friday, extending a four-day winning streak, after Goldman upgraded the stock to buy from neutral. The new Android app, games and viral lenses drove record user adoption in May, reversing prior trends, analyst Heath Terry wrote in a research note.Wall Street’s expectations have been getting rosier, with MoffettNathanson writing that Snap was “on the verge of writing their own ‘Cinderella Story’.” Compared with six months ago, the consensus for Snap’s adjusted full-year loss has improved by about 25% while revenue expectations are up 5.4% over that period.Bank of America on Thursday raised its revenue estimates on Snap for 2019 through 2021 and lifted its price target to $17 from $12. The firm expects user upside in the quarter. The comments came just two days after Credit Suisse lifted its own target for similar reasons. The shares are now trading at their highest level since March 2018, having more than tripled since December.In a report dated July 10, Nomura’s Kelly cited data from Sensor Tower that showed 67% growth in Snapchat app downloads in the second quarter. That represents a dramatic turnaround from the first quarter, when downloads fell 5% on a year-over-year basis. According to SimilarWeb data cited by Nomura, traffic to Snapchat.com was up 4% in the second quarter, compared with the first-quarter’s 24% decline.“The jump is a positive nod to Snap’s efforts to spur engagement and demonstrates the platform’s scale and sway, particularly with millennials,” wrote Jitendra Waral, an analyst at Bloomberg Intelligence.Snap will report second-quarter results on July 23. Analysts expect it to report an adjusted loss of 10 cents a share on revenue of $359.6 million. That represents revenue growth of 37% from a year ago. Analysts are also looking for 191 million daily active users in the quarter, compared with 190 million in the first quarter, according to data compiled by Bloomberg.Beyond the engagement driven by the filter, Snap’s 2019 rally accelerated in February when its fourth-quarter results beat expectations and it pointed to a stabilizing user base. Additional gains came in April, when it announced a suite of new products and services, including a video-game business.The gains have far outpaced Snap’s social-media rivals. Twitter Inc. is up more than 40% from its own December low, while Facebook Inc. -- which dwarfs Snap in size and user base -- is up more than 60% from December.(Adds Goldman upgrade and Friday’s trading in fifth paragraph.)\--With assistance from Courtney Dentch.To contact the reporter on this story: Ryan Vlastelica in New York at email@example.comTo contact the editors responsible for this story: Catherine Larkin at firstname.lastname@example.org, Scott SchnipperFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Snap Inc. shares are up 3.5% in premarket trading Friday after Goldman Sachs analyst Heath Terry upgraded the stock to buy from neutral. "For Snap, we believe product improvements and feature additions are driving positive trends in user growth and engagement that, along with monetization improvement from ad tech initiatives, should drive upside to consensus estimates," Terry wrote in a note to clients. He predicts a reacceleration in user numbers in the wake of Snap's redesigned Android app and its success with new "viral" lenses that allow Snapchat users to portray themselves in different genders and ages. Snap's stock has rocketed 183% so far this year, while the S&P 500 has gained 20%.
Social media company Snap (NYSE:SNAP) was once one of the most hated stocks on Wall Street. Then, seemingly overnight, Snap stock has become a Wall Street favorite.Source: Shutterstock From Christmas Eve 2018 to today, SNAP stock has essentially tripled, while Wall Street has gone from overwhelmingly bearish on the stock, to constructive on the company's long term growth potential.Why the change of heart from investors and analysts? A few positive developments materialized in early 2019 and have continued over the past several months. These developments include reinvigorated user growth, continued healthy revenue and margin ramp, and expansion into shopping, shows, and gaming.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Best Stocks for 2019: A Volatile First Half In sum, these positive developments have breathed life back into the company's long term bull thesis of becoming an important social media platform alongside Facebook (NASDAQ:FB) and Twitter (NYSE:TWTR).They've also essentially torn apart the bear thesis, and paved a path for SNAP stock to head substantially higher in the long run.Does that mean it's time to buy into the SNAP stock rebound?No. Sure, the fundamentals here are improving. But, if you look out long term, it seems that SNAP stock is pretty fully priced considering its multi-year growth prospects.As such, while I don't think bearishness is the right sentiment here and now, I do think that caution is warranted on SNAP stock going forward. At $15, valuation friction is a big enough problem to potentially short-circuit the big 2019 rally. Three Potential Long Term Outcomes for SnapIn the long run, there are three potential outcomes for Snap stock. Those outcomes are as follows.Number One: Bear Case (flat user growth, pedestrian ARPU growth, Twitter-like profitability)The Android app reboot fails to re-accelerate international user growth. Instagram continues to dominate the social video sharing market. Snap's user base plateaus around 200 million daily active users.Quarterly ARPU climbs ~15% per year to around $5 by 2025. Gross margins rise towards Twitter-like 70% levels. The opex rate falls towards Twitter-like 50% levels. EPS settles around $0.50 by 2025. Based on a digital ad average 25-forward multiple and 10% discount rate, that implies a 2019 price target for SNAP stock of roughly $8.Number two: Base Case (tepid user growth, healthy ARPU growth, mix of Twitter and Facebook profitability)The Android app reboot re-accelerates international growth. But, Instagram's global incumbency in the social video sharing market ultimately keeps user growth stuck at a pedestrian rate.Snap adds about 5 million new users per user. Daily active users measure around 230 million by 2025. Quarterly ARPU climbs towards Twitter-levels of $6. Gross margins rise towards Twitter-like 70% levels.The opex rate falls with scale towards a Facebook-like 40% level. EPS settles around $1, which given the same parameters listed above, equates to a $15 price target.Number Three: Bull Case (healthy user growth, robust ARPU growth, Facebook-like profitability) The Android app reboot re-accelerates international growth. Gaming, shopping, and shows initiatives reinvigorate growth for the next several years, too. Snap adds around 10 million new users every year. The user base measures 250 million daily actives by 2025.Quarterly ARPU skyrockets alongside robust user growth. It settles around $8 by 2025 (roughly in between present Twitter and Facebook levels). Gross margins rise towards Facebook-like 80% levels. The opex rate drops to 40%. EPS settles around $1.60, equating to a $25 price target given the same parameters. The Current Valuation Is not a StealGiven how young Snap is, the potential outcomes for SNAP stock span a wide range. The aforementioned three cases arrive at price targets between $8 and $25. Thus, the best way to value SNAP stock today is to incorporate probabilities for each potential outcome.Given recent positive developments, the bear case ($8 price target) seems increasingly unlikely to materialize (probably around 10% likelihood).The bull case ($25 price target) seems equally unlikely given that Snap faces intense competition from Instagram, has a niche demographic and addressable advertiser market, and will have trouble reaching Facebook-like profitability without Facebook-like scale.Realistically, the bull case also has just a 10% chance of panning out, leaving the base case ($15 price target) with an 80% chance of materializing.Now, let's do some math. We have a 10% likelihood associated with an $8 price target, a 10% likelihood associated with a $20 price target, and an 80% chance associated with a $15 price target. Summing all that up, a reasonable probability-adjusted 2019 price target for SNAP stock is around $15. Bottom Line on SNAP StockThings are undeniably improving for Snap. But, they are not yet improving in a way which warrants an extension in the currently rally towards $20-plus prices.As such, unless user, revenue, and margin trends all come in far above expectations over the next few quarters, the best of the 2019 SNAP stock rally is likely in the rear-view mirror.As of this writing, Luke Lango was long FB and TWTR. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy for Less Than Book * 7 Marijuana Stocks With Critical Levels to Watch * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond The post Despite Its Recent Strength, Snap Stock Is Played out for This Year appeared first on InvestorPlace.
(Bloomberg) -- Amazon.com Inc. is amazing at turning mundane corporate management decisions into global news events.Many retailers host annual sale events. But Amazon “celebrates” Prime Day. Many chief executives write notes to their shareholders. But Jeff Bezos pens annual letters with “lessons” and “principle themes” and “important words” to behold. Many companies open satellite offices. Amazon “launched” HQ2 with a continent-wide pitch contest. And many companies train their employees. On Thursday, Amazon announced how much it’s spending on workplace training over the next six years: more than $700 million.Certainly, when a company has a market value near $1 trillion and a workforce of more than 600,000, each move is a bigger deal than a back-to-school sale at an independent bookstore. Yet, even among its technology industry peers, the e-commerce giant seems to have a magic touch, turning run-of-the-mill corporate events into big moments.As of last year, Google quietly amassed more than 7,000 employees in New York. But when Amazon said it was coming to town, the world was transfixed. And when it abandoned those plans, the governor scrambled. After all the fuss, Amazon ended up sending some workers to New York anyway.I told you almost two years ago about how Amazon was turning its earnings calls into marketing events and how it deftly used Whole Foods as an opportunity to highlight Amazon’s low, low prices. The company has marketing down pat. That’s not to say Amazon is all talk. The company did raise its minimum pay to $15 an hour last year. That’s real. And surely Amazon will work to retrain its U.S. employees.But let’s break down the numbers of this training program. Amazon said it’ll spend about $700 million on development for 100,000 employees by 2025. That’s $1,077 a person annually. According to one estimate from the Association for Talent Development, a trade group, the average organization spends $1,296 per employee annually on training. Well, you’ve got to admire Amazon’s commitment to undercutting the competition.Amazon is a humongous corporation. Training lots of people costs a great deal of money. In a world increasingly worried about monopolies, there’s a curious element to a company seeking praise just for being big.Bezos isn’t the first technology idol to entrance the world. Steve Jobs was famous for creating a so-called reality distortion field at Apple. Bill Gates recently described his old foe in mystical terms, saying “casting spells” was part of Jobs’s aura. “I would see people mesmerized,” Gates said. “But because I’m a minor wizard, the spells don’t work on me.”We should all aspire to be minor wizards when it comes to corporate pronouncements. Some claims, like ubiquitous drone delivery by 2018, will fail to materialize. Others are less impressive when you see how the magic trick is performed.This article also ran in Bloomberg Technology’s Fully Charged newsletter. Sign up here.And here’s what you need to know in global technology newsTrain secrets. Authorities charged a software engineer with sending trade secrets from a locomotive manufacturer to a company in China. Meanwhile, Tesla wants Apple’s help chasing other people accused of leaking secrets to China. Snapchat was saved by a gender swap app. That’s not a sentence I ever expected to write. Facebook bested elite poker players. Or at least an artificial intelligence designed by the company beat them.To contact the author of this story: Eric Newcomer in New York at email@example.comTo contact the editor responsible for this story: Mark Milian at firstname.lastname@example.org, Anne VanderMeyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Yahoo Finance's Brian Sozzi and Alexis Christoforous sit down with Stephen Guilfoyle, president of Sarge986, and Josh Jalinski, president of Jalinski Advisory Group, around Monday's opening bell. The panel discusses yield curve expectations, earnings, investing in tech, and more.
Jul.13 -- Sen. Marsha Blackburn, a Tennessee Republican, discusses her concerns about Snap Inc., the privacy issues surrounding social media and the antitrust debate over big tech. She speaks with Bloomberg's Emily Chang on "Bloomberg Technology."
Goldman Sachs making a bet on the millennial generation. The investment bank upgraded Snap in its most recent analyst note to Buy from Neutral citing positive user trends. Jen Rogers, Myles Udland and Brian Sozzi discuss on Yahoo Finance's The Final Round.
Snapchat, Zoom Video Communications, Slack, Nike and Netflix are the companies to watch.