|Bid||11.62 x 1100|
|Ask||11.69 x 800|
|Day's Range||11.18 - 11.71|
|52 Week Range||4.82 - 15.96|
|Beta (3Y Monthly)||1.17|
|PE Ratio (TTM)||N/A|
|Earnings Date||Apr 23, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||9.81|
Snap Inc. (NYSE:SNAP) shares haven't seen a lot of action during the third quarter. Overall, hedge fund sentiment was unchanged. The stock was in 17 hedge funds' portfolios at the end of December. The level and the change in hedge fund popularity aren't the only variables you need to analyze to decipher hedge funds' perspectives. […]
rose 2.3% on Thursday after delivering a Q1 report that wasn't spectacular, but also didn't do anything to upend the view (now held by many) that chip industry sales are in the process of bottoming. Revenue, which was already known thanks to monthly sales reports, fell 16% annually in dollars, while EPS missed a FactSet analyst consensus by $0.02. The company also reiterated its full-year outlook for slight revenue growth, and its full-year capital spending budget of $10 billion to $11 billion.
The listing is second in the U.S. this year only to Lyft Inc.’s $2.34 billion offering in March. Pinterest’s strong showing, along with an even stronger first-day performance by Zoom Video Communications Inc. on Thursday, signals continuing investor thirst for new stocks amid a surge of unicorns -- startups valued at $1 billion or more -- coming to market. Other high-profile companies considering going public include Slack Technologies Inc., Postmates Inc., Palantir Technologies Inc. and Airbnb Inc.
The social media company has jumped more than 100% this year. Wedbush analyst Michael Pachter downgraded Snap to Neutral from Outperform while maintaining a $12.25 price target.
The San Francisco-based social media and mobile application company appears confident as the price of the listing has been raised to $19 per share, up from initial expectation that pegged shares in the $15 to $17 range in the company's S-1 filing with the SEC. The price point puts the company's valuation at about $10 billion, which comes after a nearly $1.5 billion cash raise. While high, it is actually less than the company fetched in a 2017 funding round.
Wedbush analyst Michael Pachter downgraded Snap Inc. shares to neutral from outperform on Thursday, citing valuation concerns after a big run-up that's sent shares up 90% over the past three months. "Notwithstanding fierce competition for user mind-share and advertiser dollars and a history of being hugely unprofitable, progress towards profitability, stabilizing user growth and improved execution led us to upgrade shares of Snap in September," he wrote. "However, the company's current share price leaves little room for upside." Snap reports first-quarter earnings on Tuesday afternoon, and Pachter expects revenue of $315 million, a per-share loss of 11 cents, and "flat sequential [daily active user] growth." Snap's stock is down nearly 4% in premarket trading, but it's more than doubled so far this year, rising 113%, as the S&P 500 has gained 16%.
Analyst Michael Pachter cuts his Snap rating to neutral from outperform. The "current valuation appears to leave little room for multiple expansion, as greater investor confidence in current management and the potential for earlier-than-expected profitability appear to be largely priced in," Pachter says. Shares of Snap SNAP fell 3% Thursday morning after an analyst at Wedbush Securities downgraded the social media company amid valuation concerns.
This is mainly because, as a reporter on the markets desk at the Financial Times, it is quite literally my job. , a friendly competition that also raises money for the FT Seasonal Appeal — which this year supported the homebuilding charity Habitat for Humanity. this year, receiving an overwhelming response from hundreds of FT readers looking to test their mettle against the supposedly clued-up FT scribes.
Shares in Pinterest opened up 25 per cent on their first day of trading on Thursday, completing an IPO that has given many investors their first chance to back an advertising-supported consumer internet company with an audience numbering in the hundreds of millions. the night before at $19, a 12 per cent discount to the price they sold at two years ago to private investors.
Shares in video conferencing service Zoom opened at $65 on their first day of trading on Friday, an 81 per cent jump from the level the shares were priced at the night before. Zoom’s rapid growth in a market dominated by giants like Cisco, Microsoft and Google has made it one of the most closely watched IPOs so far this year, and its IPO highlights the current investor enthusiasm for workplace apps that show signs of catching on with a large audience. At its opening share price, Zoom is worth $19bn based on a fully-diluted share count.
Snap's (SNAP) first-quarter results are expected to benefit from initiatives related to original shows and e-commerce amid stiff competition.
HENDERSON, NV / ACCESSWIRE / April 17, 2019 / Blockchain was the tech buzzword investors favored, but according to a new survey reported by Cointelegraph of 1,050 IT, security, and engineering decision makers at $1 billion firms, most of them are now investing in either AI, augmented reality, blockchain, or Internet-of-Things as part of their "digital transformation strategy." Ninety percent said they were investing in at least one of the above technologies as part of their "digital transformation strategy." Of that 90 %, 61 % of respondents claimed their firm invests in blockchain. The company has followed that up this past week announcing it successfully completed testing on their Alpha version of its global mesh network technology platform GopherInsight™, which is the company's IoT component.
Yeti Holdings (NYSE:YETI) has been one of the best stocks of 2019. Already this year, Yeti Holdings stock has risen 113%. Among over 1,800 stocks with a current market capitalization over $2 billion, the performance of YETI stock ranks fourth.Only three biotechs have done better. The performance of Snap Inc (NYSE:SNAP) this year trails that of YETI stock by a tiny amount.Source: Goal Zero There are two primary reasons for the big gains of Yeti Holdings stock. The first is that, in retrospect, YETI stock simply was too cheap at the end of 2018. The company went public in October - after pulling a planned IPO earlier last year - which proved to be tough timing for a growth stock. Market-wide worries led YETI down as low as $12.40 in December.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 5 Wonderful REITs to Buy Today Secondly, Yeti has continued to grow nicely. Its fourth-quarter earnings, reported in February, beat expectations, leading Yeti Holdings stock higher. The company's 2019 adjusted earnings per share guidance of $0.99-$1.04 suggests that investors could have owned YETI in December for roughly 12 times its expected 2019 EPS. That multiple is far too conservative for a growth stock.With YETI stock now up over 150% from those lows, however, the question is whether investors are pricing in too much growth. Sales of the company's coolers are slowing, while its margins might be nearing a ceiling. Luke Lango made a strong case for YETI stock this week, assigning a price target in the high 30s. Given the risks facing the company, however, at $31.50, YETI might need to take a breather. Why YETI Stock Has DoubledThe main worry about YETI, going back to 2016, when it first filed for an IPO, is that the consumer-products business is a tough one. The growth of high-priced niche products stall out rather quickly. Investors no doubt had in mind the travails of fallen angels like GoPro (NASDAQ:GPRO) and Fitbit (NYSE:FIT). IP camera maker Arlo Technologies (NYSE:ARLO), which also launched an IPO in 2018, has plunged as well.But Yeti has eased those worries with its recent performance. In Q3, its revenue rose 7% year-over-year, while its adjusted net income climbed 81%. Its revenue growth accelerated sharply in Q4, as its sales rose an impressive 19% YoY. Its strong gross margin performance - including a massive 6.9 percentage point expansion YoY in Q4 - shows that the company isn't cutting prices to drive its sales. The increase in the company's gross margins indicates that its profit can rise going forward.Indeed, the company's 2019 guidance looks solid. YETI predicts that its sales will rise another 11.5%-13% in 2019. Sales of its coolers are slowing, but drinkware products now generate the majority of its sales. And Yeti's DTC (direct-to-consumer) channel is rapidly expanding; its DTC sales increased 48% last year, while its wholesale revenue rose just 10%. Since no middlemen are involved in DTC, sales made via that channel improve the company's margins.As a result, YETI's adjusted EPS is expected to rise 18%-24% in 2019, excluding the impact of an unusually low tax rate in 2018. Double-digit-percentage revenue growth and margin expansion suggest the company's growth outlook is intact. Combined, those trends show why the valuation of YETI stock in December was such an opportunity. Is YETI Stock Too Expensive?Of course, the valuation of Yeti Holdings stock now is very different. And there's a possibility YETI may have run too far. Analysts seem to believe so: the average Street price target on YETI stock now is $30.70, below the current price of $31.56. The Street may need some time to catch up, and another strong earnings report could cause analysts to raise their targets on Yeti Holdings stock. But for now, analysts think the end of the run is nearing.And there are fundamental reasons to be cautious about the shares. Yeti's own long-term targets suggest that its adjusted EBITDA margins will be 19%-22%. The midpoint of its 2019 guidance projects those margins will reach 19.6% this year. On the bottom line, growth is likely to slow.On the top line, meanwhile, there are still worries about market saturation. Any cyclical weakness could hit demand for Yeti's higher-priced products ; that was a key reason for the decline of YETI stock back in December.The rally of Yeti Holdings stock to this point has been well-deserved. The company has performed well, and investors who spotted the opportunity late last year have been amply rewarded. From here, however, advancing might be tougher for YETI. The company will grow further, but investors clearly have caught on to the story.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy for Spring Season Growth * This Is How You Beat Back a Bear Market * 7 Dental Stocks to Buy That Will Make You Smile Compare Brokers The post Why Yeti Holdings Stock Has Doubled in 2019 appeared first on InvestorPlace.
After a rough road since its IPO, Snap (NYSE:SNAP) has rallied sharply in 2019. Among stocks with a $10 billion market capitalization or higher, no stock has outperformed the 115% gain in Snap stock (sometimes referred to as Snapchat stock). In fact, no stock really has come close: StoneCo (NASDAQ:STNE) is in second place with a 95% rise.Source: Shutterstock The gains make some sense. SNAP was trading just off all-time lows heading into the year. Q4 earnings in February were strong - even though I didn't think they were quite as strong as the market seemed to.More broadly, there's a simple reason investors are flocking back to Snap stock: there's a hope that the company is getting better, and can continue to do so. That hope is logical. The question is whether, at this point, it's priced in.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Marijuana Companies: Which Pot Stocks Should You Buy? Execution, Monetization and SNAP StockFrom a qualitative standpoint, the case for SNAP stock seems pretty simple: the company is starting to execute. A new Android app finally has arrived after a messy redesign faltered back in 2017-2018. A new gaming offering could drive revenue. Snapchat is showing some strength in augmented reality. Snap management - perhaps for the first time since the IPO - seems like it's on top of the business.From a quantitative standpoint, the case is similarly clear. Snapchat is better monetizing its users, and has plenty of room to continue to improve on that front. As I pointed out after Q4, revenue rose 36% on a flat user base. And as RBC Capital Markets analyst Mark Mahaney noted this month, Snap's monetization is one-third that of Twitter (NYSE:TWTR) and one-fifth that of Facebook (NASDAQ:FB).As Snapchat becomes more attractive to advertisers, Snap's revenue can continue to grow to the point that it can leverage operating expenses. That's particularly true overseas. According to the 10-K, Snap's average revenue per user per quarter (ARPU) last year was was $3.38 in the U.S. ARPU in Europe was just $1.04, and in the rest of the world $1.24.As Snap builds out its international presence, and salesforce, international revenues should grow. Getting overseas ARPU simply to current U.S. levels would add roughly 70% to the current revenue base on its own.And so the potential here is obvious. Revenue can continue to soar which should mean, at some point, Snap can become profitable. What Is Priced In?Certainly, the news seems better for Snap. But SNAP stock also now has rallied 146% from those December lows. Valuation is again huge: even backing out cash, Snap is worth over $13 billion - or more than 8x 2019 revenue estimates.Meanwhile, profitability is a long, long way off. Adjusted EBITDA was a loss of $575 million in 2018. Q1 guidance is for only a ~$65 million improvement at the midpoint. Snap likely won't be EBITDA profitable until 2021. Real free cash flow (even allowing for the company's hefty share-based compensation) probably doesn't arrive until 2023. And that's if all goes well.Recent history shows that's still a big "if." Facebook still is targeting the platform with its Instagram Stories. Daily active users still have stalled out. Snap still is competing with not only Twitter, Instagram and Facebook, but behemoth Alphabet (NASDAQ:GOOG,GOOGL) and now Amazon.com (NASDAQ:AMZN) for online advertising dollars.The optimism toward Snap stock makes some sense. But the valuation is hardly cheap or even close to cheap. Monetization and execution well might improve, indeed, they're doing so already. But at 8x revenue, and with profits years away, Snap probably needs more to keep this rally going.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy for Spring Season Growth * This Is How You Beat Back a Bear Market * 7 Dental Stocks to Buy That Will Make You Smile Compare Brokers The post The Bull Case for Snap Stock Makes Some Sense, but Not Enough appeared first on InvestorPlace.
PLUS: One social media expert breaks down how to build a big following — fast. Yahoo Finance's Zack Guzman & Sibile Marcellus, along with "One Million Followers" author Brendan Kane discuss.