Snap (NYSE:SNAP) Stock Price Expected to Rise, DA Davidson Analyst Says

Key Points

• DA Davidson raised Snap’s price target from $5.00 to $5.25 while maintaining a neutral rating; the new target still implies about 8% downside from the stock’s $5.71 price.
• Snap’s analyst consensus remains cautious, with an average “Hold” rating and a $7.61 target price. Recent recommendations were mixed, including target increases from Barclays and Wells Fargo and a reduction from Mizuho.
• Snap beat quarterly expectations, reporting $1.60 billion in revenue—up 18.9% year over year—and a $0.10 per-share loss versus the expected $0.12 loss, although insiders sold about $15.9 million of stock over the past three months.

Snap (NYSE:SNAP - Get Free Report) had its target price lifted by equities researchers at DA Davidson from $5.00 to $5.25 in a report released on Tuesday,Benzinga reports. The brokerage currently has a "neutral" rating on the stock. DA Davidson's target price indicates a potential downside of 7.98% from the stock's current price.

Several other equities research analysts also recently commented on the company. Citigroup reaffirmed a "market perform" rating on shares of Snap in a report on Wednesday, June 17th. Mizuho cut their price objective on Snap from $6.00 to $5.00 and set a "neutral" rating on the stock in a report on Wednesday, July 22nd. Barclays upped their price objective on shares of Snap from $15.00 to $16.00 and gave the company an "overweight" rating in a research note on Tuesday. Tigress Financial began coverage on shares of Snap in a report on Monday, April 27th. They issued a "buy" rating for the company. Finally, Wells Fargo & Company lifted their target price on shares of Snap from $5.00 to $6.00 and gave the stock an "equal weight" rating in a research report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, twenty-five have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $7.61.

Snap Price Performance

Snap stock traded up $0.67 during mid-day trading on Tuesday, hitting $5.71. The company's stock had a trading volume of 23,263,683 shares, compared to its average volume of 48,347,301. The company has a quick ratio of 3.53, a current ratio of 3.53 and a debt-to-equity ratio of 1.67. The stock has a market capitalization of $9.64 billion, a P/E ratio of -23.85 and a beta of 1.03. Snap has a twelve month low of $3.81 and a twelve month high of $9.55. The stock's fifty day moving average price is $4.96 and its two-hundred day moving average price is $5.34.

Snap (NYSE:SNAP - Get Free Report) last announced its quarterly earnings data on Monday, August 3rd. The company reported ($0.10) EPS for the quarter, beating analysts' consensus estimates of ($0.12) by $0.02. The company had revenue of $1.60 billion during the quarter, compared to the consensus estimate of $1.54 billion. Snap had a negative return on equity of 18.92% and a negative net margin of 6.72%.The company's quarterly revenue was up 18.9% compared to the same quarter last year. During the same quarter in the prior year, the firm earned ($0.16) EPS. Research analysts forecast that Snap will post -0.07 earnings per share for the current year.

Insider Activity at Snap

In other Snap news, CAO Rebecca Morrow sold 16,729 shares of Snap stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $5.60, for a total value of $93,682.40. Following the completion of the sale, the chief accounting officer directly owned 512,811 shares in the company, valued at $2,871,741.60. The trade was a 3.16% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Douglas Hott sold 114,702 shares of the business's stock in a transaction that occurred on Tuesday, May 19th. The stock was sold at an average price of $5.67, for a total transaction of $650,360.34. Following the completion of the sale, the chief financial officer directly owned 2,456,447 shares of the company's stock, valued at $13,928,054.49. This represents a 4.46% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 2,868,059 shares of company stock worth $15,855,631.

Hedge Funds Weigh In On Snap

Hedge funds have recently bought and sold shares of the business. Empowered Funds LLC lifted its position in shares of Snap by 13.3% in the first quarter. Empowered Funds LLC now owns 40,393 shares of the company's stock worth $352,000 after buying an additional 4,754 shares during the last quarter. Prudential Financial Inc. acquired a new position in shares of Snap during the 2nd quarter valued at about $136,000. Investment Management Corp of Ontario raised its stake in shares of Snap by 104.0% in the 2nd quarter. Investment Management Corp of Ontario now owns 61,513 shares of the company's stock valued at $535,000 after acquiring an additional 31,357 shares in the last quarter. Nebula Research & Development LLC acquired a new stake in Snap in the 2nd quarter worth approximately $1,675,000. Finally, The Manufacturers Life Insurance Company lifted its holdings in Snap by 52.0% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 89,337 shares of the company's stock worth $776,000 after purchasing an additional 30,561 shares during the last quarter. 47.52% of the stock is owned by institutional investors and hedge funds.

More Snap News

Here are the key news stories impacting Snap this week:

• Positive Sentiment: Snap reported second-quarter revenue of $1.60 billion, up 18.9% year over year and above the $1.54 billion consensus estimate. The company’s $0.10-per-share loss also beat expectations for a $0.12 loss, while management highlighted margin expansion, positive free cash flow and improving advertising performance. Snap Second Quarter 2026 Financial Results
• Positive Sentiment: Advertising spending tied to the FIFA World Cup, stronger demand from large North American advertisers and the adoption of Snap’s artificial-intelligence tools supported the quarterly beat. The company forecast third-quarter revenue of approximately $1.7 billion, broadly in line with consensus but viewed as a strong outlook. Snap Stock and World Cup Advertising
• Positive Sentiment: The earnings report showed progress in Snap’s core advertising business and continued growth in direct revenue, reinforcing management’s message that the business is building a more durable financial foundation. Snap Earnings and Sales Forecast
• Neutral Sentiment: Cantor Fitzgerald raised its price target from $5 to $6 but maintained a neutral rating. Rosenblatt Securities lowered its target from $6.40 to $6 and also kept a neutral rating, suggesting limited analyst conviction despite the earnings reaction. Benzinga Analyst Price Targets
• Negative Sentiment: CEO Evan Spiegel avoided providing details on pre-order demand for Snap’s upcoming Specs smart glasses ahead of the September launch, leaving uncertainty around a potential future growth driver. Snap Specs Pre-Order Questions

Snap Company Profile

Snap Inc is a camera and social media company best known for developing and operating Snapchat, a multimedia messaging application that allows users to send photos, videos and messages that disappear after being viewed. In addition to its core messaging service, Snap offers a suite of augmented reality (AR) tools, including custom Lenses and Filters, that enable users and third-party developers to create interactive and immersive experiences. The company also provides advertising solutions that allow brands to engage audiences through Snap Ads, Sponsored Lenses and Discover content on the platform.

Founded in 2011 by Evan Spiegel and Bobby Murphy, Snap has continually focused on innovation in camera technology and AR.

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