Snap (NYSE:SNAP) Stock Price Expected to Rise, Wells Fargo & Company Analyst Says

Key Points

• Wells Fargo & Company raised its price target on Snap from $6.00 to $7.00 and kept an "equal weight" rating, implying about a 12.9% upside from the prior close.
• Snap's Q1 was mixed: revenue grew ~12.2% year‑over‑year but EPS missed (‑$0.05 vs. $0.09 expected), management issued cautious Q2 guidance, and an anticipated ~$400M AI partnership with Perplexity was "amicably ended."
• Significant insider selling (CTO sold 1,000,000 shares; insiders sold ~2.57M shares last quarter) plus activist and legal scrutiny add near‑term uncertainty, even as institutions own roughly 47.5% of the stock.

Snap (NYSE:SNAP - Get Free Report) had its price objective boosted by investment analysts at Wells Fargo & Company from $6.00 to $7.00 in a research note issued to investors on Thursday,Benzinga reports. The firm currently has an "equal weight" rating on the stock. Wells Fargo & Company's price objective would suggest a potential upside of 12.87% from the company's previous close.

SNAP has been the subject of a number of other reports. BMO Capital Markets boosted their target price on Snap from $13.00 to $15.00 and gave the company an "outperform" rating in a research note on Wednesday, April 15th. Canaccord Genuity Group decreased their target price on shares of Snap from $7.00 to $6.00 and set a "hold" rating for the company in a research report on Tuesday, April 14th. Loop Capital set a $8.00 price objective on shares of Snap in a research note on Monday, February 23rd. Citizens Jmp reissued a "market perform" rating on shares of Snap in a research report on Thursday, February 5th. Finally, Barclays upgraded Snap from an "overweight" rating to an "overweight" rating in a research note on Monday, April 27th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, twenty have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $7.94.

Snap Price Performance

SNAP stock traded up $0.09 during trading on Thursday, hitting $6.20. 44,792,253 shares of the stock traded hands, compared to its average volume of 53,056,699. The stock has a market cap of $10.47 billion, a price-to-earnings ratio of -23.09 and a beta of 1.05. Snap has a one year low of $3.81 and a one year high of $10.41. The company has a current ratio of 3.56, a quick ratio of 3.56 and a debt-to-equity ratio of 1.53. The company has a 50 day simple moving average of $5.12 and a 200 day simple moving average of $6.59.

Snap (NYSE:SNAP - Get Free Report) last posted its quarterly earnings data on Wednesday, May 6th. The company reported ($0.05) earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.14). The firm had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.53 billion. Snap had a negative return on equity of 20.72% and a negative net margin of 7.76%.The business's quarterly revenue was up 12.2% on a year-over-year basis. During the same period in the previous year, the business posted ($0.08) EPS. Equities analysts expect that Snap will post -0.12 EPS for the current fiscal year.

Insider Activity at Snap

In other news, General Counsel Zachary M. Briers sold 11,437 shares of the firm's stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $6.04, for a total value of $69,079.48. Following the completion of the sale, the general counsel directly owned 2,774,031 shares of the company's stock, valued at approximately $16,755,147.24. This trade represents a 0.41% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CTO Robert C. Murphy sold 1,000,000 shares of the firm's stock in a transaction dated Tuesday, February 10th. The stock was sold at an average price of $5.36, for a total transaction of $5,360,000.00. Following the completion of the sale, the chief technology officer owned 49,313,775 shares of the company's stock, valued at $264,321,834. This trade represents a 1.99% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 2,565,573 shares of company stock valued at $13,329,781 in the last quarter. 22.68% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Snap

Several large investors have recently modified their holdings of SNAP. Korea Investment CORP boosted its holdings in Snap by 573.6% in the 3rd quarter. Korea Investment CORP now owns 967,544 shares of the company's stock valued at $7,460,000 after purchasing an additional 823,900 shares during the period. Contrarius Group Holdings Ltd purchased a new position in Snap in the 3rd quarter worth approximately $10,256,000. DNB Asset Management AS increased its position in shares of Snap by 433.6% during the 3rd quarter. DNB Asset Management AS now owns 1,042,873 shares of the company's stock valued at $8,041,000 after purchasing an additional 847,447 shares during the last quarter. Quantbot Technologies LP increased its stake in Snap by 54.4% in the 3rd quarter. Quantbot Technologies LP now owns 749,724 shares of the company's stock worth $5,780,000 after purchasing an additional 264,156 shares during the period. Finally, Ausdal Financial Partners Inc. increased its holdings in Snap by 76.3% during the 3rd quarter. Ausdal Financial Partners Inc. now owns 628,109 shares of the company's stock valued at $4,843,000 after purchasing an additional 271,893 shares during the period. Hedge funds and other institutional investors own 47.52% of the company's stock.

More Snap News

Here are the key news stories impacting Snap this week:

• Positive Sentiment: Q1 revenue and user growth — Snap reported ~12% year‑over‑year revenue growth and a return to daily active user growth outside North America/Europe, which supports the ad-revenue recovery narrative. Snap's quarterly revenue rises, daily active users return to growth
• Positive Sentiment: Some outlets note upside vs. expectations on metrics — select analyst write-ups highlight revenue and certain metrics that beat or matched Street estimates, giving a constructive read on the core ad business. Snap Q1 earnings and revenues surpass estimates
• Neutral Sentiment: Mixed quarter — revenue came roughly in line with consensus while EPS was reported below some street estimates, leaving the quarter mixed rather than outright positive. Snap Q1 earnings summary
• Neutral Sentiment: Heightened investor activity — unusually large call-option volume ahead of/around the print suggests active speculative positioning; that can amplify intraday moves. (reported market activity)
• Neutral Sentiment: Corporate moves and talent flow — former Snap CFO Derek Andersen was hired as Expedia’s CFO; talent moves can matter for investor perception but are not an immediate earnings impact. How Investors Are Reacting To Expedia Hiring Snap Veteran Derek Andersen As CFO
• Negative Sentiment: Perplexity AI partnership canceled — Snap said an announced ~$400M integration with AI start‑up Perplexity was “amicably ended,” removing an expected near‑term AI contribution and raising questions about Snap’s AI roadmap. Snap says its $400M deal with Perplexity ‘amicably ended'
• Negative Sentiment: Cautious / disappointing guidance — management issued cautious Q2 guidance that many investors viewed as soft, increasing downside risk to near-term revenue expectations. Snap Stock Slips as Guidance Disappoints, Perplexity Deal Ends
• Negative Sentiment: Shareholder/legal pressure — an activist campaign has pushed for strategic and governance changes, and a law firm has opened an investor investigation, both of which raise near‑term uncertainty and potential legal/board costs. Randian Activist Push Puts Snap Specs Review And Valuation In Focus Pomerantz investor alert
• Negative Sentiment: Negative headlines and analyst commentary — several bearish pieces and coverage framed the quarter as a “trainwreck” and flagged activist momentum, which can pressure sentiment and amplify selling. Investors Should Dump Snap Stock As Fast As They Can Snap Stock Dives After Earnings. Its Flagship AI Deal Is Dead

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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