Snap (NYSE:SNAP) Stock Rating Lowered by Stifel Nicolaus

Key Points

• Stifel Nicolaus has downgraded Snap from a "hold" to a "sell" rating, setting a new price target of $6.50, indicating a potential downside of 17.56% from its current price.
• Snap has experienced mixed analyst ratings, with four analysts recommending a buy, 22 holding, and four suggesting a sell, establishing a consensus rating of "Hold".
• Despite recent performance, Snap's stock opened at $7.89, with a market cap of $13.32 billion and a negative net margin of 9.69%, highlighting ongoing financial challenges.

Snap (NYSE:SNAP - Get Free Report) was downgraded by equities research analysts at Stifel Nicolaus from a "hold" rating to a "sell" rating in a report released on Friday,Finviz reports. They currently have a $6.50 price target on the stock. Stifel Nicolaus' target price would suggest a potential downside of 17.56% from the stock's current price.

Several other research analysts have also recently commented on SNAP. Zacks Research cut Snap from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, August 20th. Truist Financial dropped their price objective on Snap from $11.00 to $10.00 and set a "hold" rating on the stock in a report on Wednesday, August 6th. Guggenheim reiterated a "neutral" rating and set a $8.00 target price on shares of Snap in a research note on Friday, September 12th. TD Cowen raised their price target on shares of Snap from $9.00 to $10.00 and gave the stock a "hold" rating in a research report on Tuesday, July 15th. Finally, Morgan Stanley dropped their price target on shares of Snap from $8.50 to $8.00 and set an "equal weight" rating for the company in a research note on Monday. Four equities research analysts have rated the stock with a Buy rating, twenty-two have assigned a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average price target of $34.57.

Snap Price Performance

Shares of SNAP stock opened at $7.89 on Friday. The company has a market capitalization of $13.32 billion, a PE ratio of -24.64 and a beta of 0.71. The firm has a fifty day simple moving average of $7.69 and a 200-day simple moving average of $8.26. The company has a current ratio of 3.88, a quick ratio of 3.88 and a debt-to-equity ratio of 1.73. Snap has a twelve month low of $6.90 and a twelve month high of $13.28.

Snap (NYSE:SNAP - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported ($0.16) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.16). The firm had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.34 billion. Snap had a negative net margin of 9.69% and a negative return on equity of 23.32%. The firm's quarterly revenue was up 8.7% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.15) EPS. Snap has set its Q3 2025 guidance at EPS. Equities research analysts anticipate that Snap will post -0.3 earnings per share for the current fiscal year.

Insider Transactions at Snap

In related news, General Counsel Michael J. O'sullivan sold 24,000 shares of the firm's stock in a transaction on Tuesday, September 30th. The stock was sold at an average price of $7.86, for a total transaction of $188,640.00. Following the transaction, the general counsel directly owned 514,454 shares in the company, valued at $4,043,608.44. This trade represents a 4.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Elizabeth Jenkins sold 7,900 shares of the business's stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $7.07, for a total transaction of $55,853.00. Following the sale, the director owned 65,663 shares of the company's stock, valued at approximately $464,237.41. The trade was a 10.74% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 1,510,569 shares of company stock valued at $11,585,883. 22.68% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Snap

A number of large investors have recently bought and sold shares of the business. Signaturefd LLC grew its holdings in shares of Snap by 169.9% during the second quarter. Signaturefd LLC now owns 2,942 shares of the company's stock valued at $26,000 after purchasing an additional 1,852 shares during the last quarter. Quarry LP acquired a new position in Snap during the 1st quarter valued at approximately $34,000. Itau Unibanco Holding S.A. bought a new stake in Snap in the first quarter valued at $35,000. Wealth Preservation Advisors LLC bought a new stake in Snap in the first quarter valued at $44,000. Finally, Olde Wealth Management LLC acquired a new position in shares of Snap during the first quarter valued at $52,000. Institutional investors own 47.52% of the company's stock.

About Snap

Snap Inc operates as a technology company in North America, Europe, and internationally. The company offers Snapchat, a visual messaging application with various tabs, such as camera, visual messaging, snap map, stories, and spotlight that enable people to communicate visually through short videos and images.

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