Snap Target of Unusually Large Options Trading (NYSE:SNAP)

Key Points

• Snap Inc. experienced a significant increase in options trading, with investors acquiring 226,149 call options, marking a 49% rise from the typical volume.
• Zacks Research downgraded Snap's rating from "strong-buy" to "hold," while several analysts adjusted their price targets, reflecting a mixed consensus on the stock's outlook.
• Snap's most recent quarterly earnings showed a revenue increase of 8.7% year-over-year, but it still reported an EPS of ($0.16), aligning with consensus estimates.

Snap Inc. (NYSE:SNAP - Get Free Report) was the target of unusually large options trading on Thursday. Stock investors acquired 226,149 call options on the company. This represents an increase of approximately 49% compared to the typical daily volume of 151,920 call options.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on SNAP shares. Zacks Research lowered Snap from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, August 20th. Evercore ISI upped their price target on Snap from $11.00 to $12.00 and gave the company an "in-line" rating in a research report on Wednesday, August 6th. TD Cowen upped their price target on Snap from $9.00 to $10.00 and gave the company a "hold" rating in a research report on Tuesday, July 15th. Truist Financial reduced their price target on Snap from $11.00 to $10.00 and set a "hold" rating on the stock in a research report on Wednesday, August 6th. Finally, Wells Fargo & Company upped their price target on Snap from $8.00 to $11.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 1st. Four analysts have rated the stock with a Buy rating, twenty-three have assigned a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $34.77.

Snap Stock Performance

Shares of SNAP stock opened at $7.69 on Thursday. The company has a market cap of $13.00 billion, a price-to-earnings ratio of -24.04 and a beta of 0.71. Snap has a 52 week low of $6.90 and a 52 week high of $13.28. The company has a quick ratio of 3.88, a current ratio of 3.88 and a debt-to-equity ratio of 1.73. The firm has a 50 day moving average of $7.86 and a 200-day moving average of $8.35.

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

Insider Buying and Selling at Snap

In related news, Director Elizabeth Jenkins sold 7,900 shares of the business's stock in a transaction on Thursday, August 28th. The stock was 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 in the company, valued at $464,237.41. The trade was a 10.74% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CAO Rebecca Morrow sold 10,216 shares of the business's stock in a transaction on Monday, August 18th. The stock was sold at an average price of $7.17, for a total value of $73,248.72. Following the sale, the chief accounting officer owned 436,087 shares in the company, valued at $3,126,743.79. This represents a 2.29% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 1,486,532 shares of company stock worth $11,441,229 over the last three months. 22.68% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Corient Private Wealth LLC raised its stake in Snap by 102.3% during the 2nd quarter. Corient Private Wealth LLC now owns 41,971 shares of the company's stock worth $365,000 after buying an additional 21,223 shares during the period. Centaurus Financial Inc. acquired a new position in Snap during the 2nd quarter worth approximately $208,000. Orion Porfolio Solutions LLC raised its stake in Snap by 8.3% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 18,913 shares of the company's stock worth $164,000 after buying an additional 1,451 shares during the period. State of Wyoming raised its stake in Snap by 36.7% during the 2nd quarter. State of Wyoming now owns 45,582 shares of the company's stock worth $396,000 after buying an additional 12,239 shares during the period. Finally, Nikko Asset Management Americas Inc. raised its stake in Snap by 94.1% during the 2nd quarter. Nikko Asset Management Americas Inc. now owns 2,107,288 shares of the company's stock worth $18,312,000 after buying an additional 1,021,677 shares during the period. 47.52% of the stock is owned by institutional investors and hedge funds.

Snap Company Profile

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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