Weiss Ratings Reaffirms Sell (E+) Rating for Snap (NYSE:SNAP)

Key Points

• Weiss Ratings has reaffirmed a "Sell (E+)" rating for Snap, highlighting ongoing concerns about the company's financial performance.
• In recent assessments, several analysts have issued "neutral" ratings on Snap, with target prices ranging from $6.50 to $9.00, indicating a cautious outlook on the stock.
• Snap's stock opened at $7.94 with a 52-week low of $6.90, suggesting fluctuating investor confidence and market volatility around the company's shares.

Snap (NYSE:SNAP - Get Free Report)'s stock had its "sell (e+)" rating restated by research analysts at Weiss Ratings in a note issued to investors on Friday,Weiss Ratings reports.

Other research analysts also recently issued reports about the stock. Cantor Fitzgerald reissued a "neutral" rating and issued a $7.00 target price on shares of Snap in a research report on Wednesday, August 6th. UBS Group dropped their target price on shares of Snap from $10.00 to $9.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 6th. Piper Sandler dropped their target price on shares of Snap from $10.00 to $9.00 and set a "neutral" rating on the stock in a research report on Wednesday, August 6th. Guggenheim reaffirmed a "neutral" rating and set a $8.00 price objective on shares of Snap in a research report on Friday, September 12th. Finally, Stifel Nicolaus downgraded shares of Snap from a "hold" rating to a "sell" rating and lowered their price objective for the company from $8.00 to $6.50 in a research report on Friday. Four investment analysts have rated the stock with a Buy rating, twenty-one have assigned a Hold rating and four have assigned a Sell rating to the company's stock. According to MarketBeat, Snap presently has an average rating of "Hold" and an average price target of $34.57.

Snap Stock Performance

Snap stock opened at $7.94 on Friday. The firm's 50 day simple moving average is $7.71 and its 200-day simple moving average is $8.26. The company has a market cap of $13.41 billion, a P/E ratio of -24.80 and a beta of 0.71. The company has a debt-to-equity ratio of 1.73, a current ratio of 3.88 and a quick ratio of 3.88. Snap has a fifty-two week low of $6.90 and a fifty-two week high of $13.28.

Snap (NYSE:SNAP - Get Free Report) last released its earnings results on Tuesday, August 5th. The company reported ($0.16) earnings per share for the quarter, hitting the consensus estimate of ($0.16). The business 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% compared to the same quarter last year. During the same period last year, the firm posted ($0.15) earnings per share. Snap has set its Q3 2025 guidance at EPS. As a group, equities research analysts predict that Snap will post -0.3 EPS for the current year.

Insider Activity at Snap

In other Snap news, General Counsel Michael J. O'sullivan sold 68,705 shares of the business's stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $7.18, for a total value of $493,301.90. Following the completion of the sale, the general counsel directly owned 2,015,624 shares of the company's stock, valued at $14,472,180.32. The trade was a 3.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CTO Robert C. Murphy sold 1,000,000 shares of the business's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $7.80, for a total transaction of $7,800,000.00. Following the completion of the sale, the chief technology officer directly owned 53,215,224 shares of the company's stock, valued at $415,078,747.20. This represents a 1.84% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 1,510,569 shares of company stock valued at $11,585,883. Company insiders own 22.68% of the company's stock.

Institutional Trading of Snap

Several large investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. grew its position in Snap by 6.7% in the first quarter. Vanguard Group Inc. now owns 109,483,491 shares of the company's stock worth $953,601,000 after acquiring an additional 6,921,841 shares in the last quarter. AQR Capital Management LLC grew its position in Snap by 110.4% in the first quarter. AQR Capital Management LLC now owns 11,300,874 shares of the company's stock worth $95,549,000 after acquiring an additional 5,930,766 shares in the last quarter. Deutsche Bank AG grew its position in Snap by 5.5% in the first quarter. Deutsche Bank AG now owns 9,526,590 shares of the company's stock worth $82,977,000 after acquiring an additional 499,395 shares in the last quarter. Charles Schwab Investment Management Inc. grew its position in Snap by 4.9% in the first quarter. Charles Schwab Investment Management Inc. now owns 6,925,956 shares of the company's stock worth $60,325,000 after acquiring an additional 324,784 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. grew its position in Snap by 38.8% in the first quarter. Jacobs Levy Equity Management Inc. now owns 4,777,523 shares of the company's stock worth $41,612,000 after acquiring an additional 1,336,264 shares in the last quarter. 47.52% of the stock is owned by institutional investors.

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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