Zachary Briers Sells 129,493 Shares of Snap (NYSE:SNAP) Stock

Key Points

• Snap General Counsel Zachary Briers sold 129,493 shares on May 18 at an average price of $5.60, worth about $725,161. The company said the sale was tied to tax withholding obligations from vested equity awards.
• Snap’s recent earnings were mixed: revenue came in at $1.53 billion, matching expectations and rising 12.2% year over year, but EPS of -$0.05 missed estimates of $0.09. Analysts currently expect the company to post -$0.07 EPS for the full year.
• Sentiment around Snap remains cautious, with multiple analysts trimming ratings or price targets and the consensus view sitting at “Hold” with a $7.91 target. At the same time, the company added former Apple/Beats executive Luke Wood to its board, which may be seen as a positive strategic move.

Snap Inc. (NYSE:SNAP - Get Free Report) General Counsel Zachary Briers sold 129,493 shares of the business's stock in a transaction on Monday, May 18th. The stock was sold at an average price of $5.60, for a total value of $725,160.80. Following the completion of the transaction, the general counsel directly owned 2,644,538 shares in the company, valued at approximately $14,809,412.80. This represents a 4.67% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Snap Stock Performance

Shares of SNAP traded up $0.07 during mid-day trading on Wednesday, hitting $5.62. The stock had a trading volume of 25,514,032 shares, compared to its average volume of 44,708,984. The firm has a market cap of $9.49 billion, a P/E ratio of -23.40 and a beta of 1.05. The business has a fifty day moving average price of $5.21 and a 200-day moving average price of $6.44. The company has a debt-to-equity ratio of 1.67, a current ratio of 3.53 and a quick ratio of 3.53. Snap Inc. has a 52 week low of $3.81 and a 52 week high of $10.41.

Snap (NYSE:SNAP - Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The company reported ($0.05) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.09 by ($0.14). Snap had a negative net margin of 6.72% and a negative return on equity of 18.92%. The company had revenue of $1.53 billion for the quarter, compared to the consensus estimate of $1.53 billion. During the same quarter in the previous year, the firm posted ($0.08) earnings per share. The business's revenue for the quarter was up 12.2% compared to the same quarter last year. On average, equities research analysts expect that Snap Inc. will post -0.07 EPS for the current year.

Key Snap News

Here are the key news stories impacting Snap this week:

• Positive Sentiment: Snap appointed Luke Wood, the former President of Beats by Dr. Dre and former Apple executive, to its board of directors. Investors may view the hire as a positive signal for product, brand, and consumer-tech strategy. Luke Wood Joins Snap Inc. Board of Directors
• Neutral Sentiment: Snap’s latest earnings call was described as a “cautious comeback,” suggesting management may have sounded more measured on the recovery path rather than issuing a clearly bullish surprise. Snap Inc. Earnings Call Signals Cautious Comeback
• Negative Sentiment: Multiple insiders, including CFO Douglas Hott, General Counsel Zachary M. Briers, CAO Rebecca Morrow, and insider Ajit Mohan, sold shares in recent days. The company said the transactions were tied to tax withholding on equity vesting, which makes them less alarming, but the breadth of selling can still pressure sentiment. SEC filing for CFO sale

Analysts Set New Price Targets

SNAP has been the subject of a number of research analyst reports. Freedom Capital cut Snap from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, May 12th. Canaccord Genuity Group lowered their target price on Snap from $7.00 to $6.00 and set a "hold" rating for the company in a research note on Tuesday, April 14th. Citigroup restated a "neutral" rating on shares of Snap in a research note on Monday. Wall Street Zen lowered Snap from a "buy" rating to a "hold" rating in a research report on Sunday. Finally, B. Riley Financial raised Snap from a "neutral" rating to a "buy" rating and set a $10.00 price objective for the company in a research report on Thursday, February 5th. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, twenty-two have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $7.91.

Hedge Funds Weigh In On Snap

Several large investors have recently made changes to their positions in the business. Alyeska Investment Group L.P. bought a new position in shares of Snap during the third quarter valued at approximately $176,697,000. AQR Capital Management LLC grew its stake in shares of Snap by 874.3% during the fourth quarter. AQR Capital Management LLC now owns 10,066,852 shares of the company's stock valued at $81,239,000 after buying an additional 9,033,644 shares during the last quarter. Empyrean Capital Partners LP bought a new position in shares of Snap during the first quarter valued at approximately $25,300,000. Junto Capital Management LP bought a new position in shares of Snap during the third quarter valued at approximately $29,071,000. Finally, Voloridge Investment Management LLC grew its stake in shares of Snap by 53.3% during the third quarter. Voloridge Investment Management LLC now owns 10,300,911 shares of the company's stock valued at $79,420,000 after buying an additional 3,582,223 shares during the last quarter. 47.52% of the stock is currently owned by hedge funds and other institutional investors.

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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