Snap (NYSE:SNAP) Sets New 52-Week Low – Here’s What Happened

Shares of Snap Inc. (NYSE:SNAP) reached a new 52-week low during trading on Thursday . The stock traded as low as $4.65 and last traded at $4.6550, with a volume of 42570078 shares trading hands. The stock had previously closed at $4.86.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on SNAP shares. Citigroup reduced their target price on shares of Snap from $10.00 to $6.00 and set a “neutral” rating for the company in a report on Thursday, February 12th. BNP Paribas Exane began coverage on shares of Snap in a report on Wednesday, January 14th. They issued a “strong sell” rating on the stock. Piper Sandler reaffirmed a “neutral” rating on shares of Snap in a research report on Thursday, February 5th. Cantor Fitzgerald decreased their price objective on Snap from $9.00 to $7.00 and set a “neutral” rating for the company in a report on Thursday, February 5th. Finally, Susquehanna lowered their target price on Snap from $9.00 to $6.50 and set a “neutral” rating on the stock in a research note on Thursday, February 5th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, twenty have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat, Snap has a consensus rating of “Hold” and a consensus target price of $8.17.

Snap Stock Down 1.7%

The business’s fifty day simple moving average is $6.21 and its two-hundred day simple moving average is $7.27. The company has a market cap of $7.72 billion, a PE ratio of -16.94 and a beta of 0.83. The company has a debt-to-equity ratio of 1.53, a current ratio of 3.56 and a quick ratio of 3.56.

Snap (NYSE:SNAP) last posted its earnings results on Wednesday, February 4th. The company reported $0.03 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.15 by ($0.12). Snap had a negative return on equity of 20.72% and a negative net margin of 7.76%.The firm had revenue of $1.72 billion for the quarter, compared to analysts’ expectations of $1.70 billion. During the same period in the previous year, the company earned $0.01 earnings per share. The company’s revenue was up 10.2% compared to the same quarter last year. On average, analysts predict that Snap Inc. will post -0.3 earnings per share for the current year.

Insiders Place Their Bets

In other news, CAO Rebecca Morrow sold 16,499 shares of the company’s stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $4.70, for a total transaction of $77,545.30. Following the completion of the transaction, the chief accounting officer directly owned 466,682 shares of the company’s stock, valued at $2,193,405.40. This represents a 3.41% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CTO Robert C. Murphy sold 1,000,000 shares of the stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $5.36, for a total value of $5,360,000.00. Following the transaction, the chief technology officer owned 49,313,775 shares in the company, valued at $264,321,834. This trade represents a 1.99% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 2,526,487 shares of company stock valued at $13,435,587. 22.68% of the stock is owned by insiders.

Hedge Funds Weigh In On Snap

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Mackenzie Financial Corp increased its stake in shares of Snap by 5.1% during the third quarter. Mackenzie Financial Corp now owns 27,638 shares of the company’s stock worth $213,000 after purchasing an additional 1,349 shares in the last quarter. WealthCollab LLC lifted its stake in Snap by 1.2% in the 4th quarter. WealthCollab LLC now owns 115,390 shares of the company’s stock valued at $931,000 after buying an additional 1,369 shares in the last quarter. Alliancebernstein L.P. boosted its holdings in Snap by 0.3% in the 3rd quarter. Alliancebernstein L.P. now owns 414,416 shares of the company’s stock worth $3,195,000 after buying an additional 1,396 shares during the last quarter. Orion Porfolio Solutions LLC increased 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 in the last quarter. Finally, Newbridge Financial Services Group Inc. increased its stake in Snap by 37.5% during the 4th quarter. Newbridge Financial Services Group Inc. now owns 5,500 shares of the company’s stock worth $44,000 after buying an additional 1,500 shares in the last quarter. 47.52% of the stock is owned by hedge funds and other institutional investors.

About Snap

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.