Contour Asset Management LLC Decreases Holdings in Snap Inc. $SNAP

Contour Asset Management LLC trimmed its position in Snap Inc. (NYSE:SNAP) by 65.9% in the 4th quarter, Holdings Channel.com reports. The fund owned 3,355,000 shares of the company’s stock after selling 6,498,000 shares during the quarter. Contour Asset Management LLC’s holdings in Snap were worth $27,075,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also bought and sold shares of the company. Empowered Funds LLC increased its position in shares of Snap by 13.3% during the first quarter. Empowered Funds LLC now owns 40,393 shares of the company’s stock worth $352,000 after purchasing an additional 4,754 shares in the last quarter. Prudential Financial Inc. purchased a new stake in shares of Snap during the 2nd quarter valued at $136,000. Investment Management Corp of Ontario boosted its position in shares of Snap by 104.0% in the 2nd quarter. Investment Management Corp of Ontario now owns 61,513 shares of the company’s stock worth $535,000 after purchasing an additional 31,357 shares in the last quarter. Nebula Research & Development LLC acquired a new stake in shares of Snap in the 2nd quarter worth $1,675,000. Finally, The Manufacturers Life Insurance Company grew its stake in Snap by 52.0% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 89,337 shares of the company’s stock worth $776,000 after buying an additional 30,561 shares during the last quarter. 47.52% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Snap

Here are the key news stories impacting Snap this week:

• Negative Sentiment: Snap’s debut of Specs sparked selling as investors balked at the $2,195 price and questioned whether consumers will pay up for the company’s first standalone AR glasses. After unveiling ridiculously expensive AR glasses, Snap’s stock takes a dive
• Neutral Sentiment: Management is framing Specs as a long-term bet on life beyond smartphones, which could support the stock over time if the product gains traction, but near-term investor reaction has been cautious. Snap CEO Spiegel defends Specs as long-term bet, pushes back against activist pressure
• Positive Sentiment: Snap has been making other strategic moves in AR and finance, including an Illumix acquisition and a debt upgrade, which may improve the company’s longer-term risk profile. Snap’s AR Push And Debt Upgrade Reframe Valuation And Risk Profile
• Neutral Sentiment: Separately, Snap has introduced new safeguards for younger users, a policy update that may help with platform trust but is unlikely to be a major immediate stock catalyst. SNAP Introduces New Safeguards for Younger Users

Analyst Upgrades and Downgrades

SNAP has been the subject of a number of research analyst reports. Royal Bank Of Canada decreased their price target on Snap from $10.00 to $8.00 and set a “sector perform” rating for the company in a research note on Thursday, May 7th. The Goldman Sachs Group dropped their price target on Snap from $8.00 to $7.00 and set a “neutral” rating on the stock in a research note on Thursday, May 7th. TD Cowen initiated coverage on shares of Snap in a report on Monday, April 27th. They set a “buy” rating on the stock. Citigroup reaffirmed a “market perform” rating on shares of Snap in a research report on Wednesday. Finally, Rosenblatt Securities reiterated a “neutral” rating and issued a $6.40 target price on shares of Snap in a research note on Thursday, April 16th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, twenty-three have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $7.79.

Insider Activity at Snap

In related news, General Counsel Zachary M. Briers sold 129,493 shares of the firm’s stock in a transaction on Monday, May 18th. The shares were sold at an average price of $5.60, for a total transaction of $725,160.80. Following the completion of the transaction, the general counsel owned 2,644,538 shares of the company’s stock, valued at $14,809,412.80. This trade represents a 4.67% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CTO Robert C. Murphy sold 2,000,000 shares of the business’s stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $5.44, for a total transaction of $10,880,000.00. Following the transaction, the chief technology officer owned 47,012,324 shares of the company’s stock, valued at $255,747,042.56. This represents a 4.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 2,900,631 shares of company stock worth $16,054,989 in the last ninety days. 22.68% of the stock is owned by company insiders.

Snap Stock Down 8.7%

Shares of SNAP stock opened at $4.71 on Thursday. The stock’s 50-day simple moving average is $5.64 and its 200-day simple moving average is $6.10. The company has a debt-to-equity ratio of 1.67, a quick ratio of 3.53 and a current ratio of 3.53. The firm has a market capitalization of $7.96 billion, a PE ratio of -19.63 and a beta of 1.03. Snap Inc. has a fifty-two week low of $3.81 and a fifty-two week high of $10.41.

Snap (NYSE:SNAP) last released its earnings results on Wednesday, May 6th. The company reported ($0.05) EPS for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.14). The firm had revenue of $1.53 billion for the quarter, compared to analyst estimates of $1.53 billion. Snap had a negative return on equity of 18.92% and a negative net margin of 6.72%.The company’s revenue for the quarter was up 12.2% compared to the same quarter last year. During the same period last year, the firm earned ($0.08) EPS. Equities analysts expect that Snap Inc. will post -0.06 earnings per share for the current year.

Snap 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.