Snap Inc. (NYSE:SNAP) Receives Average Recommendation of “Hold” from Brokerages

Snap Inc. (NYSE:SNAP) has earned a consensus rating of “Hold” from the thirty-two research firms that are currently covering the company, MarketBeat Ratings reports. Three analysts have rated the stock with a sell rating, twenty-two have given a hold rating, six have given a buy rating and one has given a strong buy rating to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $8.6250.

Several research analysts recently commented on the stock. Citizens Jmp reaffirmed a “market perform” rating on shares of Snap in a report on Thursday, February 5th. B. Riley Financial raised Snap from a “neutral” rating to a “buy” rating and set a $10.00 target price for the company in a research note on Thursday, February 5th. BMO Capital Markets raised their price target on Snap from $12.00 to $13.00 and gave the stock an “outperform” rating in a research report on Thursday, November 6th. Canaccord Genuity Group set a $7.00 price objective on Snap in a research note on Thursday, February 5th. Finally, Cantor Fitzgerald decreased their target price on shares of Snap from $9.00 to $7.00 and set a “neutral” rating on the stock in a research note on Thursday, February 5th.

Snap Stock Down 3.7%

Shares of Snap stock traded down $0.19 during trading hours on Thursday, reaching $4.81. The company’s stock had a trading volume of 35,106,535 shares, compared to its average volume of 58,164,582. The company has a market capitalization of $8.26 billion, a P/E ratio of -17.81 and a beta of 0.83. The stock’s fifty day simple moving average is $7.43 and its two-hundred day simple moving average is $7.72. Snap has a one year low of $4.72 and a one year high of $11.26. The company has a debt-to-equity ratio of 1.53, a quick ratio of 3.56 and a current ratio of 3.56.

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

Insiders Place Their Bets

In other news, CTO Robert C. Murphy sold 1,000,000 shares of the firm’s stock in a transaction dated 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 completion of the sale, the chief technology officer directly owned 49,313,775 shares of the company’s stock, valued at approximately $264,321,834. This trade represents a 1.99% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Ajit Mohan sold 20,848 shares of the business’s stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $7.62, for a total transaction of $158,861.76. Following the transaction, the insider owned 5,277,816 shares in the company, valued at $40,216,957.92. This represents a 0.39% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 2,393,341 shares of company stock valued at $13,799,210 over the last three months. Company insiders own 22.68% of the company’s stock.

Hedge Funds Weigh In On Snap

Institutional investors and hedge funds have recently made changes to their positions in the business. McMillan Office Inc. bought a new position in Snap in the 4th quarter worth about $1,107,000. Marsico Capital Management LLC bought a new position in shares of Snap in the fourth quarter worth approximately $5,620,000. Mattson Financial Services LLC lifted its stake in shares of Snap by 68.1% in the fourth quarter. Mattson Financial Services LLC now owns 41,069 shares of the company’s stock worth $331,000 after buying an additional 16,640 shares in the last quarter. Empowered Funds LLC grew its holdings in shares of Snap by 7.4% during the fourth quarter. Empowered Funds LLC now owns 58,543 shares of the company’s stock valued at $472,000 after buying an additional 4,037 shares during the last quarter. Finally, Inceptionr LLC bought a new stake in shares of Snap during the fourth quarter valued at approximately $303,000. Institutional investors own 47.52% of the company’s stock.

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.