Contrasting Snap (SNAP) & Its Competitors

Snap (NYSE:SNAP) is one of 192 publicly-traded companies in the “Interactive Media & Services” industry, but how does it contrast to its rivals? We will compare Snap to related businesses based on the strength of its risk, institutional ownership, dividends, valuation, analyst recommendations, earnings and profitability.

Valuation and Earnings

This table compares Snap and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Snap	$5.93 billion	-$460.49 million	-55.83
Snap Competitors	$12.05 billion	$3.48 billion	7.95

Snap’s rivals have higher revenue and earnings than Snap. Snap is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Snap has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, Snap’s rivals have a beta of 1.88, suggesting that their average stock price is 88% more volatile than the S&P 500.

Institutional and Insider Ownership

47.5% of Snap shares are held by institutional investors. Comparatively, 41.1% of shares of all “Interactive Media & Services” companies are held by institutional investors. 24.0% of shares of all “Interactive Media & Services” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Snap and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Snap	2	23	11	1	2.30
Snap Competitors	1446	6029	11560	443	2.56

Snap presently has a consensus price target of $7.31, indicating a potential upside of 45.43%. As a group, “Interactive Media & Services” companies have a potential upside of 33.32%. Given Snap’s higher probable upside, analysts plainly believe Snap is more favorable than its rivals.

Profitability

This table compares Snap and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Snap	-2.30%	-7.21%	-2.00%
Snap Competitors	-349.71%	-23.08%	3.97%

Summary

Snap rivals beat Snap on 8 of the 13 factors compared.

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. It also provides Spectacles, an eyewear product that connects with Snapchat and captures photos and video from a human perspective; and advertising products, including AR ads and Snap ads comprises a single image or video ads, collection ads, dynamic ads, story ads, and commercials. The company was formerly known as Snapchat, Inc. and changed its name to Snap Inc. in September 2016. Snap Inc. was founded in 2010 and is headquartered in Santa Monica, California.