As long as someone pays the trump tribute, maybe 5 or 10m if it's a mega cap. Anyways here are some stats about SNAP
Market cap: 12B
Users: daily 470M, monthly 1B (both growing >5% YoY)
Revenue: 1.3B, up 9% YoY
So why's it cheap? The management sucks and has controlling shares with insane weight over the rest of shareholders. Theyre not consistently profitable. Developing Augmented Reality glasses is expensive and theyre doing that for some reason. Ive seen a couple articles that theyre looking to unwind the AR glasses company, who knows how long it may be.
Their stock based compensation is crazy. They do buy backs at times then other times dilute a couple percent for several years in a row.
They denied buyouts in years past, believing that they could become like Zuck. At its highs years ago, SNAP did have a valuation over 100B (but that was obviously crazy too).
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My position: like 8500 shares at 7.6, ~30% of my account value in margin as well.
What are your thoughts? Do you see a better tech stock valuation? Thanks for reading
SNAP will probably rebound or get acquired at these prices
byu/Adventurous-Quit-669 instocks
Posted by Adventurous-Quit-669
18 Comments
If it is destined to be acquired it will go down and by a lot.
Isnt that the way it always works? Including snap
META will buy them one day I’m sure – insane how they were once upon a time an 80 dollar stock
CEO is incompetent and will never make that happen. Dead stock..
Their AR glasses division isn’t going away anytime soon. With metas success in the field they’re devoting more effort to the snap spectacles
I have 10$ January calls. I think their next earnings will give it a run up
I have SNAP on my watchlist to wheel but I’m concerned it is transitioning out of its range into a new lower one
Apple acquisition perhaps? Both the AR stuff and ephemeral messaging fit well within AAPL’s portfolio.
Snap chat is a dud.
They are a shit company and should honestly become a private company. Not every company should become publicly listed.
Once it hits below $10b market cap… I bet you Elon buys it and merges it with X. They’re pretty compatible with each other. SNAP has a personal social graph; X has an interest based feed. X also has a head of product today that hates Snapchat and would probably love to buy it and merge it on a personal level.
I made a bag on this back in the day and have started eyeing it again since it’s starting to look oversold. Their numbers are better than you would expect and they have a pretty decent ML R&D org. I could see them releasing a product that goes super viral and spikes the stock back up, and I don’t think the downside is huge
No one will acquire SNAP, has no compelling tech or moat. Will circle the drain into obsolescence. If it does get acquired, it’ll be by Yahoo at 1/10 of its current valuation in 5-10 years.
$SNAP is an American proxy for TikTok. It can rival TikTok but I find the site not my cup of tea.
This stock is probably the cheapest social media stock.
But like many have said, it needs a good CEO.
I prefer $PERF.
Correction: it has never been profitable.
SNAP cannot be acquired because of the voting structure and as far as i can tell Evan Spegiel still enjoys running the company. The voting structure is also a drag on the stock price because if it didn’t have it there would be a small buyout premium on the possibility.
Who uses Snap?I know no one who regularly does. I tried it a couple of times and gave up.
Not sure what META hasn’t bought it, except that it’s a shit company and app
It’s not an engagement platform like the others. Their video feed is atrocious compared to TikToks or even trash reels.
Snap is a messaging platform first as opposed to the others where messaging is a supplement.