Snap average price target is $7.9. So why is it currently trading for $4.5?

Is it priced for bankruptcy or something? The average price target implies 80 % upside. In comparison, RDDT has 70 % upside, META has 45 % upside, GOOGL and PINS have 30 % upside.

So what’s up with SNAP and RDDT? Why do analysts see 70-80 % upside? Or rather, considering they do then why aren’t the stocks trading higher?

At $4.50, you are essentially buying Snapchat’s 946 million monthly users for a "pennies on the dollar" valuation once you strip out the cash on the balance sheet. If Snap hits its goal of 1 billion users in 2026, the current price may look like a historic floor.

I imagine RDDT is just as likely if not more likely to achieve its estimated upside but RDDT isn’t at a historic floor like SNAP is.

So unless you think SNAP is going bankrupt soon, isn’t it a free bet at this point?