Recently, Zacks.com users have been paying close attention to Snap (SNAP). This makes it worthwhile to examine what the stock has in store.
Snapchat announced on Wednesday that Snap Map now has more than 400 million monthly active users, a new milestone for one of the app's core features.
Snap's valuation dropped 12% due to lack of Q2'25 guidance this week, despite better-than-expected Q1'25 results, creating a unique 'buy-the-drop' opportunity for investors. Key metrics like user base, ARPU and free cash flow growth indicate Snap's fundamentals remain solid, suggesting potential for a valuation rebound. Snap saw significant FCF growth, backed by user growth and higher average revenue per user in all geographies.
Snap (SNAP -1.70%) disappointed stock market investors with its latest quarterly update.
‘We've heard from a subset of advertisers that their spending has been impacted by the changes to the de minimis exemption,” CFO Derek Andersen said.
Snap Inc (NYSE:SNAP) has withheld second quarter guidance, sending its shares more than 15% lower despite handing down a solid first quarter report. For Q1, revenue grew 14% from the year-ago quarter to $1.36 billion, above estimates of $1.34 billion.
Snap's Q1 earnings match estimates while revenues rise year over year, benefiting from steady user engagement and efforts toward ad revenue generation.
Snap (SNAP) didn't issue guidance for the upcoming quarter, warning of macroeconomic conditions weighing on digital ad spending. eMarketer vice president and principal analyst Jasmine Enberg joins Catalysts with Madison Mills and Freedom Capital Markets chief global strategist Jay Woods to take a closer look at what Snap signals about the digital ad space at large and what it means for other players like Meta Platforms (META) and Pinterest (PINS).
Snap shares fell after the social media company withheld second-quarter guidance amid an uncertain macroeconomic environment that could hit advertising. Despite the lack of guidance, the social media company grew revenues from a year ago and reported a narrower loss.
Snap Inc. presents a significant asymmetrical investment opportunity with limited downside risk and substantial upside potential, potentially doubling to $18 within 12 months. Despite past poor performance, Snap's valuation is now exceptionally cheap, trading at around 17 times forward EPS with a PEG ratio of 0.38. Snap's DAUs and profitability are growing, suggesting the market is severely mispricing the stock, offering serious multi-bagger potential.
Snap fell 14% after it reported first-quarter earnings and said it wasn't sharing second-quarter guidance. Trade restrictions and changes to the de minimis exception are hurting Snap.
Although the revenue and EPS for Snap (SNAP) give a sense of how its business performed in the quarter ended March 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.