Snap Inc (NYSE:SNAP) finished Thursday with an addition of $0.07 to close at $8.56, an upside of 0.82 percent. An average of 15,673,240 shares of common stock have been traded in the last five days. There was a fall of -$0.07 in the past week, and it reached a new high 11 times over the past 12 months. The last 20 days have seen an average of 18,771,836 shares traded, while the 50-day average volume stands at 24,608,992.
SNAP stock has decreased by -13.45% in the last month. The company shares reached their 1-month lowest point of $8.28 on 09/26/23. With the stock rallying to its 52-week high on 07/13/23, shares of the company touched a low of $7.33 and a high of $13.89 in 52 weeks. It has reached a new high 20 times so far this year and lost -4.36% or -$0.39 in price. In spite of this, the price is down -38.37% from the 52-week high.
Insider Transactions
SNAP stock investors should be aware that Snap Inc (SNAP) stock had its last reported insider trading activity 10 days ago on Sep 19. In this transaction, the insider spent $423,789. Chief Operating Officer, Hunter Jerry James, disposed of 76,556 shares at a price of $8.87 on Sep 18. The insider now owns more than $678,814 worth of shares. Prior to that, Chief Financial Officer Andersen Derek went on to Sale 28,346 shares at $8.87 each on Sep 18. An amount of $251,327 was transacted.
Valuation Metrics
Snap Inc (SNAP) stock’s beta is 1.30. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 3.10, the price-to-book (PB) ratio at 5.52, and the price-to-cash flow ratio at 91.40.
Financial Health
The quick ratio of Snap Inc for the three months ended June 29 was 5.16, and the current ratio was 5.16, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 1.64 and a total debt to equity ratio of 1.66 for the quarter ending June 29. Snap Inc’s EBITDA margin for the year ending June 29 is -25.93%, while its operating margin for the same period stands at -33.28%. Its gross profit as reported stood at $2.79 billion compared to revenue of $4.6 billion.
Earnings Surprise
In the quarter under review, the net income was up than the previous quarter. The company posted a net income of -$377.31 million in the quarter, while revenues of -$328.67 million were shrunk -11.86%. The analyst consensus anticipated Snap Inc’s latest quarter earnings to come in at -$0.04 per share, but it turned out to be -$0.02, a 50.00% surprise. For the quarter, EBITDA amounted to -$362.81 million. Shareholders own equity worth $1.62 billion.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Snap Inc (SNAP) price momentum. RSI 9-day as of the close on 28 September was 34.14%, suggesting the stock is Neutral, with historical volatility in this time frame at 33.25%.
As of today, SNAP’s price is $8.54 -0.81% or -$0.07 from its 5-day moving average. SNAP is currently trading -15.42% lower than its 20-day SMA and +4.01% higher than its 100-day SMA. However, the stock’s current price level is -34.71% below the SMA50 and -9.42% below the SMA200.
The stochastic %K and %D were 12.98% and 7.88%, respectively, and the average true range (ATR) was 0.32. With the 14-day stochastic at 20.66% and the average true range at 0.34, the RSI (14) stands at 35.03%. The stock has reached -0.23 on the 9-day MACD Oscillator while the 14-day reading was at -0.46.
Analyst Ratings
HSBC Securities launched coverage on Snap Inc (NYSE: SNAP) in its analyst report released on September 26, 2023. The firm assigned the stock a Reduce rating. The consensus rating for Snap Inc (SNAP) among analysts is Hold. According to current brokerage recommendations, 5 brokerage firms advise that investors sell SNAP, while 30 suggest investors hold. There are 1 analyst who rate the stock as underweight. The stock is rated overweight by 2 analysts, while 2 others rate it as a “buy”.
What is SNAP’s price target for the next 12 months?
Analysts predict a range of price targets between $6.00 and $15.00, with a median target of $9.25. Taking a look at these predictions, the average price target given by analysts for Snap Inc (SNAP) stock is $9.61.
