snap inc SNAP Stocks fell about 27% Release of third quarter results.
What went wrong with Snap: Four headwinds – advertising market weakness, monetization method, apple inc AAPL data protection changes etc Competition from TikTok — have worked in unison, the complain Snapchat topline growth of parents, Gene Munster, Managing Partner at Loup Funds, said.
The analyst noted that Snap’s revenue growth slowed from 38% in the March quarter to 13% in the June quarter and 7% in the September quarter. The stock has priced in negative sales growth for the March quarter, he added.
See also: How to Trade Snap Stocks Before and After the Q3 Earnings Print
Read-Across for colleagues: Munster said he wasn’t very concerned about it alphabet inc Google WELL and Metaplatforms Inc. METAwho report on Tuesday and Wednesday respectively. He added that this is because only some of the headwinds affecting Snap apply to these companies.
“Even if things go badly next week, I still believe the long-term will be intact,” he said.
CreditSuisse analyst Stefan Ju said in an early October report that digital advertising trends generally experienced sequential improvement in the third quarter. Entertainment and commerce verticals, where Snap has the strongest presence, underperformed the broader online advertising environment, he added.
Price promotion: Snap closed Thursday’s session down 0.64% at $10.79, falling 27.06% in after-hours trading Benzinga Pro data. In after-hours trading, Meta was down 3.95% at $126.33, Alphabet was down 1.88% at $98.09 Pinterest Inc. PINS fell 7.14%.
Continue reading: Here’s how to buy tech stocks now
