Snap Stock Erased

- Advertisement -


Investors in the social media company Snap are upset this afternoon as the stock suffered a slight drop following yesterday’s second-quarter earnings report. At the time of writing, the share price is down nearly 40% on the day as investors reassess their expectations for the stock’s future performance.

- Advertisement -

After closing just below $16.50 yesterday, their shares are now hovering below $10. Shares are down nearly 90% from their all-time high of $83.34 last September, wiping out a market capitalization of tens of billions of dollars and falling more than volatile cryptocurrencies like Bitcoin.

- Advertisement -

How did Snap manage to scare investors so badly? As we reported yesterday, not only did the company miss its earnings guidance, it also withdrew guidance for future quarters due to “operating environment uncertainties.”

Snap rose at a high level last year, posting a earnings multiple that many analysts thought was unsustainable, but others saw a signal of the company’s high expectations relative to its competitors.

- Advertisement -

Many tech stocks have plummeted in value amid a wider sell-off in tech stocks, but Snap is now down much deeper in percentage terms than its social media peers, including Twitter and Meta.


Credit: techcrunch.com /

- Advertisement -

Stay on top - Get the daily news in your inbox

DMCA / Correction Notice

Recent Articles

Related Stories

Stay on top - Get the daily news in your inbox