Snap is testing a “simplified version of Snapchat,” CEO Evan Spiegel wrote in a letter to employees published on Snap’s website Tuesday. The CEO says the simplified version aims to improve the platform’s accessibility and usability. For those that remember Snapchat’s 2018 redesign, this news may do little to stoke confidence.Spiegel attempted to rally employee spirits with his letter on Tuesday after a depressing year for the company’s stock price, which has fallen nearly 50% in 2024. “Investors are conce ...

My wrong call offers lessons for investors.When it comes to investing mistakes, one of the costliest was underestimating the severity of the 2022 bear market. That led me to make bad bullish calls on some stocks that had lost more than half their value -- and kept falling.One of those stocks was Snap, Inc. (SNAP 1.30%). It had lost more than half of its value, and when it came to Snap stock in the next five years, I speculated that it would beat the S&P 500. Unfortunately, nearly 2.5 years later, the Snapch ...

Snapchat announced on Wednesday that it’s releasing new resources for educators to help them create safe environments in their schools by better understanding how their students use the app. The company debuted a new website dedicated to helping educators familiarize themselves with the app, along with a resource document to help them protect students.The announcement comes as lawmakers have grilled Snapchat, and other social networks, for not doing enough to protect children and teens on their platforms. I ...

Snap Inc. SNAP finds itself in the middle of a perfect storm. The social media and augmented reality Spectacle innovator is wrestling with a Death Cross on its charts, hinting at potential bearish movement. Chart created using Benzinga ProThe stock is down a significant 41.82% year-to-date, further sinking 34.47% in the past month, while barely moving with a 1.62% yearly gain.Fresh Spectacles, Clouded VisionWhile Snap’s technicals suggest a bearish outlook, the company isn't slowing down on its product inno ...

Dublin, Aug. 22, 2024 (GLOBE NEWSWIRE) -- The "Youth and Social Media: How US Kids and Teens Use Platforms From TikTok to Snapchat to YouTube" report has been added to ResearchAndMarkets.com's offering. Popularity among young people is now both a strength and a liability for the social platforms. This year, marketers will have to navigate a complex web of negative consumer perceptions, changing platform restrictions, and budding legislation that could impact how kids and teens use social media. Key Questio ...

Stock Performance and Investment Scenario - Snap Inc's stock price has plummeted 44 1% year to date, underperforming the Zacks Computer and Technology sector's return of 22 5% [1] - The stock presents a high-risk but potentially high-reward scenario, with significant challenges in advertising and competition but innovative approaches and an engaged user base offering hope [1] - Investors must weigh Snap's long-term potential against short-term volatility [1] AR Initiatives and User Growth - Snap's AR features, including AR Lenses, Discover content, Shows, and Snap Map, have expanded its daily active user base to 432 million, with a strong presence in the 13-34 age demographic [2] - AR Lens sharing increased by 12% year-over-year in the second quarter, with over 300,000 creators and developers producing more than 3 million AR Lenses through Lens Studio [2] - Recent updates to Lens Studio streamline the production of complex AR effects, potentially stimulating increased content creation [3] - The AR market is projected to reach $1,869 40 billion by 2032, aligning with Snap's strategic focus on AR [3] Revenue Diversification and Growth Projections - Snapchat+ attracted over 11 million paying subscribers in the second quarter, demonstrating efforts to diversify revenue streams [3] - The Zacks Consensus Estimate projects 16 2% year-over-year revenue growth to $5 35 billion for 2024, with earnings per share estimated at 21 cents, indicating a 133 33% growth year-over-year [4] - Snap's expanding partner network, including ITV and Spotify, is expected to drive net sales in 2024 [3] AI Integration and User Engagement - Snap is strategically pivoting toward AI, introducing "My AI," a ChatGPT-powered chatbot integrated into Snapchat [5] - The GenAI Suite in Lens Studio empowers AR creators to generate custom ML models and assets, enhancing AR features and content creation tools [5] - Over five billion Snaps are created daily, with AI-driven features like editable chats, expanded emoji reactions, and Map Reactions crucial for maintaining user interest [5] - Snap is applying AI to its advertising business, developing tools for more engaging ad experiences and collaborating with tech giants like Microsoft for AI-powered Sponsored Links [6] Competitive and Market Challenges - Snap faces significant challenges from weak advertising spending and intense competition from tech giants like Meta Platforms and Alphabet [7] - Apple's iOS privacy changes have lowered ad revenues, and growing competition from TikTok has dampened user growth and engagement metrics [7] - Macroeconomic headwinds, including rising interest rates and inflation concerns, disproportionately affect growth-focused companies like Snap [7] Valuation and Profitability Concerns - Snap's forward 12-month price-to-sales ratio of 2 69 is higher than the Zacks Internet - Software industry average of 2 55, suggesting high growth expectations but also elevated risk [8] - The company's premium valuation and profitability concerns underscore the importance of effectively monetizing its user base and bringing innovative features to the market [9]

Snap, the parent company of Snapchat, is intensifying its commitment to its community with a suite of new features and improvements designed to create deeper connections and enhance user engagement.The latest updates aim to make communication more dynamic and content more engaging.Earlier this month, Snap officials announced the company reached a milestone during the second quarter: 850 million monthly active users.“Our community grew to reach more than 850 million monthly active users in Q2, with more than ...

The Russell 2000 is down some 9% since late July, and this member of the index is near the cheapest it has been since coming public in 2017.In 2021, Apple changed its privacy rules, which made it harder for application developers to track their users across the internet. That meant social media companies like Snap (SNAP 7.84%) couldn't target users as effectively to sell advertising slots to businesses.Snap has grappled with that challenge ever since, but it's helping advertisers achieve their goals in othe ...

Flashpop/DigitalVision via Getty Images Shares of social media company Snap (NYSE:SNAP) tanked 27% after the company's second fiscal quarter earnings report. Snap collapsed because of a relatively small revenue miss and a weak outlook for the third-quarter, but the market reaction seems widely out of proportion given the overall solid nature of Snap's earnings report. Snap is making solid progress in growing its paid subscription service Snapchat+ and the social media company remained widely EBITDA-profitab ...

hocus-focus/iStock Unreleased via Getty Images Snap (NYSE:SNAP) reported extremely soft second quarter results and was appropriately punished by the market. It could be argued that the stock actually escaped lightly given how poor advertising revenue growth was though. Snapchat+ strength may have softened the blow for investors, although I question whether subscriptions will ever be more than a niche part of the business. I previously suggested that Snap had been unfairly maligned by investors and that ...