Snap (SNAP) Reports Q2 Loss, Tops Revenue Estimates

Core Viewpoint - Snap reported a quarterly loss of $0.01 per share, matching the Zacks Consensus Estimate, but down from earnings of $0.02 per share a year ago, indicating an earnings surprise of -200.00% [1] - The company posted revenues of $1.34 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.66% and up from $1.24 billion year-over-year [2] Group 1: Financial Performance - Snap's quarterly loss of $0.01 per share represents a significant decline compared to the previous year's earnings of $0.02 per share [1] - The company has surpassed consensus revenue estimates four times over the last four quarters, with the latest revenue figure of $1.34 billion [2] - The current consensus EPS estimate for the upcoming quarter is $0.04 on revenues of $1.47 billion, and for the current fiscal year, it is $0.26 on revenues of $5.84 billion [7] Group 2: Market Position and Outlook - Snap shares have underperformed the market, losing about 12.1% since the beginning of the year, while the S&P 500 has gained 7.6% [3] - The Zacks Industry Rank places the Internet - Software sector in the top 32% of over 250 Zacks industries, indicating a favorable outlook for the industry [8] - The estimate revisions trend for Snap was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, suggesting expected outperformance in the near future [6]