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Snap (SNAP) Falls 8.2% as OpenAI Launches Short-Form Video Product
Yahoo Finance· 2025-10-02 04:46
Core Viewpoint - Snap Inc. (NYSE:SNAP) experienced a significant decline of 8.21% in its share price, closing at $7.71, primarily due to investor concerns over a conservative outlook from an investment firm and the potential impact of OpenAI's new short-form video app on its business [1][3]. Group 1: Stock Performance - Snap Inc. shares fell by 8.21% on Tuesday, closing at $7.71, as investors reacted negatively to a conservative stance from Mizuho Securities [1]. - Mizuho Securities assigned Snap a "neutral" rating with a price target of $9, indicating only a 7% upside from its previous closing price of $8.4 and 16.7% from its latest closing price [2]. Group 2: Market Concerns - Investors are advised to exercise caution regarding Snap Inc. due to weak feedback from its advertising channels [3]. - The decline in Snap's stock was exacerbated by reports of OpenAI launching an image and video generator app that could compete with Snap's offerings [3][4]. Group 3: Competitive Landscape - OpenAI's new app is expected to feature functionalities similar to popular vertical video platforms like TikTok, as well as Facebook, YouTube, and Instagram reels, posing a competitive threat to Snap's own short-form video feature, Spotlight [4].
SNAP Stockholders Should Contact Shareholder Rights Law Firm Robbins LLP Before the Lead Plaintiff Deadline for Information About Leading the Securities Fraud Class Action Lawsuit Against Snap Inc.
Prnewswire· 2025-10-02 01:17
Core Viewpoint - A class action lawsuit has been filed against Snap Inc. for allegedly misleading investors about its business prospects and advertising revenue growth during the specified period [1][2]. Group 1: Allegations and Financial Impact - The complaint alleges that Snap's management created a false impression of reliable advertising revenue information while downplaying significant execution errors and macroeconomic instability [2]. - On August 5, 2025, Snap reported a slowdown in advertising revenue growth, attributing it to issues with its ad platform and other factors, leading to a stock price decline from $9.39 to $7.78, a drop of over 17% [3]. Group 2: Class Action Participation - Shareholders who purchased Snap securities during the class period may be eligible to participate in the class action and can contact Robbins LLP for more information [3]. - The lead plaintiff in the class action will represent other class members, but participation is not required for recovery [3]. Group 3: Legal Representation - Robbins LLP operates on a contingency fee basis, meaning shareholders incur no fees or expenses unless there is a recovery [4]. - The firm has a history of advocating for shareholder rights and holding company executives accountable since 2002 [4].
Up Over 260% in the Past Year, Is It Too Late to Buy Reddit Stock?
Yahoo Finance· 2025-10-02 00:30
Core Insights - Reddit is a highly visited platform with targeted advertising opportunities through its subreddits, allowing advertisers to reach specific user interests without cookie tracking [1] - The company has experienced significant growth, with its stock price increasing over 260% in the past year, leading to a market capitalization of $45 billion [2] Financial Performance - Reddit's revenue for the most recent quarter ending June 30 rose by 78% to $500 million, while daily active unique visitors increased by 21% to 110.4 million [4] - The gross profit margin was nearly 91%, resulting in a solid profit margin of around 18% [4] Valuation Concerns - Despite strong fundamentals, Reddit's stock trades at a high price-to-earnings (P/E) multiple of over 100, which is significantly higher than competitors like Meta Platforms and Pinterest, trading at multiples of 27 and 12 respectively [6][7] - The high P/E ratio raises concerns about potential downside risks, with analysts suggesting a price target of around $202, indicating a possible downside of 17% from current trading levels [8]
Mizuho Initiates Coverage on Pinterest, Inc. (PINS) with $50 PT and Outperform Rating
Yahoo Finance· 2025-10-01 23:39
Pinterest, Inc. (NYSE:PINS) is one of the 13 Best Quality Stocks to Buy According to Hedge Funds, supported by hedge fund interest and significant Profit Margin. Mizuho Initiates Coverage on Pinterest, Inc. (PINS) with $50 PT and Outperform Rating Photo by Souvik Banerjee on Unsplash On September 29, 2025, Mizuho began covering Pinterest, Inc. (NYSE:PINS) with a target price of $50 and an “Outperform” rating, pointing to a possible upside of around 49% from present levels. The firm pointed to Pinterest ...
ROSEN, A TOP RANKED LAW FIRM, Encourages Snap Inc. Investors to Secure Counsel Before Important Deadline in Securities Class Action – SNAP
Globenewswire· 2025-10-01 22:48
Core Viewpoint - Rosen Law Firm is reminding investors who purchased Snap Inc. securities between April 29, 2025, and August 5, 2025, of the upcoming lead plaintiff deadline on October 20, 2025, for a class action lawsuit [1][3]. Group 1: Class Action Details - Investors who bought Snap securities during the specified Class Period may be eligible for compensation without any out-of-pocket fees through a contingency fee arrangement [2]. - A class action lawsuit has already been filed, and interested parties must act by the lead plaintiff deadline to represent other class members [3][5]. - The lawsuit alleges that Snap's management misrepresented the company's advertising revenue and growth potential, leading to investor losses when the truth was revealed [5]. Group 2: Rosen Law Firm's Credentials - Rosen Law Firm emphasizes the importance of selecting qualified legal counsel with a proven track record in securities class actions, highlighting its own success in recovering hundreds of millions for investors [4]. - The firm has been recognized for its leadership in securities class action settlements, achieving the largest settlement against a Chinese company at the time and ranking highly in settlement numbers since 2013 [4].
Meta Will Use AI Interactions to Generate Personalized Ads
PYMNTS.com· 2025-10-01 21:15
Core Insights - Meta will start using user interactions with its AI to enhance personalized ads and content, effective from December 16 [2][3] - The company aims to improve user experience by tailoring ads based on conversations with its AI features, such as voice chats or text exchanges [3] Group 1: Implementation Details - Users will receive notifications and emails about the update starting next week [2] - Meta emphasizes that interactions with AI will serve as additional signals to refine content recommendations [3] - Users can manage their ad preferences through tools like Ads Preferences and other feed controls [3] Group 2: Content and Ad Personalization - Conversations about specific topics, like hiking, will lead to relevant recommendations, such as hiking groups or related ads [3] - Meta will not use AI conversations to generate ads related to sensitive topics, including religious or political views, sexual orientation, and racial or ethnic origin [3] Group 3: Strategic Context - The announcement follows a report indicating Meta's plans to automate ad creation using AI [4] - There are significant risks associated with this approach, including technical reliability and privacy concerns regarding AI-powered devices [5] - Meta's potential to integrate its AI into daily life could reduce reliance on competing phone platforms [6]
Meta Earns Buy Rating as Strong Earnings Align with Ad-Free Subscription Rollout
Yahoo Finance· 2025-10-01 21:10
Core Insights - Meta Platforms, Inc. has received a consensus Buy rating following a strong Q2 2025 performance, with a revenue increase of 22% year-over-year, reaching $47.52 billion [2][4] - The company plans to introduce ad-free subscription versions of Facebook and Instagram, targeting users who prefer an ad-free experience [3][4] Financial Performance - Q2 2025 revenue increased by 22% year-over-year, totaling $47.52 billion [2] - Family daily active people (DAP) grew by 6% year-over-year, contributing to revenue growth [2] - Ad impressions across the Family of Apps rose by 11% year-over-year [2] Subscription Model - Meta will roll out ad-free versions of Facebook and Instagram in the UK, with a monthly subscription fee of £2.99 for web users and £3.99 for iOS and Android users [3] - This new subscription plan is expected to generate additional revenue from users who dislike advertisements [3] Market Position - Meta has a market capitalization of $1,868.27 billion and is recognized as one of the best stocks to invest in and forget [4] - The company has a consensus Buy rating from 70 analysts, indicating strong market confidence [4]
Meta to Announce Third Quarter 2025 Results
Prnewswire· 2025-10-01 20:30
Core Points - Meta Platforms, Inc. will release its third quarter 2025 financial results after market close on October 29, 2025 [1] - A conference call to discuss the results will be held at 1:30 p.m. PT / 4:30 p.m. ET on the same day [1] - The live webcast of the call will be available on the Meta Investor Relations website [1] - A replay of the call and transcripts will be accessible on the same website following the event [2] Company Overview - Meta is focused on building the future of human connection through artificial intelligence and immersive technologies [4] - The company aims to move beyond traditional 2D screens to create experiences that foster deeper connections [4]
Shareholders that lost money on Snap Inc.(SNAP) Urged to Join Class Action – Contact Levi & Korsinsky to Learn More
Globenewswire· 2025-10-01 20:19
Core Viewpoint - A class action securities lawsuit has been filed against Snap Inc. for alleged securities fraud, impacting investors between April 29, 2025, and August 5, 2025 [1][2]. Group 1: Lawsuit Details - The lawsuit claims that Snap provided misleading positive statements while concealing significant declines in advertising revenue growth, which fell from 9% in Q1 to only 1% in April 2025 [2]. - On August 5, 2025, Snap reported a slowdown in advertising revenue growth, attributing it to issues with their ad platform and other factors, leading to a significant stock price drop from $9.39 to $7.78, a decline of approximately 17.15% in one day [2]. Group 2: Next Steps for Investors - Investors who suffered losses during the specified period have until October 20, 2025, to request appointment as lead plaintiff, although participation in any recovery does not require this role [3]. - Class members may be entitled to compensation without any out-of-pocket costs or fees [3]. Group 3: Firm Background - Levi & Korsinsky has a strong track record in securities litigation, having secured hundreds of millions for shareholders over the past 20 years and consistently ranking among the top securities litigation firms in the U.S. [4].
Jim Cramer Was Right About Meta Platforms (META)
Yahoo Finance· 2025-10-01 20:16
Core Insights - Meta Platforms Inc (NASDAQ:META) has been highlighted as a stock to watch due to its advancements in AI capabilities and strong performance in the advertising sector [1][2] Financial Performance - As of September 22, 2023, Meta's stock price increased to $778, reflecting a 30% gain year-to-date from around $645 in January [2] - In the June quarter, Meta reported a 9% year-over-year increase in price per ad, indicating a favorable supply and demand balance for its advertising services [4] AI and Advertising Strategy - Meta is leveraging its vast user base of approximately 3.48 billion daily active users to enhance ad targeting and monetization through AI [4] - The company plans to invest between $60 billion to $65 billion in capital expenditures in 2025 to expand its AI infrastructure [4] - Meta's ongoing investments in AI are expected to support its core advertising business while also exploring opportunities in the metaverse and other AI applications [6] Market Outlook - Despite current growth, the digital advertising market is projected to slow down, with annual growth expected to decrease from 20% (2014-2019) to 9% from 2025 to 2030 [4] - The company must demonstrate tangible results from its AI investments to unlock shareholder value in the short term, contrasting with hardware chip makers like Nvidia [4]