
Snap (SNAP) Stock Forecast & Price Target
Snap (SNAP) Analyst Ratings
Bulls say
Snap has demonstrated strong growth in key financial metrics, reporting a 9.8% year-over-year increase in sales, reaching $1.507 billion in the third quarter, which exceeded the high end of its guidance. The company has also seen a positive trend in global Average Revenue Per User (ARPU), which increased by 2% year-over-year to $3.16, alongside a significant rise in European ARPU, which surged 19% year-over-year. Furthermore, the increase in Snapchat+ subscribers, now totaling 17 million, along with an 8% rise in ARPU for its premium services, underscores the growing demand for Snap's offerings and the potential for future revenue enhancement.
Bears say
Snap's stock faces a negative outlook primarily due to a decline in average revenue per user (ARPU) and continued pressure on user growth, particularly in North America, where daily active users (DAUs) are expected to drop by 2 million sequentially. The company's adjusted guidance for stock-based compensation has been lowered, indicating potential financial difficulties and reflecting a more muted growth forecast compared to previous expectations. Additionally, competition from platforms like Reels and YouTube Shorts is contributing to an erosion of Snap's user engagement and market share, heightening concerns over long-term revenue sustainability.
This aggregate rating is based on analysts' research of Snap and is not a guaranteed prediction by Public.com or investment advice.
Snap (SNAP) Analyst Forecast & Price Prediction
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