We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Tech stocks helped lift markets to new highs throughout 2017, with the likes of Amazon (AMZN - Free Report) , Facebook , and Alphabet (GOOGL - Free Report) playing a pivotal role in the rally. But one of the most noteworthy and highly anticipated tech IPOs of 2017, Snap Inc. (SNAP - Free Report) , has failed to live up to expectations.
However, shares of the young, struggling social media company surged on Monday on the back of a positive analyst note.
Monness, Crespi, Hardt & Co. analyst James Cakmak wrote to clients that Snap is likely to grow its advertiser base and develop a larger ad inventory. He also pointed to the company’s growing daily active user base and its relationship with Tencent Holdings (TCEHY) as reasons to be more optimistic about Snapchat’s parent company heading into 2018. The Chinese technology powerhouse, which owns WeChat, now holds a 12% stake in Snap.
The analyst also noted that he thinks the company is in a position to beat Wall Street estimates going forward. Following the note, shares of Snap hit $16.22 per share, which marks a 7.63% increase from Friday’s closing price.
This might make some investors start to think that now could be a good time to jump on Snap stock before a possible 2018 revival.
Other Recent Moves
Before Monday’s positive movement, Snap had already seen its stock price soar 21.73% in the last four weeks. And just last week, Barclays (BCS) analyst Ross Sandler upgraded Snap and upped his price target from $11 per share to $18 per share.
Sandler noted that the company’s nearly complete redesign of its Snapchat app for Android devices should increase the messaging app’s use on the popular operating system. The Barclays analyst also wrote that he thinks the company’s Promoted Stories feature will help increase advertisings sales.
Furthermore, Sandler pointed to the app’s young user base as a major reason for his optimistic take on Snap. "At the end of the day the reason marketers should continue to come back to SNAP advertising is because of the stranglehold on the younger demographic, which even Facebook/IG can't match," Sandler wrote.
Snap is currently a Zacks Rank #3 (Hold) and sports an “F” VGM score based on its low Value, Growth, and Momentum grades.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Why Snap Stock Keeps Climbing Ahead of 2018
Tech stocks helped lift markets to new highs throughout 2017, with the likes of Amazon (AMZN - Free Report) , Facebook , and Alphabet (GOOGL - Free Report) playing a pivotal role in the rally. But one of the most noteworthy and highly anticipated tech IPOs of 2017, Snap Inc. (SNAP - Free Report) , has failed to live up to expectations.
However, shares of the young, struggling social media company surged on Monday on the back of a positive analyst note.
Monness, Crespi, Hardt & Co. analyst James Cakmak wrote to clients that Snap is likely to grow its advertiser base and develop a larger ad inventory. He also pointed to the company’s growing daily active user base and its relationship with Tencent Holdings (TCEHY) as reasons to be more optimistic about Snapchat’s parent company heading into 2018. The Chinese technology powerhouse, which owns WeChat, now holds a 12% stake in Snap.
The analyst also noted that he thinks the company is in a position to beat Wall Street estimates going forward. Following the note, shares of Snap hit $16.22 per share, which marks a 7.63% increase from Friday’s closing price.
This might make some investors start to think that now could be a good time to jump on Snap stock before a possible 2018 revival.
Other Recent Moves
Before Monday’s positive movement, Snap had already seen its stock price soar 21.73% in the last four weeks. And just last week, Barclays (BCS) analyst Ross Sandler upgraded Snap and upped his price target from $11 per share to $18 per share.
Sandler noted that the company’s nearly complete redesign of its Snapchat app for Android devices should increase the messaging app’s use on the popular operating system. The Barclays analyst also wrote that he thinks the company’s Promoted Stories feature will help increase advertisings sales.
Furthermore, Sandler pointed to the app’s young user base as a major reason for his optimistic take on Snap. "At the end of the day the reason marketers should continue to come back to SNAP advertising is because of the stranglehold on the younger demographic, which even Facebook/IG can't match," Sandler wrote.
Snap is currently a Zacks Rank #3 (Hold) and sports an “F” VGM score based on its low Value, Growth, and Momentum grades.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>