Snap (NYSE:SNAP) Rating Increased to Strong-Buy at B.Riley Securit

Snap (NYSE:SNAP) was upgraded by analysts at B.Riley Securit from a “hold” rating to a “strong-buy” rating in a report issued on Thursday,Zacks.com reports.

A number of other analysts have also recently weighed in on the company. JPMorgan Chase & Co. decreased their price objective on Snap from $8.00 to $7.00 and set an “underweight” rating for the company in a research report on Thursday. Arete Research upgraded Snap from a “sell” rating to a “neutral” rating in a research note on Tuesday, November 18th. Rosenblatt Securities lowered their price objective on shares of Snap from $9.50 to $6.40 and set a “neutral” rating on the stock in a research report on Thursday. BNP Paribas Exane initiated coverage on shares of Snap in a research note on Wednesday, January 14th. They issued a “strong sell” rating for the company. Finally, BMO Capital Markets increased their price target on shares of Snap from $12.00 to $13.00 and gave the stock an “outperform” rating in a report on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, twenty-three have given a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $8.66.

Snap Stock Performance

Shares of Snap stock traded up $0.12 on Thursday, hitting $5.24. The stock had a trading volume of 93,051,649 shares, compared to its average volume of 55,887,223. The stock has a market cap of $9.01 billion, a price-to-earnings ratio of -19.41 and a beta of 0.83. The company has a current ratio of 3.67, a quick ratio of 3.67 and a debt-to-equity ratio of 1.57. Snap has a 52-week low of $5.10 and a 52-week high of $11.26. The company’s 50 day moving average price is $7.63 and its 200 day moving average price is $7.87.

Snap (NYSE:SNAP) last released its quarterly earnings results on Wednesday, February 4th. The company reported $0.03 EPS for the quarter, missing the consensus estimate of $0.15 by ($0.12). Snap had a negative return on equity of 20.91% and a negative net margin of 7.76%.The firm had revenue of $1.72 billion for the quarter, compared to analyst estimates of $1.70 billion. During the same period last year, the firm earned $0.01 EPS. The company’s quarterly revenue was up 10.2% on a year-over-year basis. On average, research analysts anticipate that Snap will post -0.3 EPS for the current year.

Insider Buying and Selling at Snap

In other Snap news, insider Ajit Mohan sold 20,848 shares of the firm’s stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $7.62, for a total transaction of $158,861.76. Following the completion of the transaction, the insider directly owned 5,277,816 shares in the company, valued at approximately $40,216,957.92. This trade represents a 0.39% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CAO Rebecca Morrow sold 3,783 shares of the company’s stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $7.34, for a total transaction of $27,767.22. Following the completion of the sale, the chief accounting officer directly owned 483,181 shares in the company, valued at $3,546,548.54. This trade represents a 0.78% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 393,341 shares of company stock valued at $3,169,210 in the last quarter. Insiders own 22.68% of the company’s stock.

Institutional Investors Weigh In On Snap

A number of large investors have recently bought and sold shares of SNAP. Empowered Funds LLC raised its holdings in shares of Snap by 13.3% in the first quarter. Empowered Funds LLC now owns 40,393 shares of the company’s stock worth $352,000 after acquiring an additional 4,754 shares during the last quarter. KLP Kapitalforvaltning AS increased its position in Snap by 1.5% during the 2nd quarter. KLP Kapitalforvaltning AS now owns 471,300 shares of the company’s stock worth $4,096,000 after purchasing an additional 6,900 shares in the last quarter. Coordinated Financial Services Inc. acquired a new position in Snap in the 2nd quarter valued at about $109,000. Blue Trust Inc. raised its stake in Snap by 61.5% in the 2nd quarter. Blue Trust Inc. now owns 6,633 shares of the company’s stock valued at $58,000 after purchasing an additional 2,525 shares during the last quarter. Finally, Zullo Investment Group Inc. lifted its holdings in Snap by 12.8% in the 2nd quarter. Zullo Investment Group Inc. now owns 12,040 shares of the company’s stock valued at $105,000 after purchasing an additional 1,365 shares in the last quarter. Institutional investors and hedge funds own 47.52% of the company’s stock.

Key Stories Impacting Snap

Here are the key news stories impacting Snap this week:

• Positive Sentiment: Q4 report showed revenue growth (+~10% y/y) and a meaningful recovery in profitability (net income up sharply), which helped sentiment after the print. Management emphasized margin improvement and revenue diversification. Snap Q4 results press release
• Positive Sentiment: Large retail/trader activity in call options indicates speculative bullish positioning that can lift intraday prices. Call options activity
• Positive Sentiment: Selective analyst upgrades (e.g., B. Riley and Bank of America raised to Buy) provided some offset to downgrades and supported buying interest. Barron’s: B. Riley upgrade
• Neutral Sentiment: Snap filed its Form 10‑K (standard disclosure) — useful for long‑term due diligence but not a directional catalyst by itself. 10-K filing
• Neutral Sentiment: Management highlighted AI integration across the ad platform as a strategic lever for better ad performance — a positive structural initiative but one whose revenue impact will be gradual. AI across ad platform
• Negative Sentiment: A flurry of price‑target cuts and cautious ratings from major firms (Wells Fargo, Cantor Fitzgerald, Mizuho, Susquehanna, JPMorgan, Evercore, TD Cowen, Rosenblatt, etc.) has weighed on sentiment and capped near‑term upside; analyst consensus remains skewed toward Reduce/Hold. Wells Fargo price target cut
• Negative Sentiment: First‑quarter revenue guidance came in below some street estimates, and management excluded material revenue from a planned Perplexity integration until rollout clarity, which increases near‑term uncertainty. CNBC: guidance and Perplexity note
• Negative Sentiment: Daily active users fell in Q4 (marketing trimmed to focus on profitable growth), and some outlets flagged loss of key support levels — a user‑growth headwind that can pressure ad revenue multiple expansion. Invezz: user growth fading

About Snap

Snap Inc is a camera and social media company best known for developing and operating Snapchat, a multimedia messaging application that allows users to send photos, videos and messages that disappear after being viewed. In addition to its core messaging service, Snap offers a suite of augmented reality (AR) tools, including custom Lenses and Filters, that enable users and third-party developers to create interactive and immersive experiences. The company also provides advertising solutions that allow brands to engage audiences through Snap Ads, Sponsored Lenses and Discover content on the platform.

Founded in 2011 by Evan Spiegel and Bobby Murphy, Snap has continually focused on innovation in camera technology and AR.