
Snap (SNAP) Stock Forecast & Price Target
Snap (SNAP) Analyst Ratings
Bulls say
Snap has demonstrated notable growth in its key financial metrics, including a 9.8% year-over-year increase in sales to $1.507 billion for the third quarter, surpassing guidance expectations. The company also reported a global average revenue per user (ARPU) of $3.16, reflecting a 2% year-over-year improvement, while European ARPU rose significantly by 19% year-over-year, indicating robust advertising revenue growth driven by stronger content engagement. Additionally, Snapchat+ subscriptions reached 17 million, contributing to an approximate 8% rise in ARPU, further underscoring the company's expanding revenue streams and user engagement strategies.
Bears say
Snap is facing significant challenges as evidenced by a year-over-year decline in average revenue per user (ARPU) to $2.77 in the third quarter, coupled with a lowered sales outlook for stock-based compensation (SBC), reflecting ongoing revenue growth pressures. The company anticipates a decline in global daily active users (DAUs) by 3 million in the fourth quarter, primarily due to engagement issues and competitive pressures from short-form video platforms. Additionally, concerns regarding ongoing softness in North American DAUs, which is Snap's most lucrative market, pose risks for future user growth amid a backdrop of macroeconomic uncertainty and potential regulatory impacts.
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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