: Value Investing Forum - Singapore, Hong Kong, U.S.

Full Version: Snap Inc.
You're currently viewing a stripped down version of our content. View the full version with proper formatting.
Snapchat IPO Confusion Costing Some Investors

by Jeff Bukhari,Stephen Gandel
Feb 10, 2017

Some investors, it appears, are already losing money on the Snapchat IPO.

On Friday, shares of Snap Interactive dropped 10% to just over $8 mid-day Friday, reversing a huge run up in the stock price, which got as high as $9.98 at one point—a 122% jump from $4.50—since the owner of the fast growing photo sharing app filed in early February for its IPO, which is expected to be one of the market's hottest deals in years.

Here's the thing: Snap Interactive, the company that's stock has soared it appears on investor interest in Snapchat, is not actually the parent company of the popular disappearing message app. That's Snap Inc. and its shares are not traded yet, and probably won't be for a little while, since it just filed to go public.

More details in
Ok.. That is just ridiculous. lol

Anyway, on topic. I really doubt that Snapchat will the the next Facebook at this stage? But it does connect with Millennials in a way few companies could emulate, and that is their asset. 

1980s babies: Facebook (to be fair, Facebook reaches a much wider audience)
1990s babies: Snapchat
2000s babies:

Interesting that we are born only a few years apart, yet we are drawn to such different part of the same Internet. Fascinating.
Snapchat’s IPO is ready for takeoff, and there’s enough fuel for it to soar or burst into flames

It’s showtime for Snapchat.

After five years of enchanting its teenage users, the mobile app-maker will put on a show for the Wall Street crowd on Thursday when it begins trading as a public company.

Will parent company Snap’s stock have a big first-day pop, in the style of other big internet IPOs?

Or will it take a nosedive, emulating Facebook’s surprise fizzle a few years ago?

At its offering price of $17 a share, Snap is coming out with a valuation of $24 billion. That’s a rich valuation for a company that lost half a billion dollars last year and which has only been generating significant revenue for one year.

Snap's Two Co-Founders Are Now Worth $5.3 Billion Each After IPO
Investor appetite for the first tech listing of the year boosted the fortunes of Evan Spiegel and Bobby Murphy.

Snap Inc.’s Evan Spiegel and Bobby Murphy each added $1.6 billion to his fortune Thursday after shares in the photo-sharing mobile app closed at $24.48, 44 percent above their listing price.

Investor appetite for the first technology listing of the year boosted the net worth of each co-founder to $5.3 billion, propelling Spiegel, 26, and Murphy, 28, up more than 150 places on the Bloomberg Billionaires Index, a daily ranking of the world’s 500 richest people.

Other winners from the offering included venture capital firms Benchmark Capital and Lightspeed Venture Partners, whose stakes rose $904 million and $613 million respectively. Snap’s senior vice president of engineering Timothy Sehn, chief strategy officer Imran Khan and chairman Michael Lynton also notched up big paydays.

More details in
Snap's Rebound Accelerates After Big-Name Funds Disclose Positions

by Drew Singer  and Morwenna Coniam
May 16, 2017, 3:34 AM GMT+8 May 16, 2017, 6:03 AM GMT+8

Snap Inc. keeps clawing back losses from last week’s 21 percent swoon, welcome news to any of the institutional owners now detailing stakes in the messaging service -- as long as they didn’t bail in the downdraft.

Fidelity Management & Research, New York-based hedge fund Coatue Management and Singapore state investment firm Temasek Holdings Pte were among those listing positions with the Securities and Exchange Commission in filings today. Some were started before Snap went public. Fidelity and Coatue each reportedly participated in pre-IPO funding rounds.

More details in
Will be checking every quarterly results, but it looks more like twitter than facebook for now.........
Snap sinks to IPO price for first time since market debut

By Noel Randewich | SAN FRANCISCO
Thu Jun 15, 2017 | 6:39pm EDT

Shares of Snap Inc dropped 4.9 percent on Thursday to their initial public offering price, highlighting investors' loss of confidence in the social media company that faces fierce competition from Facebook.

The owner of Snapchat - a mobile app that lets users capture video and pictures that self-destruct after a few seconds - ended at $17.00, the price set in its March initial public offering that was the hottest U.S. technology listing in years.

Snap climbed to $29.44 in the days immediately after its market debut but has since declined. Thursday's price was the lowest since the IPO and it did not sink below $17.00.

Snapchat is popular among people under 30 who enjoy applying bunny faces and vomiting rainbows onto their pictures. But many on Wall Street are critical of its high valuation and slowing user growth. Snap has warned it may never become profitable.

More details in
Snap laid off two dozen employees and half of them were from its content team

John Shinal | Julia Boorstin
Published January 19, 2018

Snap laid off two dozen workers in New York and London, half of whom worked producing content, as the struggling social media company consolidated those operations in Los Angeles, CNBC has confirmed. The cuts were previously reported by Cheddar.

The job cuts affected a tiny percentage of the company, which had nearly 3,000 employees as of its Q3 earnings report.

The cuts come after a recent report, based on confidential company metrics, said Snapchat is still primarily a messaging tool, with only 20 percent of users using the company's Discover Edition daily. The cable network CNN recently scrapped its TV show on Snap.

The parent company of Snapchat has struggled as larger rival Instagram, owned by Facebook, has copied its features.

More details in
In One Tweet, Kylie Jenner Wiped Out $1.3 Billion of Snap’s Market Value

By Justina Vasquez
February 23, 2018, 12:49 AM GMT+8 Updated on February 23, 2018, 6:33 AM GMT+8

Snap Inc.’s flagship platform has lost some luster, at least according to one social-media influencer in the Kardashian-Jenner clan.

Shares of the Snapchat parent company sank 6.1 percent on Thursday, wiping out $1.3 billion in market value, on the heels of a tweet on Wednesday from Kylie Jenner, who said she doesn’t open the app anymore. Whether it’s the demands of her newfound motherhood, or the recent app redesign, the testament drew similar replies from her 24.5 million followers. Wall Street analysts too have begun to notice, citing recent user engagement trends noticed since the platform’s redesign.

Jenner’s tweet was followed late Thursday by one from Maybelline New York, asking its followers if it should stay on the Snapchat platform. The beauty-product brand owned by Paris-based L’Oreal SA said its “Snapchat views have dropped dramatically,” but it still wanted to connect with its followers.

More details in