Snap stock

Snap missed Wall Street expectations for profit and sales when it reported first-quarter results on Thursday after the bell.

A Snap representative declined to name the investment. Snap said it expected June quarter revenue to rise between 20% and 25%, lower than Wall Street's estimate of 28%. It forecasts daily users at about 344 million, ahead of expectations of 341.4 million. Snap missed Wall Street expectations for profit and sales, and forecast disappointing revenue growth in the current quarter, when it reported first-quarter results on Thursday. However, daily users grew 18% annually, more than expected.

Snap stock managed a gain in after-hours trading even as the social media company reported first quarter results that missed estimates.

"In the days immediately following Russia's invasion of Ukraine on Feb. 24, we observed that a large number of advertisers initially paused their campaigns," he said. In addition to entertaining users, augmented reality also serves as a revenue driver. The social media company reported an adjusted loss of 2 cents a share on revenue of $1.06 billion. "On the revenue side, forward looking visibility is as difficult today, or perhaps more difficult, than at any point in recent memory." Revenue jumped 38% from the year-ago quarter. Snap stock initially fell in after-hours trading but later surged well into positive ground.

Snap Inc.'s stock gained in volatile after-hours trading Thursday despite quarterly revenue that didn't meet Wall Street estimates.

The technology is expected to be folded into future versions of Spectacles, Snap’s augmented-reality glasses. Snap’s adjusted net loss was 2 cents a share, besting Street predictions of a loss of 17 cents a share, according to analysts polled by FactSet. For its part, Meta has picked up a slew of startups to kick-start its metaverse push. Daily active users rose 18% to 332 million. Last month, Snap announced its intention to buy NextMind, a Paris-based neurotech startup that has developed a headband that controls aspects of a computer, such as aiming a gun in a videogame, via thoughts. Later in the call, Snap Chief Financial Officer Derek Andersen said that by the latter portion of Q1, advertisers in “a wider variety of industry groups reported concerns related to the macro operating environment, including continued supply chain disruptions, rising input costs, economic concerns due to rising interest rates, and concerns related to geopolitical risks stemming from the war in Ukraine.”

Snap reports earnings after the market closes on April 21. If you're thinking about buying SNAP stock, here's what you need to know.

Despite the fall in its stock price, Snap remains expensive when compared with the general market. I don’t expect Snap to outperform until the environment changes. At a bit under $31 per share at the start of April 21, Snap has a market cap of $51 billion on 2021 revenue of $4.1 billion. As Facebook became Meta and put a bad odor on all social media stocks, however, Snap stock caught the funk. The fourth quarter profit didn’t make up for losses earlier in the year, but for the 12 months there was $342 million in operating cash flow. But before the pandemic, Zuckerberg’s stock outperformed Spiegel’s. Snap was seen as a Facebook “mini-me.” It was only after Facebook’s image cratered that Snap stock came into its own, rising faster in early 2021.

Revenues grew by 38% to $1.063 billion, just short of expectations for $1.07 billion, and net loss was $360 million. Adjusted EBITDA swung to a gain of $64 ...