- Snap shares (NYSE:SNAP) followed yesterday's postmarket declines from disappointing earnings into regular trading, now down 10.7% on volume that's already doubled daily average and setting new lows.
- Analyst have responded with slashed price targets. Perhaps the lowest comes from Susquehanna, cutting its target to $10, implying 18% more downside from the current price.
- UBS cut its price target to $12 from $19; it's cut Q3 revenue estimates to $257M from $291M, and trimmed EBITDA estimates to -$200M from -$190M and EPS to -$0.32 from -$0.29. There's lots of unanswered long-term questions on the scope of the platform, the firm says.
- Piper Jaffray set its target down to $12.50, and Barclays (LON:BARC) and Citi both cut their price targets to $13. Canaccord Genuity is down to $15 and Stifel Nicolaus is staying bullish at a lowered price target of $18.
- Goldman Sachs (NYSE:GS) wanted to see 10M net new daily active users rather than the 7M Snap delivered, but it's sticking with a Buy rating since Snap's engagement is a “unique asset that will benefit from the growth and diversification of internet usage." It's cutting its price target to $23 from $27.
- Meanwhile, swimming against that negative tide is Drexel Hamilton -- reiterating its Buy rating and a $30 price target (that's 145% upside from today's depressed pricing) on a "good enough" quarter, and preparing to raise estimates on the company's financials.
- Now read: Snap Is Dead On Arrival
Original article