SNAP Stock Analysis: Snap | NYSE
Internet Content & Information | NYSE, USA | Market Cap: 7.142m USD | 12M Return: -48.4% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 233M
Qual. Beats: 0
Rev. Trend: 99.6%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 9.3 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Snap Inc. is a U.S.-based technology company that designs and operates Snapchat, a visual messaging application featuring camera, stories, Spotlight, and Snap Map functions. The company generates revenue through a combination of advertising products-including AR ads, Snap ads, story ads, collection ads, dynamic ads, and sponsored placements-and subscription services (Snapchat+, Lens+, and Snapchat Platinum). It also sells Spectacles AR glasses and offers an ad buying and campaign management platform, along with ad effectiveness measurement tools. Snap was founded in 2010, is headquartered in Santa Monica, California, and trades on the NYSE under the ticker SNAP after its March 2017 IPO.
Snap operates within the Communication Services sector and the Interactive Media & Services sub-industry, where competitors typically rely on ad-supported, free-to-user platforms monetized through user attention and ad targeting. Augmented reality is a distinct focus for Snap, spanning both consumer hardware (Spectacles) and advertising formats, positioning it as one of the more AR-forward players in social media.
- Digital ad spend recovery lifts impression volumes and pricing
- User growth slows amid TikTok and Meta Reels competition
- Subscription products and AR ads diversify ad-dependent revenue
| Net Income: -409.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 4.23 > 1.0 |
| NWC/Revenue: 50.28% < 20% (prev 63.52%; Δ -13.24% < -1%) |
| CFO/TA 0.11 > 3% & CFO 831.3m > Net Income -409.9m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 3.53 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.69b) vs 12m ago -0.51% < -2% |
| Gross Margin: 55.77% > 18% (prev 54.08%; Δ 1.69% > 0.5%) |
| Asset Turnover: 80.80% > 50% (prev 72.86%; Δ 7.94% > 0%) |
| Interest Coverage Ratio: -2.64 > 6 (EBIT TTM -270.4m / Interest Expense TTM 102.4m) |
| A: 0.41 (Total Current Assets 4.28b - Total Current Liabilities 1.21b) / Total Assets 7.50b |
| B: -1.92 (Retained Earnings -14.4b / Total Assets 7.50b) |
| C: -0.04 (EBIT TTM -270.4m / Avg Total Assets 7.55b) |
| D: 0.38 (Book Value of Equity 2.08b / Total Liabilities 5.42b) |
| Altman-Z'' = -3.41 = D |
| DSRI: 0.93 (Receivables 1.19b/1.16b, Revenue 6.10b/5.53b) |
| GMI: 0.97 (GM 54.08% / 55.77%) |
| AQI: 1.06 (AQ_t 0.28 / AQ_t-1 0.26) |
| SGI: 1.10 (Revenue 6.10b / 5.53b) |
| TATA: -0.17 (NI -409.9m - CFO 831.3m) / TA 7.50b) |
| Beneish M = -3.02 (Cap -4..+1) = AA |
As of July 04, 2026, the stock is trading at USD 4.84 with a total of 37,376,900 shares traded. Over the past week, the price has changed by +11.52%, over one month by -15.97%, over three months by +4.54% and over the past year by -48.40%.
Current recommended Stop Loss: 4.40 (which is 9.1% or 1.5 ATR below the current price).
Snap has received a consensus analysts rating of 3.18. Therefore, it is recommended to hold SNAP.
- StrongBuy: 4
- Buy: 5
- Hold: 32
- Sell: 1
- StrongSell: 2
| Analysts Target Price | 7.6 | 56.6% |
P/E Forward = 8.5106
P/S = 1.1715
P/B = 3.4506
P/EG = 496.0591
Revenue TTM = 6.10b USD
EBIT TTM = -270.4m USD
EBITDA TTM = -103.6m USD
Long Term Debt = 3.49b USD (from longTermDebt, last quarter)
Short Term Debt = 80.3m USD (from shortTermDebt, last quarter)
Debt = 4.87b USD (from shortLongTermDebtTotal, last quarter) + Leases 665.8m
Net Debt = 2.04b USD (calculated: Debt 4.87b - CCE 2.82b)
Enterprise Value = 9.19b USD (7.14b + Debt 4.87b - CCE 2.82b)
Interest Coverage Ratio = -2.64 (Ebit TTM -270.4m / Interest Expense TTM 102.4m)
EV/FCF = 15.09x (Enterprise Value 9.19b / FCF TTM 608.8m)
FCF Yield = 6.63% (FCF TTM 608.8m / Enterprise Value 9.19b)
FCF Margin = 9.99% (FCF TTM 608.8m / Revenue TTM 6.10b)
Net Margin = -6.72% (Net Income TTM -409.9m / Revenue TTM 6.10b)
Gross Margin = 55.77% ((Revenue TTM 6.10b - Cost of Revenue TTM 2.70b) / Revenue TTM)
Gross Margin QoQ = 56.49% (prev 59.0%)
Tobins Q-Ratio = 1.22 (Enterprise Value 9.19b / Total Assets 7.50b)
Interest Expense / Debt = 2.10% (Interest Expense 102.4m / Debt 4.87b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -213.6m (EBIT -270.4m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 3.53 (Total Current Assets 4.28b / Total Current Liabilities 1.21b)
Debt / Equity = 2.34 (Debt 4.87b / totalStockholderEquity, last quarter 2.08b)
Debt / EBITDA = -19.74 (negative EBITDA) (Net Debt 2.04b / EBITDA -103.6m)
Debt / FCF = 3.36 (Net Debt 2.04b / FCF TTM 608.8m)
Total Stockholder Equity = 2.17b (last 4 quarters mean from totalStockholderEquity)
RoA = -5.43% (Net Income -409.9m / Total Assets 7.50b)
RoE = -18.93% (Net Income TTM -409.9m / Total Stockholder Equity 2.17b)
RoCE = -4.78% (EBIT -270.4m / Capital Employed (Equity 2.17b + L.T.Debt 3.49b))
RoIC = -3.52% (negative operating profit) (NOPAT -213.6m / Invested Capital 6.06b)
WACC = 9.01% (E(7.14b)/V(12.0b) * Re(14.01%) + D(4.87b)/V(12.0b) * Rd(2.10%) * (1-Tc(0.21)))
Discount Rate = 14.01% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 60.0 | Cagr: 1.32%
[DCF] Terminal Value 75.88% ; FCFF base≈483.3m ; Y1≈554.1m ; Y5≈815.4m
[DCF] Fair Price = 6.39 (EV 11.0b - Net Debt 2.04b = Equity 8.96b / Shares 1.40b; r=9.01% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.74 | # QB: 0
Revenue Correlation: 99.57 | Revenue CAGR: 12.62% | SUE: 0.04 | # QB: 0
EPS current Quarter (2026-09-30): EPS=-0.01 | Chg30d=N/A | Revisions=+67% | Analysts=30
EPS current Year (2026-12-31): EPS=-0.10 | Chg30d=-1.39% | Revisions=+39% | GrowthEPS=+62.2% | GrowthRev=+12.9%
EPS next Year (2027-12-31): EPS=0.10 | Chg30d=+0.88% | Revisions=+49% | GrowthEPS=+200.8% | GrowthRev=+9.7%
[Analyst] Revisions Ratio: +67%