Snap stock rose but fell again after the company launched Dynamic Payment Ads in Europe, Australia and the Middle East. Despite this milestone, the stock is still not tipped for future investments.
Snap (SNAP) stock jumped over 20%, from trading at $12.44 to $15. The surge is attributed to a strong growth of revenue and daily users recorded in the first quarter.
Snap’s revenue did not meet analysts’ expectations of $563 million which had a negative impact on SNAP stock price. However, the company managed to increase its daily active user base.
By the end of Q3 2019, Snapchat’s daily active users surged to 210 million while its revenue surged 50% year-to-year and is currently at $446 million.
Facebook has yet again released another Snapchat copycat app. Another one of many attempts and amidst its antitrust case with the FTC, this one has affected Snapchat noticeably, causing a drop in SNAP stock.
It seems that Snap stock has all but given up the ghost. The social network was worth $31 billion after its public debut two years ago. Now it’s less than $8 billion.
U.S. stock futures are trading higher this morning as traders return from the weekend in a buying mood. Ahead of the bell, futures on the Dow Jones Industrial Average are up 0.4% and S&P 500 futures are higher by 0.34%, while Nasdaq-100’s by 0.44%.