From Nasdaq: 2024-11-14 02:29:35

Snap’s stock (NYSE: SNAP) dropped 6% after reports of the Trump administration potentially halting a U.S. ban on TikTok next year. ByteDance, TikTok’s owner, faces a January 19 deadline to find a new U.S. owner or risk a ban. Snap could benefit from less competition if TikTok is banned.

Snap’s revenue growth is driven by strong paid subscriber growth, with Snapchat+ boasting 12 million members. Daily active users have increased to 443 million, but average revenue per user is slightly lower. Operating margin has improved to -19.5%, with a positive bottom line on an adjusted basis.

SNAP stock has underperformed, down 34% this year, with volatile annual returns. The Trefis High Quality Portfolio, with 30 stocks, has consistently outperformed the S&P 500. Snap’s valuation is estimated at $13, with room for growth. Peer comparisons can provide valuable insights into Snapchat’s performance.



Read more at Nasdaq: Should You Pick SNAP Stock At $11?