Out Fox The $treet

Updated - April 1, 2026 Snap was insanely cheap at $4. Not sold on selling off the Specs biz, but think an activist can push management to do more, such as hike subscription prices. Irenic appears more focused on taking $500M in savings from Specs and repurchasing cheap shares.  -Irenic, which has an economic interest of ~2.5% in Snap's Class A shares, wants the company to spin off or shutter its smart glasses business, Specs, according to a Bloomberg report on Tuesday, which cited a letter Irenic sent to Snap Chief Executive Officer and co-founder Evan Spiegel. The activist believes that moves Snap could make could boost its shares to more than $26 each. -The activist fund also wants Snap (SNAP) to rationalize its cost structure by cutting jobs and changing its compensation structure for employees, according to the report. Irenic also is pushing Snap to concentrate on adopting artificial intelligence to improve ad monetization. Irenic also recommends a stock buyback with the share...

  Snap reported a solid Q3, but the company guided to a potentially weak Q4 on some huge negative assumptions. The social media company now trades at only 3x sales with the market not accurately viewing the recent revenue slowdown in light of the massive growth the last 2 years. Snap reported strong 19% DAU growth providing a better signal on normalized growth. The stock is too cheap here with the panic sell off. This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More »   Snap  ( NYSE: SNAP ) just reported a solid quarter and guided to very conservative Q4 numbers, causing the market to run in fear. The social media company is oddly preparing for a hurricane by announcing another $500 million share buyback. My  investment thesis  is finally Bullish on the stock following a Bearish view since nearly $60 due to Snap trading based on pending doom I think is unlikely to arrive. Read the full article ...

Update - Dec. 12, 2023 Snapchat+ continues lining up the subs sending Snap to yearly highs.  -Snap ( NYSE: SNAP ) on Tuesday said its paid Snapchat+ subscription service now had more than 7M subscribers, and that it was rolling out new artificial intelligence (AI) based features for users. -The company had targeted 10M subscribers for the service when  it had launched Snapchat+ in July last year. It is now more than halfway to that mark in less than 18 months. Snap  in September had said the service had  surpassed  5M users. Update - Oct. 31, 2023 Pinterest reported a great quarter after the close yesterday. The social imaging site appeared to suggest any advertising pause from the Gaza conflict had already restarted. Snap should be above $10 already.  Update - Oct. 25, 2023 Snap originally soared on a surprise profit and a return to sales growth during Q3. The social media stock is the cheaper in the sector and still trades near multi-year l...

Snap (SNAP)  soared the day prior to earnings as the new Lightshed Partners slapped a $20 target on the stock. The market got excited about the call but need to remember that Rich Greenfield had the same target on the stock at his previous firm, BTIG. Rich Greenfield ✔ @RichLightShed Snapping Back: Initiating Snap at BUY with $20 Price Target $ SNAP @ Snap @ Snapchat https:// lightshedtmt.com/2019/10/21/sna pping-back-initiating-snap-at-buy-with-20-price-target/  … Snapping Back: Initiating Snap at BUY with $20 Price Target - LightShed Partners Google and Facebook dominate mobile advertising, but there is plenty of room for other “winners” as mobile time spent continues to scale (link). Brands and advertisers are looking for more ways to... lightshedtmt.com 31 7:59 AM - Oct 21, 2019  ·  Valley Stream, NY Twitter Ads info and privacy See Rich Greenfield's other Tweets ...

Snap (SNAP)   reports better than expected numbers, but the numbers are still very weak. The stock won't hold this rally.  Q4 Non-GAAP EPS of -$0.04 beats by $0.03. Revenue of $389.82M (+36.4% Y/Y) beats by $12.83M. DAUs - 186M vs 184M.  The key number is that Snap is still losing money and the guidance for Q1 is rather weak.  The social messaging service had negative FCF of $149 million and a similar net loss of $158 million.  When a company is losing a sizable amount, the stock won't hold gains based on beating estimates. Snap has to show a more legitimate path to profits, than the CEO saying it while the CFOs keep leaving. Another adjusted EBITDA loss in Q1 of $150 million is another ugly start to another year.  Q1 2019 Outlook - Revenue is expected to be between $285 million and $310 million, or grow between 24% and 34% compared to Q1 2018. - Adjusted EBITDA is expected to be between $(165) million and $(140) million, co...

Update - Apr. 28 Snap will figure it out. The dip is a massive opportunity with the stock trading back towards the October lows and Meta up nearly 200%. -Snap (NYSE:SNAP) has tumbled 18%, its worst decline since October, after a first-quarter earnings report that showed not everyone in the digital advertising world was recovering to start 2023. -Stock in Alphabet and Meta Platforms has rallied as investors processed signs of improvement in those ad businesses. The "haves" have done well this week; the have-nots ... have not. -Snap (SNAP) reported its first-ever decline in quarterly revenues, and while analysts at least saw that part coming, the fall was worse than anticipated: Sales slid 7% vs. an expected drop of 5%. Original article published on Apr. 24 Snap Inc. has made an aggressive move into AI chat, launching MY AI chat for all users. The social messaging company announced over 3 million subscribers to Snapchat+, offering signs of a building recurring revenue stream. S...

  Update - Jan. 16, 2025 Biden's Admin. actions while leaving office will likely be ignored. Any Snap dip is a buying opportunity.  -The Federal Trade Commission has referred a complaint against Snap Inc. (NYSE:SNAP) to the Department of Justice, according to a public statement made by the U.S. government agency Thursday. -The complaint against the Snapchat parent is connected to the deployment of "My AI" chatbot on the company's platform, which the agency alleges poses risk to young users. -The agency said that during its additional investigations on Snap for potential violations of the FTC act, it found reason to believe the company "is violating or is about to violate the law." It added that a proceeding is in the public interest, and as per procedures outlined in the FTC act, it referred the complaint to the Justice Department. Original article posed on Dec. 8 Snap trades near recent lows despite record revenues and a booming subscription business. The c...

If one ever wanted a sign that Snap ( SNAP ) isn't going to see a big rally, one only needs to review the contract of CFO Tim Stone that has decided to depart the company. Mr. Stone was hired away from Amazon (AMZN) to be the adult in the room and turn around the financials of the struggling social messaging company.

Update - Oct. 29 Snap with another strong quarter. At $10, the stock trades like the social messaging play has no growth.  Q3 Non-GAAP EPS of $0.08  beats by $0.03 . Revenue of $1.37B (+15.1% Y/Y)   beats by $10M . Daily Active Users increased 9% year-over-year to 443 million Total time spent watching content increased 25% year-over-year. Update - Sept. 19 Snap making a run after a solid Partner Event with a focus on AI and A/R glasses. The stock could quickly close the gap to $13.  Originally posted on Sept. 8 Snap has fallen to multi-year lows despite strong sales growth and a promising subscription service, making it an undervalued investment below $9. The social messaging company reported 850 million MAUs and 432 million DAUs, with Snapchat+ boosting subscriptions to 11 million. The market is overly focused on volatile advertising revenue, ignoring Snap's potential $700 million in recurring subscription fees by the end of 2024. SNAP stock trades at only 3x forwar...