Snap Inc. (NYSE:SNAP) Posts Earnings Results, Beats Expectations By $0.13 EPS
Aug 12, 2017, 00:09
Arguably not getting enough attention along the way: The impact of Facebook's dominant position in social media advertising is weighing on Snap'srevenue growth the same way it has already weighed on Twitter Inc.'s.
It signals that even as Snapchat plays down user growth, having a strong and broad user base can be crucial to success.
Wall Street, on the other hand, doesn't appear to have the same confidence.
A share lock-up which expires this weekend could provide further misery for Snap and its CEO Evan Spiegel as tied-up investors get an opportunity to get out, Financial Spreads founder Adam Jepsen said. Some investors believe that on an analyst conference call following the quarterly report, Spiegel may reassure investors that he has no immediate plans to sell.
One bright spot: The company did manage to grow its average revenue per user to $1.05 from $0.50 in the year-ago period, a healthy increase of 109%. There was some on-the-surface good news. For comparison, two of Facebook's Snapchat Stories clones, Instagram Stories and WhatsApp Status, have now topped 250 million DAUs. That's compared to $8.3 million in Q1 and $4.5 million in Q4. Analysts polled by Bloomberg had expected 175 million on average. These are the numbers Wall Street is focused on, if not advertisers.
Humanity has now watched Snapchat's animated hot dog gyrate and breakdance more than 1.5 billion times. Though they probably wouldn't be almost as nice as a breakdancing hot dog. "Just because Yahoo has a search box doesn't mean they're Google". Yet, analysts said the tie-up is less about awesome content for Snap and more about TV networks trying to keep up with increasingly scattered audiences. Stifel Nicolaus lowered their price target on Snap from $22.00 to $18.00 and set a "buy" rating on the stock in a report on Friday. The company reported ($2.31) earnings per share for the quarter, missing the Zacks' consensus estimate of ($2.05) by $0.26. Users of the platform are highly engaged, and Snap's new ad buying platform is being rolled out which should reduce friction for advertisers.
But experts aren't impressed that Snap can't generate steady sales growth - "there is little excuse at this late in the game", James Cakmak of Monness, Crespi, Hardt & Co. said ahead of the earnings release. That was more than double the level the prior quarter, meaning ads were shifting more to automation quickly. Snap's quarterly revenue was up 153.1% compared to the same quarter past year. Until the company demonstrates ads in new sections are valuable, analysts and investors are left to do a lot of guesswork, and potentially bet on increased losses. The analyst asked which types of techniques Spiegel didn't like.
The poll was conducted among 625 adults who identified as Republicans or said they lean Republican between June 5th and 20th. Quick with a caveat, the pair noted that their survey "is only measuring reactions to a hypothetical situation".
Cold waves have become less frequent since the early 1900s, while heat waves have become more frequent since the 1960s. The President said the decision was to protect American jobs and he promised to protect the environment.
In April in the same year, a United Airlines flight attendant also pulled off a similar incident by jumping off an aircraft. A passenger has opened an aeroplane door and jumped out prior to the plane arriving at the terminal in San Francisco .
Peter Settelen had subsequently initiated proceedings to recover them, but was struck to the will of the Spencer family ownership. The tapes reveal that when Diana confronted Prince Charles about his affair with Camilla Parker-Bowles, he responded coldly.
Usually, there are some doubts about the safety of online casinos since there are plenty of cheaters in the network. Software used in the online casino belongs to individual companies and not an own developments of casino owners.
Two and a half years after he was detained in Pyongyang , a Mississauga-based pastor of Korean descent has finally been released . State Department said last week it would ban U.S. nationals from travelling to the isolated country from September.
The four men arrested over the alleged plot are yet to be charged, as more details about how they were caught comes to light. Etihad operates direct flights to four Australian cities: Brisbane, Melbourne, Perth and Sydney .
With plenty of points to be won and lost, the title race is still very much on and Arsenal will be confident of bridging the gap. Defensively, Arsenal have improved since Shkodran Mustafi joined the club in the summer but there is still room for improvement.
If Benchmark Capital's lawsuit is successful, Kalanick would be kicked off of Uber's board of directors. The suit seeks to invalidate three new board seats, included among them the one held by Kalanick.
Cleanopolis VR This educational title is primarily for kids but it doesn't mean that people of all ages won't be able to enjoy it. House of Terror VR This game gives you the chance to explore a haunted house full of monsters, traps, and very hard puzzles.
Nascar eSports Future of Racing?
Just like modern stars Cristiano Ronaldo and Lionel Messi have made soccer all the more popular in the United States of America. Still unsure? The series has been shown online since 2010, and the demand to watch it shows the growth is likely to continue.