Taking a Fresh Look at Snap Inc. (SNAP)

Snap Inc. (SNAP) is an interesting player in the Technology space, with a focus on Internet Software & Services. The stock has been active on the tape, currently trading at $12.40, down from yesterday’s close by -2.82%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

This company has been competing with others in the Technology space and offers its own combination of interesting factors Snap Inc. (SNAP) currently trades with a market capitalization of $14.49 Billion. That value represents a market adjusting for revenues that have been growing by 62.19 % on a quarterly year/year basis as of the company’s last quarterly report.

The balance sheet health of any company plays a key role in its ability to meet its obligations and maintain the faith of its investment base. For SNAP, the company currently has $317.55 Million of cash on the books. You can get a sense of how sustainable that is by a levered free cash flow of $-621.89 Million over the past twelve months. Generally speaking, earnings are expected to hold steady in coming quarters. Analysts are forecasting earnings of $-0.16 on a per share basis this quarter. Perhaps, that suggests something about why 16.74% of the outstanding share supply is held by institutional investors.

Technical Analysis

It’s important to check the technicals to get a sense of how SNAP has been acting. Looking at the stock’s movement on the chart, Snap Inc. recorded a 52-week high of $29.44. It is now trading 17.04% off that level. The stock is trading $14.72 its 50-day moving average by 2.32%. The stock carved out a 52-week low down at $11.28.

In recent action, Snap Inc. (SNAP) has made a move of -22.84% over the past month, which has come on weak relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 19.32, and it’s gotten there by action that has been less volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 42.47% with $270.46 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of SNAP.

Previous articleTaking a Fresh Look at Mondelez International, Inc. (MDLZ)
Next articleTaking a Fresh Look at The Wendy’s Company (WEN)