econintersect.com
       
  

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.



posted on 23 May 2017

Snapchat: Falling Behind

Written by , Statista.com

-- this post authored by Felix Richter with added content from Econintersect

After a disappointing first quarterly earnings report, Snap's (NASDAQ:SNAP) share price fell sharply.


Please share this article - Go to very top of page, right hand side for social media buttons.


The company’s stock price was down 20 percent in early trading on Thursday May 10 and its getting dangerously close to dropping below its IPO price of $17 for the first time.

As our chart illustrates, many tech companies that went public this decade fell below that symbolic mark sooner or later, the question being whether or not they are able to come back up. While Facebook did so in impressive fashion and is currently trading at nearly four times its former IPO price, many others have yet to recover and maybe never will.

Some analysts are already predicting a similar fate for Snap, which has yet to prove it is really worth its current market capitalization of more than $20 billion. Still far from profitable, the only thing that could justify the company’s lofty valuation would be explosive growth. Many investors had hoped for that to show in yesterday’s results, but as the numbers fell short of expectations, many are now jumping ship.

This chart shows how long it took for the share prices of tech companies to drop below their respective IPO price for the first time.

Infographic: Falling Behind | Statista You will find more statistics at Statista.

Econintersect added content

Our last report on Snapchat (May 16) noted:

So investors are staying with SNAP as a growth story even though positive earnings seem far in the future, if ever. But if the earlier higher growth rates do not return and the slowing growth rates of the last 3 quarters is the new pattern for SNAP, how long will investors continue to support the stock price?

Well, investors are sticking with Snapchat at least for another week, Here is the chart for SNAP showing very stable pricing and low trading volumes 16 May through 23 May:

snap.2017.may.08.23

>>>>> Scroll down to view and make comments <<<<<<

Click here for Historical Investing Post Listing










Make a Comment

Econintersect wants your comments, data and opinion on the articles posted. You can also comment using Facebook directly using he comment block below.




Econintersect Investing








search_box
Print this page or create a PDF file of this page
Print Friendly and PDF


The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.







Keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government





























 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved