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SANTA MONICA, Calif.--(BUSINESS WIRE)--Snap Inc. (NYSE: SNAP) today announced that Ronan Harris has been named Chief Commercial Officer. Harris will lead Snap's global advertising sales and go-to-market organization, with a focus on driving advertising revenue growth and strengthening advertiser and agency partnerships. Harris has led Snap's business across Europe, the Middle East and Africa for nearly four years. Under his leadership, Europe delivered 10 consecutive quarters of double-digit ye.

In what is being referred to as potentially social media's "Big Tobacco moment," Meta Platforms (META +2.47%) recently announced an agreement with 52 attorneys general under which the parent company of Facebook and Instagram will pay up to $18 billion over the next decade and significantly change its policies for teen users.

While the fine would be the largest consumer-protection settlement ever, excluding Big Tobacco, most Wall Street analysts and experts believe Meta avoided what could have been a vastly larger financial settlement.

But the ramifications from this landmark teen-safety lawsuit could be far worse for social media company Snap (SNAP +4.49%). Here's why.

Image source: Getty Images.

What the Meta settlement means Per the agreement, Meta will pay $12.7 billion to the participating states and U.S. territories in the lawsuit in annual installments over the next decade. The remaining $5.3 billion will be paid based on two conditions: Alphabet's YouTube and TikTok must apply some of the same changes that Meta is making for teens, and those companies must collectively pay a matching $5.3 billion.

Most analysts considered the agreement fairly benign because, before it was agreed to, the maximum damages Meta faced were supposedly as high as $1.4 trillion, with state attorneys general realistically targeting a figure somewhere in the $200 billion range.

Perhaps the more significant part of the case concerns the changes Meta agreed to make to its platform relating to teen usage. Meta plans to limit teen usage to two hours per day across its platforms, and this limit can only be turned off with a parent's permission. Teens will also not be allowed to use Meta's apps between midnight and 6 a.m., and, by default, notifications will be muted between 8 a.m. and 3 p.m., during school hours.

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Other changes include preventing teens from seeing the number of likes and reactions on their posts, and eliminating cosmetic surgery and extreme makeup filters.

Many questions remain about how effective these changes will be and how easily teens will be able to get around them. But it's worth noting that Meta doesn't generate significant revenue from teens. Meta CEO Mark Zuckerberg testified that teens account for only 1% of the company's revenue and that Meta generates nearly all of its revenue from advertising.

I'm not sure that fully quantifies how much advertising revenue teen audiences actually generate for Meta's social media platforms, but the consensus on Wall Street is that this is not an overly punitive outcome for Meta, at least compared to what it could have been.

Why it could be a bigger deal for Snap Snap is nowhere near as big a company as Meta, with a market cap of roughly $9.4 billion as of this writing. Through the first six months of the year, Snap has generated about $3.1 billion of revenue.

But it also looks like Snap will soon face similar charges to the ones Meta just addressed.

Pennsylvania Attorney General Dave Sunday recently announced that the state is suing Snap for allegedly failing to be truthful with parents about the type of content teens were exposed to on Snapchat. Furthermore, the lawsuit accuses Snap of using addictive features to keep younger users engaged. The stock initially sank on the news.

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Snap is much more reliant on younger users than Meta. Back in April, a Pew Research report showed that teens were using Snapchat for messaging more frequently each day than TikTok or Instagram. Teens also reported posting more frequently on Snapchat than on other platforms.

A study from Harvard's T.H. Chan School of Public Health conducted in 2022 and published in 2024 found that 41% of Snapchat's overall revenue came from users under 18. That was the largest share of revenue from that age group among similar platforms such as TikTok, YouTube, and Instagram.

Snap already faces significant challenges. The stock is down nearly 80% since its 2017 IPO due to a lack of profitability, competition, an inability to grow high-quality customers, and shareholder dilution.

Investors may have anticipated that Snap could face fallout from similar issues to those that Meta is facing, but usage restrictions like those being implemented at Meta could be far more detrimental to Snap's business and revenue.

Growth investors are OK with trading off profits for high revenue growth as long as losses get smaller over time. That setup implies that a company can eventually become profitable.

However, if a company remains unprofitable for 15 years, it's best to stay on the sidelines. Snapchat (SNAP +1.29%) fits that category. It's still unprofitable despite having 971 million monthly active users (MAUs). The stock is down by more than 30% year to date.

Image source: Getty Images.

Margins have been improving, but it's also been too long Snapchat delivered second-quarter results that revealed 19% year-over-year revenue growth and narrowing losses. It's a good combination for any growth stock, but investors have every right to be impatient with a company that has remained unprofitable for 15 years.

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Still, net losses came in at $164 million compared to $1.6 billion in revenue. That's a negative net profit margin of roughly 10%. It's still not growing as fast as Meta Platforms (META -1.19%), which delivered 28% year-over-year revenue growth in Q2 2026.

Snapchat anticipates $300 million to $350 million in adjusted EBITDA in the third quarter. That doesn't translate into positive net income, though it's an improvement from the $250 million in adjusted EBITDA during the second quarter. Leadership anticipates positive net income in 2027. A "multi-year dilution management program" beginning in 2027 may undo some of the benefits of positive net income.

The company has done a good job of keeping costs in control as other tech companies scramble to increase their AI spending. Snapchat may fall behind on compelling long-term opportunities because of that decision, but it's a prudent one given the company's financials.

User activity is declining in key regions One of Snapchat's strengths and weaknesses is its 971 million monthly active users. It's a large user base Snapchat can tap into for additional revenue growth, but that also means the company has fewer opportunities to meaningfully grow its user base.

For instance, Snapchat's 971 million MAUs represent a 4% year-over-year growth rate. It's also adding users at a slower rate. Between Q1 2025 and Q2 2025, Snapchat added 19 million MAUs. Looking at Q1 and Q2 2026, Snapchat added only 15 million MAUs.

The positive year-over-year growth rate also masks declining growth rates in North America and Europe, two of Snapchat's most critical markets. Its daily active users in North America are down by 6% year over year and have been steadily declining for multiple quarters. European DAUs are down by 2% year over year and have been flat for multiple quarters.

The U.S. accounted for 59% of Snapchat's Q2 revenue, and Europe made up 22% of total revenue. Sure, DAUs across the rest of the world continue to grow, but ARPU remains much lower than in the U.S. and Europe. The ARPU for non-U.S. and non-European regions is only $1, while the ARPU is $10.26 in the U.S.

This long-term trend does not look good for Snapchat, and if it's not reversed, potential profits in 2027 may not last for long.

Pennsylvania just handed Snap a fresh lawsuit hours after the stock posted a rare gain, while Meta quietly closed a deal that could have cost it close to its entire market cap. The two prints reveal exactly how much balance…

Two separate youth-safety legal events are hitting the social media group in the same Wednesday morning session, and the market reactions are moving in opposite directions. One name is buying certainty at a price it can absorb, while the other is picking up fresh exposure with the smallest balance sheet in the group.

Snap (NYSE:SNAP | SNAP Price Prediction) stock is down 7% to $5.52 after Pennsylvania Attorney General Dave Sunday sued the company over Snapchat’s effects on children, erasing Tuesday’s 7% gain. Meanwhile, Meta Platforms (NASDAQ:META) stock is down 0.4% to $567.70 after agreeing to settle a 29-state teen social media addiction case for up to $16.7 billion, ending a trial in its second week.

For sector context, the Invesco QQQ Trust (NASDAQ:QQQ) ETF is up 0.1% to $711.63, so the selling looks Snap-specific rather than a broad technology-sector move. Alphabet (NASDAQ:GOOGL) is a covered co-defendant in the remaining teen social media cases, with no same-day price move available.

Pennsylvania Sues Snap While Meta Settles With 29 States Pennsylvania’s attorney general filed suit Tuesday evening alleging Snapchat is designed for compulsive use by minors and that its disappearing-message design puts children at risk. The filing was reported by CBS News, The Hill, and NBC10 Philadelphia. Snap hasn’t been found liable of anything at this stage.

Meta agreed to settle claims from state attorneys general who had alleged the company deliberately designed Facebook and Instagram to addict teens, with the states citing violations of state consumer protection laws and the federal Children’s Online Privacy Protection Act. Bloomberg reported that Meta’s own calculations put a potential trial loss at as much as $1.4 trillion in penalties, an amount close to its market capitalization. That framing helps explain why the settlement reads as manageable risk removal for Meta Platforms.

Collectively, Meta, Alphabet’s Google, Snap, and TikTok face more than 3,000 personal injury claims from individuals and families and roughly 1,300 lawsuits from public school districts, per Bloomberg. Two other teen cases naming Meta, Google, and Snap remain scheduled for October trials, so Alphabet and Snap keep meaningful docket exposure even after Wednesday’s headline.

Small-Cap Snap Wears the Bigger Proportional Burden Snap stock trades in the low single digits, so small dollar swings translate into outsized percentage moves, which is part of why Snap is the loudest name in the group today. Snap is also by far the smallest company in the cohort, which makes any settlement benchmark set by Meta a heavier proportional burden on its balance sheet.

Meta Platforms is absorbing a much larger nominal figure without materially denting its share price. The mega-cap has the cash flow and revenue base to price in known legal overhangs, book the charge, and move on. The two prints together capture why size and cash generation matter when youth-safety cases move from filing to resolution.

Alphabet sits in the middle of that spectrum on scale, and Google’s inclusion in the remaining October cases keeps it in the same regulatory conversation as Snap. Without a same-day tape reaction for Alphabet stock, however, Wednesday’s asymmetry is fully expressed in the Snap and Meta prints.

Scorecard and What Comes Next Snap stock had rallied 7% in Tuesday’s session before the Pennsylvania headline surfaced, so today’s 8% drop wipes out that pop and pushes the stock back into familiar territory. Meta Platforms stock was down 13% year to date through Tuesday’s close, and the muted reaction to a headline settlement suggests the market had already partially discounted a resolution.

The QQQ ETF’s 0.1% move confirms that Wednesday’s action reads as a single-name story with no sector rotation behind it. Alphabet’s role as a remaining co-defendant is worth tracking, though without a same-day print for Alphabet stock, there’s nothing to score for it today.

Investors can watch for whether Snap files a substantive response to the Pennsylvania complaint in the coming days. Additional state attorneys general could follow Pennsylvania’s lead in the wake of the Meta settlement.

Given Snap’s small balance sheet relative to potential legal exposure, moderating their positions on this name is the more defensive posture until the October trial calendar clarifies. Meta Platforms has bought a large piece of certainty, and holders can size their exposure to the reduced overhang, while Snap stockholders may prefer to keep their risk budget tight.

Contact [email protected] for any questions or corrections.

CFO Douglas Hott sold ~132,000 shares for a total value of ~$685,797 based on the August 17, 2026 weighted average price. The disposition represented 5% of direct Class A Common Stock holdings and was conducted at $5.20 per share.

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Meta buy vs SNAP

Buy Meta (META) as a relative trade. Snap’s core ad weakness plus legal overhang makes it harder for Snap to win back advertiser trust and spend. Second-order effect: ad budgets rotate toward platforms with cleaner regulatory optics and more stable monetization, pressuring Snap’s ad growth while supporting Meta’s ad demand and pricing power.

Key Risk: A regulatory ruling or product/engagement shift that materially weakens Meta’s ad business or forces costly changes that narrow the gap.

SNAP sell

Sell Snap (SNAP). The stock is breaking below ~$4.99 and sits just above the 20-day MA, so momentum can accelerate. The legal/regulatory hit (Section 230 narrowed to an affirmative defense) raises defense-cost and liability uncertainty right into the Aug 17 repricing window. Insider selling by CTO Murphy adds “no confidence” optics after weak Q2. Even with revenue up, core ad growth is only +9% while most growth is Snapchat+—a sign marketers aren’t fully returning.

Key Risk: A clear legal path to dismissals or a major settlement that sharply caps liabilities, removing the uncertainty premium.

Snap SNAP shares are slipping on Monday morning as investors react to a severe regulatory and legal headwind alongside heavy insider sales.

Following the sell-off, SNAP sits just above its 20-day moving average (MA) – with a clear break below the $4.99 level expected to accelerate bearish momentum in the near-term.

Snap stock has been a disappointing investment in 2026, currently trading roughly 40% below its price at the start of this year.

Investors are responding mostly to a regulatory filing revealing CTO Robert Murphy has disposed of 4 million company shares for just over $21.5 million in total.

While this was executed under a pre-arranged 10b5-1 plan, the optics of this insider sale are surely bearish for SNAP shares, particularly since the liquidation comes on the heels of weak Q2 earnings.

Markets are reading this development as a lack of insider confidence in the firm’s ability to regain its post-earnings declines – at least anytime soon.

Crucially, the social media company has a history of closing both August and September in “red”, a seasonal pattern that further dulls its appeal for the near-term.

For SNAP stock, it has been one bad news after another since the company posted its Q2 financials on August 3.

Today’s fallout is partly related to last week’s ruling by the 9th US Circuit Court of Appeals as well, which denied Snap and its peer platforms Section 230 immunity – greenlighting more than 3,000 consolidated multi-district lawsuits involving addiction and minor safety allegations.  

Importantly, the ruling narrows Section 230 from a pre-trial shield into a mere affirmative defense, forcing Snap Inc to fight claims on their merits rather than securing easy dismissals.

The company’s share price is sinking on August 17th as Wall Street reprices it to account for huge unquantifiable legal liabilities, defense costs, and potential product design mandates.

Markets’ reaction to recent setbacks has been particularly pronounced since Snap’s latest quarterly print did rather little to boost confidence as well.

In fiscal Q2, the NYSE-listed firm posted a better-than-expected 19% increase in revenue to $1.6 billion; however, more than half of this incremental growth actually came from non-ad subscription sales (Snapchat+) rather than core digital advertising, which went up a modest 9% only.

This ad-revenue disconnect suggests that Snap continues losing ground to rivals like Meta, leaving its core business vulnerable to shifting marketer spend despite strong Snapchat+ subscriber growth.

Heading into August 17th, Wall Street had a consensus Hold rating on SNAP shares, with a bullish mean price target of $7.51.

However, it’s reasonable to expect some downward revisions to account for the aforementioned setbacks in the weeks ahead.

Shares in Reddit Inc (NYSE:RDDT), the social media platform, surged 12.45% in extended trading on Thursday after S&P Dow Jones Indices announced the business will join the S&P 500.

The company will enter the prominent equity index before the US market opens on August 18.

The stock replaces Avalonbay Communities Inc (NYSE:AVB), a real estate investment trust currently being acquired by Equity Residential (NYSE:EQR).

Inclusion in the benchmark typically generates significant institutional demand because passive funds must adjust their portfolios to hold the new constituent.

The social media company went public on the US stock market in March 2024 and currently has a market capitalisation of about $30.4 billion.

Reddit will join Meta Platforms Inc (NASDAQ:META, XETRA:FB2A, SIX:FB) as one of the few social-media-focused companies in the index.

Sector peers such as Pinterest Inc (NYSE:PINS) and Snap Inc (NYSE:SNAP) have not yet achieved the scale required for inclusion in the major index.

Questions still remain over whether Reddit can maintain stable user growth as artificial intelligence alters how internet traffic is distributed.

The second-quarter results released at the end of July provided positive signals to investors, but the impressive revenue figures did not entirely dispel market concerns.

The company noted that US user growth had slowed and traffic from search engines remained subject to significant volatility.

Unstable search referral volumes have also led investors to re-evaluate Reddit's reliance on the Google search ecosystem.

In the second quarter, US daily active user growth was just 6%, down from 7% in the previous quarter.

Meanwhile, international user growth reached 28%, though monetisation efficiency for overseas users was noticeably lower than in the US market.

As Alphabet Inc (NASDAQ:GOOG)'s Google continues to push forward with Gemini-powered AI search and AI summary features, the market is concerned that users may increasingly seldom click directly on traditional web links.

As of the close on August 13, the stock remains down about 31.9% year-to-date, leaving a significant gap from its peak of over $270 last year.

Did you analyze how Snap (SNAP - Free Report) fared in its international operations for the quarter ending June 2026? Given the widespread global presence of this company behind Snapchat, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.

In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.

International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.

In our recent assessment of SNAP's quarterly performance, we discovered notable trends in its overseas revenue sections, which are typically modeled and scrutinized by Wall Street analysts.

The company's total revenue for the quarter amounted to $1.6 billion, marking an increase of 18.9% from the year-ago quarter. We will next turn our attention to dissecting SNAP's international revenue to get a clearer picture of how significant its operations are outside its main base.

Exploring SNAP's International Revenue PatternsRest of World generated $302.3 million in revenues for the company in the last quarter, constituting 18.9% of the total. This represented a surprise of -2.95% compared to the $311.49 million projected by Wall Street analysts. Comparatively, in the previous quarter, Rest of World accounted for $353.69 million (23.1%), and in the year-ago quarter, it contributed $258.99 million (19.3%) to the total revenue.

Of the total revenue, $353.81 million came from Europe during the last fiscal quarter, accounting for 22.1%. This represented a surprise of +1.27% as analysts had expected the region to contribute $349.37 million to the total revenue. In comparison, the region contributed $323.85 million, or 21.2%, and $265.34 million, or 19.7%, to total revenue in the previous and year-ago quarters, respectively.

Revenue Forecasts for the International MarketsFor the current fiscal quarter, it is anticipated by Wall Street analysts that Snap will post revenues of $1.72 billion, which reflects an increase of 14.4% the same quarter in the previous year. The revenue contributions are expected to be 21.2% from Rest of World ($365.92 million), and 22% from Europe ($378.63 million).

For the entire year, the company's total revenue is forecasted to be $6.77 billion, which is an improvement of 14.1% from the previous year. The revenue contributions from different regions are expected as follows: Rest of World will contribute 21.3% ($1.44 billion), and Europe 21.8% ($1.48 billion) to the total revenue.

Wrapping UpRelying on international markets for revenues, Snap faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.

In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.

We at Zacks strongly focus on the dynamic earnings forecast of companies, given that empirical studies have demonstrated its potent impact on the immediate price movement of stocks. Invariably, there's a positive relationship -- upward earnings predictions often result in an increase in stock prices.

The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.

At present, Snap holds a Zacks Rank #3 (Hold). This ranking implies that its near-term performance might mirror the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Examining the Latest Trends in Snap's Stock ValueThe stock has increased by 13.9% over the past month compared to the 3.4% increase of the Zacks S&P 500 composite. Meanwhile, the Zacks Computer and Technology sector, which includes Snap,has increased 2.8% during this time frame. Over the past three months, the company's shares have experienced a loss of 3.6% relative to the S&P 500's 6% increase. Throughout this period, the sector overall has witnessed a 3% increase.

Posted by Defense World Staff on Aug 8th, 2026

Empowered Funds LLC raised its stake in Snap Inc. (NYSE:SNAP – Free Report) by 39.8% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 338,774 shares of the company’s stock after purchasing an additional 96,495 shares during the period. Empowered Funds LLC’s holdings in Snap were worth $1,558,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors have also made changes to their positions in SNAP. Allworth Financial LP raised its stake in Snap by 92.3% in the third quarter. Allworth Financial LP now owns 3,293 shares of the company’s stock valued at $25,000 after buying an additional 1,581 shares in the last quarter. Oak Harvest Investment Services acquired a new position in shares of Snap during the 4th quarter worth about $26,000. Arax Advisory Partners increased its holdings in shares of Snap by 220.0% in the 4th quarter. Arax Advisory Partners now owns 3,309 shares of the company’s stock valued at $27,000 after acquiring an additional 2,275 shares during the last quarter. V Square Quantitative Management LLC purchased a new position in shares of Snap in the 4th quarter valued at about $29,000. Finally, EverSource Wealth Advisors LLC raised its position in shares of Snap by 561.4% during the 4th quarter. EverSource Wealth Advisors LLC now owns 3,618 shares of the company’s stock worth $29,000 after acquiring an additional 3,071 shares in the last quarter. Hedge funds and other institutional investors own 47.52% of the company’s stock.

Snap Stock Up 2.0% Snap stock opened at $5.33 on Friday. The company has a debt-to-equity ratio of 1.75, a current ratio of 2.94 and a quick ratio of 3.53. Snap Inc. has a 1-year low of $3.81 and a 1-year high of $9.28. The company has a market cap of $8.99 billion, a PE ratio of -29.58 and a beta of 1.03. The stock’s 50 day moving average price is $4.92 and its 200 day moving average price is $5.29.

Snap (NYSE:SNAP – Get Free Report) last released its quarterly earnings data on Monday, August 3rd. The company reported ($0.10) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.12) by $0.02. Snap had a negative return on equity of 14.61% and a negative net margin of 4.90%.The firm had revenue of $1.60 billion during the quarter, compared to analysts’ expectations of $1.54 billion. During the same quarter in the prior year, the business posted ($0.16) earnings per share. Snap’s revenue was up 18.9% compared to the same quarter last year. On average, sell-side analysts predict that Snap Inc. will post -0.07 EPS for the current fiscal year.

Snap News Roundup Here are the key news stories impacting Snap this week:

Positive Sentiment: Freedom Capital upgraded Snap from “hold” to “strong-buy,” adding a bullish endorsement following the company’s recent earnings performance. Zacks.com Positive Sentiment: Snap’s second-quarter results strengthened hopes for a turnaround. Revenue reached $1.60 billion, ahead of expectations, while the adjusted loss per share was narrower than analysts anticipated; revenue also increased 18.9% year over year. Snap: Strong Q2 Earnings Bolster Hopes Of A Turnaround Positive Sentiment: Coverage from Cantor Fitzgerald and Wells Fargo projected meaningful upside for Snap, reinforcing investor optimism that improving operating trends could support further appreciation. Cantor Fitzgerald Forecast Wells Fargo Forecast Positive Sentiment: Citigroup raised its price target to $6.75, signaling valuation upside from recent trading levels. Citigroup Price Target Neutral Sentiment: Citizens JMP reiterated a “market perform” rating, suggesting the firm sees balanced risk and reward rather than a decisive near-term catalyst. Citizens JMP Rating Negative Sentiment: An analyst downgrade led to an 8.1% decline in Snap shares, highlighting continued sensitivity to cautious Wall Street views despite the strong quarter. Snap Trading Down on Analyst Downgrade Negative Sentiment: Rosenblatt Securities issued a pessimistic forecast, adding to concerns that Snap’s earnings improvement may not yet represent a durable recovery. Rosenblatt Securities Forecast Insider Buying and Selling In other news, CTO Robert C. Murphy sold 2,000,000 shares of Snap stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $5.55, for a total transaction of $11,100,000.00. Following the completion of the sale, the chief technology officer directly owned 41,809,791 shares in the company, valued at approximately $232,044,340.05. This trade represents a 4.57% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, General Counsel Zachary M. Briers sold 129,493 shares of the firm’s stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $5.60, for a total value of $725,160.80. Following the completion of the transaction, the general counsel directly owned 2,644,538 shares of the company’s stock, valued at $14,809,412.80. The trade was a 4.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 4,868,059 shares of company stock valued at $26,955,631 in the last 90 days. 22.68% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In Several equities research analysts recently weighed in on the company. Tigress Financial initiated coverage on Snap in a research note on Monday, April 27th. They set a “buy” rating for the company. KeyCorp raised shares of Snap from a “sector weight” rating to an “overweight” rating in a report on Monday, April 27th. Cantor Fitzgerald boosted their price objective on shares of Snap from $5.00 to $6.00 and gave the stock a “neutral” rating in a research report on Tuesday. Guggenheim upped their target price on shares of Snap from $5.00 to $5.50 and gave the company a “neutral” rating in a report on Tuesday. Finally, Zacks Research downgraded shares of Snap from a “hold” rating to a “strong sell” rating in a research report on Monday, August 3rd. Two research analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating, twenty-three have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, Snap presently has a consensus rating of “Hold” and an average target price of $7.65.

Read Our Latest Stock Report on SNAP

Snap Profile (Free Report)

Snap Inc is a camera and social media company best known for developing and operating Snapchat, a multimedia messaging application that allows users to send photos, videos and messages that disappear after being viewed. In addition to its core messaging service, Snap offers a suite of augmented reality (AR) tools, including custom Lenses and Filters, that enable users and third-party developers to create interactive and immersive experiences. The company also provides advertising solutions that allow brands to engage audiences through Snap Ads, Sponsored Lenses and Discover content on the platform.

Founded in 2011 by Evan Spiegel and Bobby Murphy, Snap has continually focused on innovation in camera technology and AR.

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Posted by Defense World Staff on Aug 6th, 2026

Snap Inc. (NYSE:SNAP – Get Free Report) shares dropped 8.1% during mid-day trading on Wednesday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The stock traded as low as $5.31 and last traded at $5.32. Approximately 33,843,688 shares changed hands during trading, a decline of 30% from the average daily volume of 48,659,684 shares. The stock had previously closed at $5.79.

Several other research firms also recently weighed in on SNAP. Cantor Fitzgerald raised their target price on Snap from $5.00 to $6.00 and gave the company a “neutral” rating in a research report on Tuesday. Evercore set a $8.00 target price on shares of Snap in a research note on Tuesday. Sanford C. Bernstein reissued a “market perform” rating and issued a $5.00 price target on shares of Snap in a research note on Tuesday, July 21st. Stifel Nicolaus set a $7.50 price objective on shares of Snap in a report on Tuesday. Finally, Benchmark restated a “hold” rating on shares of Snap in a report on Tuesday. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, twenty-four have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Snap presently has an average rating of “Hold” and an average price target of $7.65.

View Our Latest Stock Report on SNAP

Insider Buying and Selling at Snap In other Snap news, CAO Rebecca Morrow sold 16,729 shares of the business’s stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $5.60, for a total value of $93,682.40. Following the sale, the chief accounting officer owned 512,811 shares of the company’s stock, valued at $2,871,741.60. The trade was a 3.16% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Ajit Mohan sold 6,923 shares of the company’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $5.58, for a total value of $38,630.34. Following the transaction, the insider owned 5,050,968 shares in the company, valued at $28,184,401.44. This trade represents a 0.14% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 2,868,059 shares of company stock valued at $15,855,631. 22.68% of the stock is currently owned by company insiders.

Trending Headlines about Snap Here are the key news stories impacting Snap this week:

Positive Sentiment: Q2 results showed improving fundamentals. Revenue rose 18.9% year over year to $1.60 billion, exceeding the $1.54 billion consensus, while the reported loss of $0.10 per share was narrower than expected. Adjusted EBITDA increased sharply, supported by advertising growth, subscriptions and AI tools. Snap second quarter results lifted by improving advertising trends Positive Sentiment: Management issued an upbeat near-term outlook. Higher advertising demand, including spending tied to the FIFA World Cup, and stronger North American large-advertiser activity helped drive expectations for continued growth. Snap stock jumps as World Cup ads, AI tools drive earnings beat and strong outlook Positive Sentiment: Options activity suggests some traders remain bullish. High-volume purchases of Snap call options indicate that certain investors are positioning for a rebound or further volatility. Stock Traders Buy High Volume of Snap Call Options Hedge Funds Weigh In On Snap A number of hedge funds and other institutional investors have recently bought and sold shares of SNAP. Allworth Financial LP boosted its stake in shares of Snap by 92.3% in the third quarter. Allworth Financial LP now owns 3,293 shares of the company’s stock valued at $25,000 after purchasing an additional 1,581 shares during the period. Oak Harvest Investment Services purchased a new stake in Snap during the 4th quarter worth approximately $26,000. Arax Advisory Partners lifted its holdings in Snap by 220.0% during the 4th quarter. Arax Advisory Partners now owns 3,309 shares of the company’s stock worth $27,000 after buying an additional 2,275 shares in the last quarter. V Square Quantitative Management LLC acquired a new stake in Snap during the 4th quarter worth approximately $29,000. Finally, EverSource Wealth Advisors LLC boosted its position in Snap by 561.4% in the 4th quarter. EverSource Wealth Advisors LLC now owns 3,618 shares of the company’s stock valued at $29,000 after buying an additional 3,071 shares during the period. 47.52% of the stock is currently owned by hedge funds and other institutional investors.

Snap Price Performance The company has a debt-to-equity ratio of 1.67, a quick ratio of 3.53 and a current ratio of 3.53. The company has a market cap of $8.99 billion, a PE ratio of -29.55 and a beta of 1.03. The company’s 50-day simple moving average is $4.94 and its 200 day simple moving average is $5.31.

Snap (NYSE:SNAP – Get Free Report) last posted its quarterly earnings data on Monday, August 3rd. The company reported ($0.10) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.12) by $0.02. The business had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.54 billion. Snap had a negative return on equity of 14.16% and a negative net margin of 4.90%.The company’s revenue was up 18.9% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.16) earnings per share. On average, sell-side analysts predict that Snap Inc. will post -0.07 earnings per share for the current fiscal year.

Snap Company Profile (Get Free Report)

Snap Inc is a camera and social media company best known for developing and operating Snapchat, a multimedia messaging application that allows users to send photos, videos and messages that disappear after being viewed. In addition to its core messaging service, Snap offers a suite of augmented reality (AR) tools, including custom Lenses and Filters, that enable users and third-party developers to create interactive and immersive experiences. The company also provides advertising solutions that allow brands to engage audiences through Snap Ads, Sponsored Lenses and Discover content on the platform.

Founded in 2011 by Evan Spiegel and Bobby Murphy, Snap has continually focused on innovation in camera technology and AR.

See Also Five stocks we like better than Snap SpaceX: Love the Company, But the Stock Is a Harder Call Ulta’s Growth Is Real, But So Are the Risks BWX Technologies Is Turning the AI Power Problem Into a Nuclear Growth Story Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Receive News & Ratings for Snap Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Snap and related companies with MarketBeat.com's FREE daily email newsletter.

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The setup is classic: a wounded stock paired with an intact franchise. Yet no deal for Snap (NYSE:SNAP | SNAP Price Prediction) has been announced or rumored, so this is a thought experiment. The shares closed at $5.79 on August 4, 2026, down 38.9% over the past year, against an intact base of 971 million monthly active users and Q2 2026 revenue of $1.599 billion, up 18.9% year on year. Market cap sits near $9.7 billion. The critical constraint: co-founders Evan Spiegel and Bobby Murphy hold super-voting Class C shares. No buyer arrives unless the founders decide to sell.

Ranked: Longest Shot to Cleanest Fit 4. Amazon: Ad Ambition, Weak Social DNA Amazon (NASDAQ:AMZN) has the checkbook and a fast-scaling ad engine at $19.8 billion in Q2 advertising revenue, up 26%. Snap would extend reach and layer commerce onto Rufus and Alexa. The drawback: Amazon has never built a hit consumer social product. Integration risk is highest here.

3. Pinterest: The Dark-Horse Merger of Equals Pinterest (NYSE:PINS) carries a $14.3 billion market cap against Snap’s $9.7 billion. A stock-for-stock combination of two visual, younger-skewing ad platforms would create scale to compete with Meta. Drawback: neither side brings deep cash, and combined regulatory review would be uncomfortable.

2. Alphabet: The Strategic Bullseye Alphabet (NASDAQ:GOOGL) commands a $4.6 trillion market cap with $55.9 billion in cash. YouTube Shorts, Android, Gemini, and its AR roadmap align with Snap’s Spotlight, Lens+, and SPECS glasses, which launch this fall. The drawback: Alphabet is under DOJ scrutiny, making any social-media acquisition a political fight.

1. Microsoft: Cleanest Antitrust Path, Biggest Wallet Microsoft (NASDAQ:MSFT) has a $3.7 trillion market cap and FY26 capex of $115.95 billion. LinkedIn is professional; Microsoft has no consumer social property, which is why Snap fits. Azure’s cloud infrastructure and Copilot AI could turbocharge Snap’s ad stack; HoloLens heritage aligns with SPECS. Regulatory friction is the lowest of the four candidates.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Snap didn't make the cut. Grab the names FREE today.

What About Meta or Private Equity? Meta Platforms (NASDAQ:META) may seem like the most natural buyer on paper, but it is effectively out of the running as an acquirer. The FTC’s ongoing scrutiny of Instagram and WhatsApp deals makes a Snap tie-up a nonstarter. Ray-Ban Meta glasses also compete directly with SPECS.

Large-cap tech take-private specialists such as Silver Lake and Thoma Bravo could underwrite an $8 billion equity check. Supporting that thesis: Snap generated $120.5 million in Q2 free cash flow, and Q3 adjusted EBITDA is guided to $300 million–$350 million. PE would slot between #2 and #3, cleaner than Amazon or Pinterest but a longer shot than Microsoft. Obstacles include elevated stock-based compensation near $1.1 billion annually, uncertain SPECS capex, and the founder gate.

What to Watch Everything routes back to Class C. As Spiegel put it, “Our largest long-term opportunity is SPECS, a new kind of computer built into see-through glasses.” Founders building toward a hardware moonshot rarely sell. Co-founder Murphy’s disposal of roughly 5.5 million shares in May 2026 appears to be planned diversification, not a deal signal. Any takeout chatter remains speculation.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Snap didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

Montero Mining and Exploration Ltd (TSX-V:MON, OTC:MXTRF) said a new drillhole at its Elvira Gold Project in northern Chile hit strong signs of a gold-bearing hydrothermal system, with pyrite mineralization found at depth.

The hole, MON-ELV-02, was drilled to 625.25 metres and targeted a zone the company flagged as high-priority using geological mapping, geochemistry, geophysics and AI-assisted data modelling.

Logging showed altered volcanic rock near surface sitting on top of an intrusive rock body called a porphyry, the type of formation often associated with large gold and copper deposits. Pyrite, a mineral commonly linked to gold mineralization, showed up repeatedly below about 253 metres, including at the very bottom of the hole. Trace copper minerals were also spotted but need lab confirmation.

Dr. Tony Harwood, President and CEO of Montero, said the logging results back up the company's target model for Elvira.

“The hole intersected the predicted volcanic sequence and underlying porphyry, together with high-sulphidation alteration and pyrite corresponding spatially to the high-chargeability anomaly,” Harwood said in a statement. “Assay results will determine the metal content of the hydrothermal system."

The hole was drilled next to an old well, EL-12, drilled decades earlier by Buena Vista Gold Corp to about 282 metres, where Buena Vista had reported a strong hit. Montero's new hole went more than 340 metres deeper than that old test.

Core samples are now being cut and sent to the lab, with results expected to sharpen the company's next round of drill targets.

Snap Inc (NYSE:SNAP) shares surged 14% following the social media company’s second quarter results, after revenue and adjusted earnings came in ahead of Wall Street expectations and the company provided an upbeat outlook for the third quarter.

Snap reported revenue of $1.60 billion for the second quarter, above the $1.54 billion analyst consensus, while its net loss of $0.10 per share was narrower than the expected $0.12 loss.

Jefferies analysts wrote that the results provided “early evidence of the ads business improving,” pointing to acceleration in advertising revenue growth to 9% year over year from 3% in the first quarter.

The improvement was driven by better trends among large North American advertisers, World Cup-related demand, adoption of Smart Campaigns and strength among small and medium-sized businesses.

The analysts noted that the acceleration came against an easier comparison, however, and wrote that sustained momentum in the second half of the year will be important for a meaningful re-rating of the stock.

Snap also reported 493 million daily active users in the quarter, above the 488 million expected by analysts. North American daily active users were stable sequentially after declining in each of the prior two quarters.

For the third quarter, Snap guided for revenue growth of 13% to 15% year over year, with the midpoint ahead of Wall Street’s 13% estimate. Jefferies wrote that the outlook appeared achievable, while noting that the guidance implies advertising growth below 10% sequentially.

The analysts also highlighted higher infrastructure costs as an area to watch, with Snap raising its full-year infrastructure cost guidance by about $50 million to $1.65 billion to $1.70 billion, reflecting increased investment in artificial intelligence and machine learning. The company expects savings related to its workforce reduction to have a greater impact in the second half.

Jefferies reiterated its ‘Buy’ rating on Snap and raised its price target to $6 from $5.50, citing the stronger second quarter and third quarter revenue outlook. The analysts raised their 2027 revenue and EBITDA estimates by 2% and 1%, respectively.

Steffen Szumowski Nuclear Analyst with Vettafi joined Steve Darling from Proactive to discuss the evolving nuclear energy sector, saying today's industry is "hard to recognize" compared with past decades as restarts, plant life extensions, and new reactor construction replace years of shutdowns. 

Szumowski said the current nuclear revival began before the recent surge in artificial intelligence, describing AI as "gasoline on top of a fire" rather than the original catalyst. He believes the shift was driven primarily by global climate policies following the Paris Agreement, with growing recognition that renewable energy alone cannot provide the reliable, low-carbon baseload electricity needed to meet future demand.

The discussion also focused on energy security, with Szumowski pointing to geopolitical events, including the Russia-Ukraine war and tensions involving Iran, as reinforcing the importance of domestic energy independence. He cited France's large nuclear fleet as an example of how nuclear generation has helped reduce exposure to volatile fossil fuel prices.

On reactor development, Szumowski highlighted the rapid pace of new construction in China, ongoing projects in the UK and Russia, and continued progress on advanced reactor technologies in the United States. While no new large-scale reactors have yet broken ground in the U.S., he said companies such as Cameco have suggested additional announcements could emerge through U.S. Department of Energy and Department of Commerce initiatives.

Looking ahead, Szumowski believes investors have not missed the opportunity, describing the nuclear renaissance as "still just getting started" with additional announcements expected across both large-scale nuclear plants and small modular reactor projects. One ETF to watch is the Range Nuclear Renaissance Index ETF which is designed to track the performance of companies that are involved in the nuclear fuel and energy.

#proactiveinvestors #RangeNuclearRenaissanceIndexETF #NuclearEnergy #NuclearRenaissance #Uranium #EnergyTransition #CleanEnergy #SmallModularReactors #AI #PowerGeneration #Investing #EnergySecurity

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Rosenblatt Securities: Snap’s revenues grew 18.9% year-on-year to $1.599 billion and adjusted EBITDA rose sixfold to $250 million, exceeding guidance of $1.52-$1.55 billion and $175-$200 million, respectively, Crockett said in a note.

While global DAU (daily active users) rose 10 million sequentially to 493 million and global MAU (monthly active users) grew 15 million to 971 million, this was "essentially all in the lower-monetizing Rest of World segment," with DAU in North America and Europe remaining unchanged, he added.

Snap’s guidance reflects a deceleration in both revenue and adjusted EBITDA growth in the third quarter to 13%-15% and 65%-92%, respectively, the analyst stated.

"Snap says it intends to step up share repurchase to keep share count flat, suggesting repurchase of ~100M shares/year, at a cost of ~$600M that would mitigate cash flow if applied," he further wrote.

DA Davidson: Snap reported revenues of $1.599 billion and adjusted EBITDA of $250 million, beating consensus estimates of $1.539 billion and $193 million, respectively, Swanson said. He added that revenues were driven by:

Better momentum with large advertisers in North America Stronger international revenue growth World Cup spend Continued strength in small and medium businesses (SMBs) The results support the company’s "efforts towards sustained positive net income beginning in 2027," the analyst wrote. While Snap is focusing on profitability, investors should watch free cash flow per share, as this gives the company the flexibility to continue investing in long-term opportunities, he added.

Cantor Fitzgerald: Snap reported revenues and EBITDA above Street expectations, mainly due to an acceleration in ad revenues, Mathivanan said. Total DAU grew 5% year-on-year to 493 million, exceeding Street as the company’s North America user base stabilized, he added.

Management’s third-quarter revenue outlook came above expectations, while their EBITDA guide came in line due to incremental infrastructure costs, the analyst stated. Snap expects acceleration in ad revenues and healthy growth in subscriptions from product unlocks, he noted.

JPMorgan: Snap’s ongoing efforts to improve monetization and profitability "are beginning to pay off," Anmuth said. He added that the acceleration in ad revenue was due to:

Easier comps Improvements with North America large advertisers, driven by ad platform enhancements Traction with AI-powered Smart Campaign Solutions Continued SMB and lower funnel momentum "We are encouraged by early signs of improving advertising trends, subscription traction, and focus on profitability & FCF generation, but favorable comps & the World Cup (~2 points of growth) helped, and demonstrating durability & consistent execution will be critical," the analyst further wrote.

SNAP Price Action: Shares of Snap had risen by 13.74% to $5.76 at the time of publication on Tuesday.

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Key Takeaways Snap made free cash flow per share the primary financial objective, tying it to leverage and dilution control.Q2 revenues rose 19% to $1.60B, while adjusted costs grew 4% and free cash flow reached $121M.Other revenues grew 85% to $316 million, while less than 3% of monthly active users are paying subscribers. Snap Inc. (SNAP - Free Report) used its second-quarter 2026 earnings call to elevate free cash flow per share as the primary financial objective, linking operating leverage, capital allocation and dilution management.

Chief executive officer Evan Spiegel and chief financial officer Doug Hott framed stronger advertising execution and rapid subscription growth as the foundation for that goal, while keeping Specs investment inside a disciplined spending framework. 

SNAP Makes Cash Flow the Operating TestHott said Snap intends to grow revenues faster than costs, then direct cash toward high-return investments, balance-sheet strength and share repurchases.

Second-quarter revenues rose 19% to $1.60 billion, while adjusted costs increased 4%. Gross margin reached 58% and free cash flow was $121 million.

Earnings were 6 cents per share compared with the Zacks Consensus Estimate of 7 cents. Revenues, however, exceeded the Zacks Consensus Estimate of $1.53 billion. 

Snap Guides for Continued LeverageHott guided third-quarter revenues to $1.70-$1.74 billion and adjusted EBITDA to $300-$350 million.

Full-year infrastructure cost guidance increased to $1.65-$1.70 billion from $1.60-$1.65 billion, indicating additional AI and machine-learning capacity to support revenue growth.

Snap maintained its approximately $2.75 billion adjusted operating expense outlook and approximately $1.05 billion stock-based compensation forecast. Restructuring savings should become more visible in the third quarter and beyond. 

SNAP Tests the Durability of Ad GainsSpiegel said advertising revenues grew 9% to $1.28 billion as lower-funnel tools improved outcomes. Platform conversions increased 56%, while app purchase volume rose 128%.

A JPMorgan analyst questioned whether the acceleration was durable. Spiegel pointed to broader gains across automation, measurement, attribution, advertiser spending and newer formats.

A LightShed Partners analyst pressed management on the World Cup benefit. Hott said it aided the quarter, but third-quarter guidance also reflects normalization of that spending and a tougher year-over-year comparison. 

Snap Builds a Second Revenue EngineSpiegel highlighted 85% growth in other revenues to $316 million, led by Snapchat+, Memory Storage and Lens+.

Less than 3% of monthly active users are paying subscribers. Spiegel sees additional room through premium features, AI creative tools and new subscription products.

Asked by a Wolfe Research analyst about penetration, Spiegel described the business as early and cited a 7-12% long-term range observed among other app-based subscription products. 

SNAP Keeps Specs Within Financial GuardrailsSpiegel positioned Specs as Snap’s largest long-term opportunity, with a consumer launch event scheduled for Sept. 16 and availability planned later this fall.

The $2,195 product remains a high-consideration purchase. In Q&A, Spiegel emphasized hands-on experience, product quality and ecosystem development rather than near-term volume.

Hott said Specs spending is included in the existing expense outlook and will be paced against product, ecosystem and economic milestones. Spiegel expects mass-market adoption toward the end of the decade as weight and cost decline. 

Snap Watches Engagement and RegulationSpiegel said monthly active users reached 971 million and daily active users reached 493 million. U.S. Spotlight posters increased more than 115%, while daily active Spotlight users rose more than 20%.

North American daily active users stabilized sequentially at 92 million, though the reported total remained down 7% year over year. Spiegel said Snap is focused on activation, retention and deeper engagement.

Hott also flagged age assurance, privacy, online safety and youth-related litigation as risks that could affect product design, costs, user growth and engagement. 

SNAP Leaves the Call Focused on ExecutionThe call’s tone centered on converting improved monetization into durable cash generation without relaxing cost discipline.

Snap’s operating agenda combines ad-platform investment, subscription expansion, dilution control and measured Specs funding, with regulatory exposure remaining a stated constraint.

Snap’s Zacks Signals Remain SplitSNAP currently carries a Zacks Rank #5 (Strong Sell), reflecting unfavorable earnings estimate revision trends. Its Growth Score of A, Momentum Score of B and VGM Score of A are favorable, while the Value Score of D is weaker.

Style Scores complement rather than override the Zacks Rank, which remains the first screen in the Zacks framework. The rank can change as analysts revise estimates following the just-reported results.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Snap Inc. (SNAP) Q2 2026 Earnings Call August 3, 2026 5:00 PM EDT

Company Participants

David Ometer - Head of Investor Relations
Evan Spiegel - Co-Founder, CEO & Director
Doug Hott - Chief Financial Officer

Conference Call Participants

Douglas Anmuth - JPMorgan Chase & Co, Research Division
Ross Sandler - Barclays Bank PLC, Research Division
Daniel Salmon - New Street Research LLP
Richard Greenfield - LightShed Partners, LLC
Michael Nathanson - MoffettNathanson LLC
James Heaney - Jefferies LLC, Research Division
Mark Shmulik - Bernstein Institutional Services LLC, Research Division
Eric Sheridan - Goldman Sachs Group, Inc., Research Division
Shweta Khajuria - Wolfe Research, LLC
Lloyd Walmsley - Mizuho Securities USA LLC, Research Division

Presentation

Operator

Good afternoon, everyone, and welcome to Snap Inc.'s Second Quarter 2026 Earnings Conference Call. [Operator Instructions] I would now like to turn the call over to David Ometer, Head of Investor Relations.

David Ometer
Head of Investor Relations

Thank you, and good afternoon, everyone. Welcome to Snap's Second Quarter 2026 Earnings Conference Call. With us today are Evan Spiegel, Chief Executive Officer and Co-Founder; and Doug Hott, Chief Financial Officer. Please refer to our Investor Relations website at investor.snap.com to find today's press release, earnings slides and investor letter. This conference call includes forward-looking statements, which are based on our assumptions as of today. Actual results may differ materially from those expressed in these forward-looking statements, and we make no obligation to update our disclosures.

For more information about factors that may cause actual results to differ materially from these forward-looking statements, please refer to the press release we issued today as well as risks described in our most recent Form 10-K or Form 10-Q, particularly in the section titled Risk Factors. Today's call will include both GAAP and non-GAAP measures. Reconciliations between the two can be found in today's press release and earnings slides available on our

Snap (SNAP - Free Report) came out with quarterly earnings of $0.06 per share, missing the Zacks Consensus Estimate of $0.07 per share. This compares to a loss of $0.01 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -14.29%. A quarter ago, it was expected that this company behind Snapchat would post earnings of $0.09 per share when it actually produced earnings of $0.1, delivering a surprise of +11.11%.

Over the last four quarters, the company has surpassed consensus EPS estimates two times.

Snap, which belongs to the Zacks Internet - Software industry, posted revenues of $1.6 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.31%. This compares to year-ago revenues of $1.34 billion. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Snap shares have lost about 41.9% since the beginning of the year versus the S&P 500's gain of 9.4%.

What's Next for Snap?While Snap has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Snap was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.17 on $1.7 billion in revenues for the coming quarter and $0.60 on $6.69 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the bottom 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Opendoor Technologies Inc. (OPEN - Free Report) , has yet to report results for the quarter ended June 2026. The results are expected to be released on August 4.

This company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -100%. The consensus EPS estimate for the quarter has been revised 7.1% lower over the last 30 days to the current level.

Opendoor Technologies Inc.'s revenues are expected to be $913.04 million, down 41.7% from the year-ago quarter.

SANTA MONICA, Calif.--(BUSINESS WIRE)--Snap Inc. (NYSE: SNAP) today announced financial results for the quarter ended June 30, 2026.

“Q2 reflects the progress we are making to strengthen our core business and build a more durable financial foundation for Snap,” said Evan Spiegel, co-founder and CEO. “We grew revenue by 19%, expanded margins, and generated positive free cash flow while improving advertising performance and rapidly growing our direct revenue business. We remain focused on serving our 971 million monthly active users, delivering measurable value for advertisers, and investing with discipline to increase free cash flow per share over time.”

Q2 2026 Financial Summary

Revenue was $1,599 million, compared to $1,345 million in the prior year, an increase of 19% year-over-year. Net loss was $164 million, compared to $263 million in the prior year. Adjusted EBITDA was $250 million, compared to $41 million in the prior year. Operating cash flow was $176 million, compared to $88 million in the prior year. Free Cash Flow was $121 million, compared to $24 million in the prior year. Common shares outstanding was 1,682 million as of June 30, 2026, compared to 1,682 million as of June 30, 2025. Three Months Ended
June 30,

Percent
Change

Six Months Ended
June 30,

Percent
Change

2026

2025

2026

2025

(Unaudited)

(dollars in thousands, except per share amounts)

Revenue

$

1,598,993

$

1,344,930

19

%

$

3,127,784

$

2,708,147

15

%

Operating loss

$

(170,721

)

$

(259,676

)

34

%

$

(245,170

)

$

(453,522

)

46

%

Net loss

$

(163,960

)

$

(262,570

)

38

%

$

(252,911

)

$

(402,157

)

37

%

Adjusted EBITDA (1)

$

249,615

$

41,270

505

%

$

482,948

$

149,695

223

%

Net cash provided by operating activities

$

176,214

$

88,494

99

%

$

502,993

$

240,104

109

%

Free Cash Flow (2)

$

120,538

$

23,793

407

%

$

406,545

$

138,189

194

%

Diluted net loss per share attributable to common stockholders

$

(0.10

)

$

(0.16

)

38

%

$

(0.15

)

$

(0.24

)

38

%

Q3 2026 Outlook

Snap Inc. will discuss its Q3 2026 outlook during its Q2 2026 Earnings Call (details below) and in its investor letter available at investor.snap.com.

Conference Call Information

Snap Inc. will host a conference call to discuss the results at 2:00 p.m. Pacific / 5:00 p.m. Eastern today. The live audio webcast along with supplemental information will be accessible at investor.snap.com. A recording of the webcast will also be available following the conference call.

Snap Inc. uses its websites (including snap.com and investor.snap.com) as means of disclosing material non-public information and for complying with its disclosure obligation under Regulation FD.

Definitions

Free Cash Flow is defined as net cash provided by (used in) operating activities, reduced by purchases of property and equipment.

Common shares outstanding plus shares underlying stock-based awards includes common shares outstanding, restricted stock units, restricted stock awards, and outstanding stock options.

Adjusted EBITDA is defined as net income (loss), excluding interest income; interest expense; other income (expense), net; income tax benefit (expense); depreciation and amortization; stock-based compensation expense; payroll and other tax expense related to stock-based compensation; and certain other items impacting net income (loss) from time to time.

Constant Currency Revenue is defined as GAAP revenue in the current period translated using the prior period average monthly exchange rates for revenue transactions in currencies other than the U.S. dollar. We calculate the Constant Currency Revenue percentage change using current period Constant Currency Revenue and prior period GAAP revenue.

A Daily Active User (DAU) is defined as a registered and logged-in Snapchat user who visits Snapchat through our applications or websites at least once during a defined 24-hour period. We calculate average DAUs for a particular quarter by adding the number of DAUs on each day of that quarter and dividing that sum by the number of days in that quarter.

Average Revenue Per User (ARPU) is defined as quarterly revenue divided by the average DAUs.

A Monthly Active User (MAU) is defined as a registered and logged-in Snapchat user who visits Snapchat through our applications or websites at least once during the 30-day period ending on the calendar month-end. We calculate average Monthly Active Users for a particular quarter by calculating the average of the MAUs as of each calendar month-end in that quarter.

Note: For adjustments and additional information regarding the non-GAAP financial measures and other items discussed, please see “Non-GAAP Financial Measures,” “Reconciliation of GAAP to Non-GAAP Financial Measures,” and “Supplemental Financial Information and Business Metrics.”

About Snap Inc.

Snap Inc. is a technology company. We believe the camera presents the greatest opportunity to improve the way people live and communicate. Snap contributes to human progress by empowering people to express themselves, live in the moment, learn about the world, and have fun together.

Snap Inc. operates Snapchat, a visual messaging app that enhances your relationships with friends, family, and the world, and Specs Inc., a wholly-owned subsidiary dedicated to making computing more human, in addition to Bitmoji, Saturn, and other digital services. For more information, visit snap.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, about us and our industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, including statements regarding guidance, our future results of operations or financial condition, future stock repurchase programs or stock dividends, business strategy and plans, user growth and engagement, product initiatives, objectives of management for future operations, and advertiser and partner offerings, are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “going to,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” or the negative of these words or other similar terms or expressions. We caution you that the foregoing may not include all of the forward-looking statements made in this press release.

You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this press release primarily on our current expectations and projections about future events and trends, including our financial outlook, macroeconomic uncertainty, and geo-political events and conflicts, that we believe may continue to affect our business, financial condition, results of operations, and prospects. These forward-looking statements are subject to risks and uncertainties related to: our financial performance; our ability to attain and sustain profitability; our ability to generate and sustain positive cash flow; our ability to attract and retain users, partners, and advertisers; competition and new market entrants; managing our growth and future expenses; compliance with new laws, regulations, and executive actions; our ability to maintain, protect, and enhance our intellectual property; our ability to succeed in existing and new market segments; our ability to attract and retain qualified team members and key personnel; our ability to repay or refinance outstanding debt, or to access additional financing; future acquisitions, divestitures, or investments; and the potential adverse impact of climate change, natural disasters, health epidemics, macroeconomic conditions, and war or other armed conflict, as well as risks, uncertainties, and other factors described in “Risk Factors” and elsewhere in our most recent periodic report filed with the U.S. Securities and Exchange Commission, or SEC, which is available on the SEC’s website at www.sec.gov. Additional information will be made available in our periodic report that will be filed with the SEC for the period covered by this press release and other filings that we make from time to time with the SEC. In addition, any forward-looking statements contained in this press release are based on assumptions that we believe to be reasonable as of the date of this press release. We undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, including future developments related to geo-political events and conflicts and macroeconomic conditions, except as required by law.

Non-GAAP Financial Measures

To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we use certain non-GAAP financial measures, as described below, to understand and evaluate our core operating performance. These non-GAAP financial measures, which may be different than similarly titled measures used by other companies, are presented to enhance investors’ overall understanding of our financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.

We use the non-GAAP financial measure of Free Cash Flow, which is defined as net cash provided by (used in) operating activities, reduced by purchases of property and equipment. We believe Free Cash Flow is an important liquidity measure of the cash that is available, after capital expenditures, for operational expenses and investment in our business and is a key financial indicator used by management. Additionally, we believe that Free Cash Flow is an important measure since we use third-party infrastructure partners to host our services and therefore we do not incur significant capital expenditures to support revenue generating activities. Free Cash Flow is useful to investors as a liquidity measure because it measures our ability to generate or use cash. Once our business needs and obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth.

We use the non-GAAP financial measure of Adjusted EBITDA, which is defined as net income (loss), excluding interest income; interest expense; other income (expense), net; income tax benefit (expense); depreciation and amortization; stock-based compensation expense; payroll and other tax expense related to stock-based compensation; and certain other items impacting net income (loss) from time to time. We believe that Adjusted EBITDA helps identify underlying trends in our business that could otherwise be masked by the effect of the expenses that we exclude in Adjusted EBITDA.

We use the non-GAAP financial measure of Constant Currency Revenue, which is defined as GAAP revenue in the current period translated using the prior period average monthly exchange rates for revenue transactions in currencies other than the U.S. dollar. We calculate the Constant Currency Revenue percentage change using current period Constant Currency Revenue and prior period GAAP revenue. We report revenue on a constant-currency basis in order to facilitate period-to-period comparisons of our results without regard to the impact of fluctuating foreign currency exchange rates, which we believe is helpful to investors. However, Constant Currency Revenue is a non-GAAP financial measure, may be calculated differently from similarly titled measures used by other companies, and is not meant to be considered as an alternative or substitute for comparable measures prepared in accordance with GAAP.

We believe that these non-GAAP financial measures provide useful information about our financial performance, enhance the overall understanding of our past performance and future prospects, and allow for greater transparency with respect to key metrics used by our management for financial and operational decision-making. We are presenting these non-GAAP measures to assist investors in seeing our financial performance through the eyes of management, and because we believe that these measures provide an additional tool for investors to use in comparing our core financial performance over multiple periods with other companies in our industry.

For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measure, please see “Reconciliation of GAAP to Non-GAAP Financial Measures.”

Snap Inc., “Snapchat,” and our other registered and common law trade names, trademarks, and service marks are the property of Snap Inc. or our subsidiaries.

SNAP INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands, unaudited)

  Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Cash flows from operating activities

Net loss

$

(163,960

)

$

(262,570

)

$

(252,911

)

$

(402,157

)

Adjustments to reconcile net loss to net cash provided by operating activities:

Depreciation and amortization

46,945

40,023

91,641

77,738

Stock-based compensation

263,189

251,886

513,229

499,224

Amortization of debt issuance costs and debt discount (premium)

(967

)

(550

)

(1,898

)

7,092

Losses (gains) on debt and equity securities, net

(129

)

(1,208

)

716

14,592

Gain on extinguishment of debt

—

—

—

(66,939

)

Other

10,909

12,362

16,035

11,557

Change in operating assets and liabilities, net of effect of acquisitions:

Accounts receivable, net of allowance

(67,614

)

(3,088

)

107,021

191,128

Prepaid expenses and other current assets

(14,460

)

(7,058

)

(30,730

)

(29,886

)

Operating lease right-of-use assets

15,734

13,797

30,848

27,920

Other assets

159

(2,117

)

(81

)

6,893

Accounts payable

(59,745

)

(94,203

)

(37,701

)

(59,943

)

Accrued expenses and other current liabilities

155,599

147,695

87,950

(14,873

)

Operating lease liabilities

(9,011

)

(8,492

)

(21,466

)

(25,485

)

Other liabilities

(435

)

2,017

340

3,243

Net cash provided by operating activities

176,214

88,494

502,993

240,104

Cash flows from investing activities

Purchases of property and equipment

(55,676

)

(64,701

)

(96,448

)

(101,915

)

Purchases of strategic investments

—

(20,000

)

(5,934

)

(20,000

)

Cash paid for acquisitions, net of cash acquired

(25,678

)

(35,499

)

(65,048

)

(35,499

)

Purchases of marketable securities

(213,798

)

(390,866

)

(516,158

)

(626,665

)

Sales of marketable securities

55,359

425,157

287,457

437,158

Maturities of marketable securities

216,138

301,348

429,738

565,114

Other

(500

)

—

(500

)

—

Net cash provided by (used in) investing activities

(24,155

)

215,439

33,107

218,193

Cash flows from financing activities

Proceeds from issuance of notes, net of issuance costs

—

—

—

1,473,083

Repurchases of Class A non-voting common stock

(250,465

)

(243,473

)

(600,964

)

(500,573

)

Deferred payments for acquisitions

(2,642

)

(9,562

)

(2,642

)

(67,539

)

Repurchases of convertible notes

—

—

—

(1,444,626

)

Repayment of convertible notes

—

(36,240

)

—

(36,240

)

Other

(1,799

)

(1,800

)

(3,400

)

(3,699

)

Net cash used in financing activities

(254,906

)

(291,075

)

(607,006

)

(579,594

)

Change in cash, cash equivalents, and restricted cash

(102,847

)

12,858

(70,906

)

(121,297

)

Cash, cash equivalents, and restricted cash, beginning of period

1,063,338

916,079

1,031,397

1,050,234

Cash, cash equivalents, and restricted cash, end of period

$

960,491

$

928,937

$

960,491

$

928,937

SNAP INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share amounts, unaudited)

  Three Months Ended June 30,

Six Months Ended June 30,

2026

2025

2026

2025

Revenue

$

1,598,993

$

1,344,930

$

3,127,784

$

2,708,147

Costs and expenses:

Cost of revenue

667,885

653,333

1,333,126

1,292,912

Research and development

542,092

443,325

1,020,388

867,490

Sales and marketing

298,399

257,853

537,410

515,810

General and administrative

261,338

250,095

482,030

485,457

Total costs and expenses

1,769,714

1,604,606

3,372,954

3,161,669

Operating loss

(170,721

)

(259,676

)

(245,170

)

(453,522

)

Interest income

24,672

33,199

51,131

70,217

Interest expense

(36,941

)

(27,607

)

(73,697

)

(51,006

)

Other income (expense), net

21,502

(823

)

20,488

48,246

Loss before income taxes

(161,488

)

(254,907

)

(247,248

)

(386,065

)

Income tax expense

(2,472

)

(7,663

)

(5,663

)

(16,092

)

Net loss

$

(163,960

)

$

(262,570

)

$

(252,911

)

$

(402,157

)

Net loss per share attributable to Class A, Class B, and Class C common stockholders:

Basic

$

(0.10

)

$

(0.16

)

$

(0.15

)

$

(0.24

)

Diluted

$

(0.10

)

$

(0.16

)

$

(0.15

)

$

(0.24

)

Weighted average shares used in computation of net loss per share:

Basic

1,663,449

1,674,854

1,675,483

1,685,544

Diluted

1,663,449

1,674,854

1,675,483

1,685,544

SNAP INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except par value)

  June 30,
2026

December 31,
2025

(unaudited)

Assets

Current assets

Cash and cash equivalents

$

958,848

$

1,030,435

Marketable securities

1,700,910

1,910,137

Accounts receivable, net of allowance

1,237,338

1,372,237

Prepaid expenses and other current assets

309,533

272,065

Total current assets

4,206,629

4,584,874

Property and equipment, net

586,268

578,075

Operating lease right-of-use assets

562,091

506,216

Intangible assets, net

94,306

66,613

Goodwill

1,780,133

1,720,769

Other assets

240,733

221,255

Total assets

$

7,470,160

$

7,677,802

Liabilities and Stockholders’ Equity

Current liabilities

Accounts payable

$

177,419

$

219,793

Operating lease liabilities

47,823

48,479

Accrued expenses and other current liabilities

1,054,528

971,627

Short-term debt, net

153,159

46,969

Total current liabilities

1,432,929

1,286,868

Long-term debt, net

3,381,448

3,489,860

Operating lease liabilities, noncurrent

643,317

557,823

Other liabilities

85,378

61,756

Total liabilities

5,543,072

5,396,307

Commitments and contingencies

Stockholders’ equity

Class A non-voting common stock, $0.00001 par value. 3,000,000 shares authorized, 1,471,658 shares issued, 1,428,131 shares outstanding at June 30, 2026, and 3,000,000 shares authorized, 1,502,073 shares issued, 1,457,403 shares outstanding at December 31, 2025.

15

15

Class B voting common stock, $0.00001 par value. 700,000 shares authorized, 22,523 shares issued and outstanding at June 30, 2026 and December 31, 2025.

—

—

Class C voting common stock, $0.00001 par value. 260,888 shares authorized, 231,627 shares issued and outstanding at June 30, 2026 and December 31, 2025.

2

2

Treasury stock, at cost. 43,527 and 44,670 shares of Class A non-voting common stock at June 30, 2026 and December 31, 2025, respectively.

(424,577

)

(435,722

)

Additional paid-in capital

17,143,598

16,637,324

Accumulated deficit

(14,800,691

)

(13,946,816

)

Accumulated other comprehensive income

8,741

26,692

Total stockholders’ equity

1,927,088

2,281,495

Total liabilities and stockholders’ equity

$

7,470,160

$

7,677,802

SNAP INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

(in thousands, unaudited)

  Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Free Cash Flow reconciliation:

Net cash provided by operating activities

$

176,214

$

88,494

$

502,993

$

240,104

Less:

Purchases of property and equipment

(55,676

)

(64,701

)

(96,448

)

(101,915

)

Free Cash Flow

$

120,538

$

23,793

$

406,545

$

138,189

Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Adjusted EBITDA reconciliation:

Net loss

$

(163,960

)

$

(262,570

)

$

(252,911

)

$

(402,157

)

Add (deduct):

Interest income

(24,672

)

(33,199

)

(51,131

)

(70,217

)

Interest expense

36,941

27,607

73,697

51,006

Other expense (income), net

(21,502

)

823

(20,488

)

(48,246

)

Income tax expense

2,472

7,663

5,663

16,092

Depreciation and amortization

45,599

40,023

90,295

77,738

Stock-based compensation expense

236,680

251,886

486,720

499,224

Payroll and other tax expense related to stock-based compensation

9,552

9,037

22,598

26,255

Restructuring charges (1)

128,505

—

128,505

—

Adjusted EBITDA

$

249,615

$

41,270

$

482,948

$

149,695

Total depreciation and amortization expense by function:

Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Depreciation and amortization expense (1):

Cost of revenue

$

1,384

$

1,505

$

2,847

$

2,925

Research and development

32,615

24,849

60,775

47,836

Sales and marketing

7,711

5,108

14,346

9,931

General and administrative

5,235

8,561

13,673

17,046

Total

$

46,945

$

40,023

$

91,641

$

77,738

SNAP INC.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (continued)

(in thousands, except per share amounts, unaudited)

  Total stock-based compensation expense by function:

  Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Stock-based compensation expense (1):

Cost of revenue

$

2,811

$

1,656

$

4,397

$

3,090

Research and development

193,501

166,809

367,417

323,497

Sales and marketing

47,342

48,710

92,674

103,150

General and administrative

19,535

34,711

48,741

69,487

Total

$

263,189

$

251,886

$

513,229

$

499,224

Three Months Ended
June 30,

Six Months Ended
June 30,

2026

2025

2026

2025

Constant Currency Revenue reconciliation:

GAAP revenue

$

1,598,993

$

1,344,930

$

3,127,784

$

2,708,147

Effect of using prior period foreign exchange rates on current period revenue

(7,941

)

(36,358

)

Constant Currency Revenue

$

1,591,052

$

3,091,426

GAAP revenue percentage change

19

%

15

%

Constant Currency Revenue percentage change

18

%

14

%

SNAP INC.

SUPPLEMENTAL FINANCIAL INFORMATION AND BUSINESS METRICS

(dollars and shares in thousands, except per user amounts, unaudited)

  Q1 2025

Q2 2025

Q3 2025

Q4 2025

Q1 2026

Q2 2026

Cash Flows and Shares

Net cash provided by (used in) operating activities

$

151,610

$

88,494

$

146,488

$

269,578

$

326,779

$

176,214

Net cash provided by (used in) operating activities - YoY (year-over-year)

72

%

514

%

26

%

17

%

116

%

99

%

Net cash provided by (used in) operating activities - TTM (trailing twelve months)

$

476,738

$

586,609

$

617,225

$

656,170

$

831,339

$

919,059

Purchases of property and equipment

$

(37,214

)

$

(64,701

)

$

(53,044

)

$

(64,022

)

$

(40,772

)

$

(55,676

)

Purchases of property and equipment - YoY

(26

)%

24

%

20

%

33

%

10

%

(14

)%

Purchases of property and equipment - TTM

$

(181,592

)

$

(194,231

)

$

(203,234

)

$

(218,981

)

$

(222,539

)

$

(213,514

)

Free Cash Flow

$

114,396

$

23,793

$

93,444

$

205,556

$

286,007

$

120,538

Free Cash Flow - YoY

202

%

132

%

30

%

13

%

150

%

407

%

Free Cash Flow - TTM

$

295,146

$

392,378

$

413,991

$

437,189

$

608,800

$

705,545

Common shares outstanding

1,686,678

1,682,350

1,710,909

1,711,554

1,697,270

1,682,281

Common shares outstanding - YoY

3

%

2

%

2

%

1

%

1

%

—

%

Shares underlying stock-based awards

136,044

144,011

150,460

168,060

189,878

198,569

Shares underlying stock-based awards - YoY

(7

)%

—

%

13

%

24

%

40

%

38

%

Total common shares outstanding plus shares underlying stock-based awards

1,822,722

1,826,361

1,861,369

1,879,614

1,887,148

1,880,850

Total common shares outstanding plus shares underlying stock-based awards - YoY

1.9

%

1.6

%

3.1

%

3.0

%

3.5

%

3.0

%

Results of Operations

Revenue

$

1,363,217

$

1,344,930

$

1,506,839

$

1,716,461

$

1,528,791

$

1,598,993

Revenue - YoY

14

%

9

%

10

%

10

%

12

%

19

%

Revenue - TTM

$

5,529,842

$

5,638,004

$

5,772,269

$

5,931,447

$

6,097,021

$

6,351,084

Constant Currency Revenue

$

1,370,500

$

1,334,606

$

1,494,999

$

1,695,488

$

1,500,374

$

1,591,052

Constant Currency Revenue - YoY

15

%

8

%

9

%

9

%

10

%

18

%

Revenue by region (1)

North America

$

831,691

$

820,600

$

897,814

$

1,025,498

$

851,253

$

942,883

North America - YoY

12

%

7

%

5

%

6

%

2

%

15

%

North America - TTM

$

3,425,815

$

3,478,855

$

3,519,048

$

3,575,603

$

3,595,165

$

3,717,448

Europe

$

224,015

$

265,343

$

297,950

$

341,134

$

323,852

$

353,806

Europe - YoY

14

%

15

%

20

%

19

%

45

%

33

%

Europe - TTM

$

989,783

$

1,025,291

$

1,074,339

$

1,128,442

$

1,228,279

$

1,316,742

Rest of World

$

307,511

$

258,987

$

311,075

$

349,829

$

353,686

$

302,304

Rest of World - YoY

20

%

8

%

17

%

16

%

15

%

17

%

Rest of World - TTM

$

1,114,244

$

1,133,858

$

1,178,882

$

1,227,402

$

1,273,577

$

1,316,894

Operating income (loss)

$

(193,846

)

$

(259,676

)

$

(128,362

)

$

49,717

$

(74,449

)

$

(170,721

)

Operating income (loss) - YoY

42

%

(2

)%

26

%

285

%

62

%

34

%

Operating income (loss) - Margin

(14

)%

(19

)%

(9

)%

3

%

(5

)%

(11

)%

Operating income (loss) - TTM

$

(647,908

)

$

(653,609

)

$

(608,761

)

$

(532,167

)

$

(412,770

)

$

(323,815

)

Net income (loss)

$

(139,587

)

$

(262,570

)

$

(103,541

)

$

45,209

$

(88,951

)

$

(163,960

)

Net income (loss) - YoY

54

%

(6

)%

32

%

397

%

36

%

38

%

Net income (loss) - Margin

(10

)%

(20

)%

(7

)%

3

%

(6

)%

(10

)%

Net income (loss) - TTM

$

(532,353

)

$

(546,303

)

$

(496,597

)

$

(460,489

)

$

(409,853

)

$

(311,243

)

Adjusted EBITDA

$

108,425

$

41,270

$

182,038

$

357,746

$

233,333

$

249,615

Adjusted EBITDA - YoY

137

%

(25

)%

38

%

30

%

115

%

505

%

Adjusted EBITDA - Margin (2)

8

%

3

%

12

%

21

%

15

%

16

%

Adjusted EBITDA - TTM

$

571,371

$

557,664

$

607,740

$

689,479

$

814,387

$

1,022,732

SNAP INC.

SUPPLEMENTAL FINANCIAL INFORMATION AND BUSINESS METRICS (continued)

(dollars and shares in thousands, except per user amounts, unaudited)

  Q1 2025

Q2 2025

Q3 2025

Q4 2025

Q1 2026

Q2 2026

Other

DAU (in millions) (1)

460

469

477

474

483

493

DAU - YoY

9

%

9

%

8

%

5

%

5

%

5

%

DAU by region (in millions)

North America

99

98

98

94

92

92

North America - YoY

(1

)%

(2

)%

(3

)%

(5

)%

(7

)%

(7

)%

Europe

99

100

100

98

97

98

Europe - YoY

3

%

3

%

1

%

(1

)%

(2

)%

(2

)%

Rest of World

262

271

280

282

294

303

Rest of World - YoY

16

%

15

%

15

%

11

%

12

%

12

%

MAU (in millions)

913

932

943

946

956

971

MAU - YoY

7

%

7

%

7

%

6

%

5

%

4

%

ARPU

$

2.96

$

2.87

$

3.16

$

3.62

$

3.17

$

3.25

ARPU - YoY

5

%

—

%

2

%

5

%

7

%

13

%

ARPU by region

North America

$

8.41

$

8.33

$

9.20

$

10.88

$

9.23

$

10.26

North America - YoY

13

%

9

%

8

%

12

%

10

%

23

%

Europe

$

2.26

$

2.65

$

2.99

$

3.47

$

3.34

$

3.62

Europe - YoY

11

%

13

%

19

%

20

%

48

%

36

%

Rest of World

$

1.17

$

0.96

$

1.11

$

1.24

$

1.20

$

1.00

Rest of World - YoY

4

%

(6

)%

2

%

5

%

3

%

4

%

Employees (full-time; excludes part-time, contractors, and temporary personnel)

5,061

5,206

5,194

5,261

5,381

4,723

Employees - YoY

5

%

10

%

8

%

7

%

6

%

(9

)%

Depreciation and amortization expense

Cost of revenue

$

1,420

$

1,505

$

1,016

$

1,818

$

1,463

$

1,384

Research and development

22,987

24,849

27,127

26,568

28,160

32,615

Sales and marketing

4,823

5,108

5,487

5,945

6,635

7,711

General and administrative

8,485

8,561

8,884

9,050

8,438

5,235

Total

$

37,715

$

40,023

$

42,514

$

43,381

$

44,696

$

46,945

Depreciation and amortization expense - YoY

(10

)%

6

%

9

%

10

%

19

%

17

%

Stock-based compensation expense

Cost of revenue

$

1,434

$

1,656

$

2,327

$

2,009

$

1,586

$

2,811

Research and development

156,688

166,809

171,649

185,456

173,916

193,501

Sales and marketing

54,440

48,710

51,236

43,627

45,332

47,342

General and administrative

34,776

34,711

35,151

26,146

29,206

19,535

Total

$

247,338

$

251,886

$

260,363

$

257,238

$

250,040

$

263,189

Stock-based compensation expense - YoY

(6

)%

(3

)%

—

%

—

%

1

%

4

%

More News From Snap Inc.

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Snap CEO Evan Spiegel sidestepped investors’ questions about pre-order demand for the company’s long-awaited Specs smart glasses during Monday’s earnings call, just weeks before the device’s September launch event.

“What we’re hearing from folks is really that they want to try Specs,” Spiegel told investors. “It’s obviously a high consideration purchase at $2,195. Obviously, developers and folks who are familiar with the platform really understand it and understand the technical leaps we’ve made with with this generation. I think for the broader public and consumers, it’s going to be really important for folks to go hands-on. Our upcoming launch event will be an important sort of starting point for that consumer-oriented journey.”

The company unveiled Specs in June after spending more than a decade developing the device. The wearable’s $2,195 price tag is significantly higher than most Meta Ray-Ban smart glasses, which start at around $350, but lower than Apple’s Vision Pro, which starts at $3,500.

Investors also pressed Spiegel on why he believes Snap’s strategy is financially viable for a company of its size, why it chose to go it alone rather than partner with another company, and what gives him confidence that the company can compete with Apple, Meta, and Alphabet.

Spiegel responded that Snap believes the long-term opportunity to develop the next computing platform is “enormous.”

“I think what what some folks maybe don’t understand yet, especially because Specs are so new and we’re really the first mover in this this category, is how difficult the product is to to execute from a technical perspective,” Spiegel said. “When we started innovating in the social space, we were a late entrant. So, most of the the apps at the time, whether it was Facebook or Instagram or Twitter, were already in existence, and we had to really innovate to continue to grow. What’s so unique about this opportunity for us is really that we’re a first mover, and that really plays to our strengths as an innovator.”

When asked about product-market fit, Spiegel said it will likely be closer to the end of the decade before the company sees mass-market consumer adoption.

“I think things, for example, like weight and cost are going to have to come down to see you know unit volumes really meaningfully pick up.” But we do have, I think, a real advantage here in that developers have been building on the Specs platform now for several years.”

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Aisha is a consumer news reporter at TechCrunch. Prior to joining the publication in 2021, she was a telecom reporter at MobileSyrup. Aisha holds an honours bachelor’s degree from University of Toronto and a master’s degree in journalism from Western University.

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Snap Inc. (NYSE:SNAP) will release its second quarter earnings report after the closing bell on Monday, Aug. 3.

Analysts expect the Santa Monica, California-based company to report a quarterly loss of 12 cents per share, versus a loss of 16 cents per share in the year-ago period. The consensus estimate for Snap’s quarterly revenue is $1.53 billion. It reported $1.34 billion last year, according to Benzinga Pro.

On May 6, Snap posted better-than-expected first-quarter results.

Snap shares closed at $4.69 on Friday.

Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.

Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.

Considering buying SNAP stock? Here’s what analysts think:

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Snap Inc. (SNAP) Shareholder/Analyst Call July 30, 2026 5:00 PM EDT

Company Participants

Erick Wang

Presentation

Operator

Good afternoon, everyone, and welcome to Snap Inc.'s 2026 Annual Stockholders Meeting. Erick Wang, you may begin.

Erick Wang

Good afternoon. My name is Erick Wang, and I'm an Associate General Counsel at Snap Inc. I'm very happy to welcome you to the Snap Inc. 2026 Annual Stockholders Meeting. We've invited members of our Board and management team who are joining us on our call today. We have also invited holders of our Class A common stock to participate in today's meeting. We have approximately 231,626,943 shares of our Class C common stock present for today's meeting, representing over 99% of the voting power of our capital stock. The meeting will now officially come to order. We will proceed with the business of the meeting as set forth in the information statement we filed with the SEC on July 9, 2026. The only item in today's agenda is to present the results of an action by written consent of certain of our stockholders.

Today, the holders of an aggregate of 231,626,943 shares of our Class C common stock, representing over 99% of the voting power of our capital stock, acted by written consent to elect the following 13 individuals to our Board of Directors. Evan Spiegel, Robert Murphy, Michael Lynton, Kelly Coffey, Joanna Coles, Liz Jenkins, Jim Lanzone, Matthew McGee, Scott Miller, Patrick Spence, Poppy Thorpe, Fidel Vargas and Luke Wood. Each of these individuals will serve until the 2027 Annual Stockholders Meeting and until his or her successor is elected or if sooner until the director's death, resignation or removal.

Additionally, pursuant to this action by written consent, the holders ratified the selection by the Audit Committee of our Board of Directors

Snapchat is now letting users share the music they’re listening to in real time via a new feature in Snap Map, TechCrunch has exclusively learned.

Called “Now Playing,” the feature lets users link their streaming service account (starting with Spotify) and share what they’re currently listening to via Snap Map, and see the songs their friends are enjoying.

The feature has been integrated with Spotlight videos, which are Snapchat’s TikTok-like short-form videos, too: You can save any songs you discover in a Spotlight video directly to Spotify, or visit the track’s page on the platform to do so.

Users can choose who can see their listening activity, and the feature won’t show your last-played song or listening history, though sharing will remain active as long as you have opened Snapchat within the past 24 hours. If a user is inactive for more than 24 hours, sharing will be paused automatically, and only resumed when the app has been opened again. You can also pause sharing for three hours, 24 hours, or indefinitely.

The new feature comes as social media platforms continue to embrace music discovery and sharing. TikTok, where viral trends often shape global music charts, lets users share songs from streaming services to the social network, and also save songs they come across. Instagram, meanwhile, allows users to share what they’re listening to through Notes, which are the short status updates that appear at the top of users’ DM inboxes.

Even Spotify itself has leaned into social music sharing, launching a feature that allows users to share what they’re listening to with their friends in real-time.

“Music is one of the most personal ways people express themselves, and it becomes even more meaningful when it brings friends closer,” Manny Adler, Snapchat’s head of music, said in an emailed statement. “Now Playing adds a new layer of expression and discovery to Snap Map, helping Snapchatters share the soundtrack to their day and find new music through the people they already know.”

The integration adds another feature to Snap Map, which has more than 450 million monthly users. Launched in 2017, Snap Map was initially meant to be a way for users to see their friends’ locations and browse public Snaps from around the world. Over time, the feature has expanded to include local hotspots, activities, and now, music discovery.

Snapchat says the new feature is rolling out to users in regions where both Spotify and Snapchat are available, with Canada coming soon.

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Aisha is a consumer news reporter at TechCrunch. Prior to joining the publication in 2021, she was a telecom reporter at MobileSyrup. Aisha holds an honours bachelor’s degree from University of Toronto and a master’s degree in journalism from Western University.

You can contact or verify outreach from Aisha by emailing [email protected] or via encrypted message at aisha_malik.01 on Signal.