Snapchat is losing its money
According to the latest data, Snapchat holding lost over 14 million dollars in the value.
After the first report of the Snapchat current situation came another one, and now Wall Street traders are worried that Snapchat is crushed by the Facebook.
Analysts believe that Facebook and Snapchat have a very intense competition with each other, and now the first one is stilling the users from the second one.
Yesterday the stocks of Snap have appeared on the Wall Street market with 20 percent decrease, and it provoked new worries of investors.
Right now, dealers from Wall Street are cautious about the situation of Snap, after the disturbing reports from the first quarter.
And don’t ask us what is going on there. Even experienced analysts do not understand how the company, after 20 percent fall still show bearish rating list.
There is 17 percent of experts that claim that the name is still on a good sale, and 47 percent believe that it is barely holding on. Well, there is 36 percent more that say that it is an open buy.
Credit Suisse and Goldman, two underwriter companies for the Snap’s IPO defend Snap and say it is misunderstood and unique.
The main group of traders on the market believes that Snap can openly blame Facebook for its current situation.
There is a competition between companies, and it is the well-known fact, but how intense it can be?
According to Cantor Fitzgerald’s Kip Paulson Snap is still very attractive for advertisers.