It's been a rough start to the year for Snap (NYSE: SNAP) as its shares have plummeted more than 35% already in 2024. The social media stock hasn't been nearly as hot of a buy as other growth stocks lately.

But has the stock been punished too severely by investors for a single poor earnings report? Let's take a look at Snap's problems and whether this could make for a good contrarian stock to buy right now.

Snap is a popular social media platform with young adults and teens, but that hasn't been translating into strong results for the business. There are positives for the company, namely that its top line has been increasing and losses have been shrinking. In the fourth quarter, Snap's revenue came in at nearly $1.4 billion and rose 5% year over year. Its net loss of $248.2 million was also 14% lower than the $288.5 million loss reported in the prior-year period.

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Source Fool.com