Is It Too Late to Buy Snap Stock?
Snap (NYSE: SNAP) posted a dazzling second quarter report on July 22, and the stock skyrocketed to an all-time high the following day. The social media company's revenue soared 116% year over year to $982 million, beating expectations by $135 million, while its daily active users (DAUs) rose 23% to 293 million.
Snap's revenue and DAUs rose at their fastest rates in four years. Its net loss narrowed from $326 million to $152 million, and it generated a positive adjusted EBITDA of $117 million, compared to a loss of $96 million a year ago. Its non-GAAP earnings of $0.10 per share easily surpassed Wall Street's expectations for a loss of a penny per share.
For the third quarter, Snap expects its revenue to rise between 58% and 60% year over year and for its adjusted EBITDA to increase between 79% and 114%. Those growth rates are undeniably attractive, but is it too late to get in on the fun and buy the stock after its post-earnings pop?
Source Fool.com
