Snap: shares partly recover after yesterday's weakness.
(CercleFinance.com) - Shares in Snap are rising on Tuesday, recovering somewhat after a sharp fall yesterday, which was triggered by cautious analyst comments.
Listed on the Nasdaq, the shares of the popular messaging app Snapchat are up 0.7% at 20.3 dollars after dropping 4.1 percent on Monday.
In a research note sent to clients, J.P. Morgan said that it has cut its target price for the stock from 20 dollars to 18 dollars.
The broker has reduced its estimates to account for its more cautious view on the pace at which Snap can scale its ad business.
While J.P. Morgan says it is encouraged by the recent launch of new ad features, it believes that these products are just rolling out and will likely take time to gain broad adoption amongst marketers - particularly smaller businesses.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
Listed on the Nasdaq, the shares of the popular messaging app Snapchat are up 0.7% at 20.3 dollars after dropping 4.1 percent on Monday.
In a research note sent to clients, J.P. Morgan said that it has cut its target price for the stock from 20 dollars to 18 dollars.
The broker has reduced its estimates to account for its more cautious view on the pace at which Snap can scale its ad business.
While J.P. Morgan says it is encouraged by the recent launch of new ad features, it believes that these products are just rolling out and will likely take time to gain broad adoption amongst marketers - particularly smaller businesses.
Copyright (c) 2017 CercleFinance.com. All rights reserved.