Snap Inc Stock Analysis, Valuation (NYSE:SNAP)

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$11.89 $0.28 (2.3%) SNAP stock closing price Aug 17, 2018 (Closing)

Watch the robo advisor video of Snap Inc stock analysis on Amigobulls. Our analyst opinion covering the buy and sell arguments for SNAP stock is shown in the video.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Snap Inc. Stock Rating 1.9/5

Amigobulls SNAP stock analysis takes into account various financial ratios like relative valuation, Snap Inc revenue, growth and return on equity based on latest quarter 2018 Q2 financial statements. We also check Snap Inc dividend performance. We compare Snap Inc valuation with its sector peers to gauge relative attractiveness of SNAP stock. Snap Inc stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy SNAP stock?

  • Snap Inc sales grew by 54.1% year on year in 2018-03.

Should you sell SNAP stock?

  • Snap Inc reported an average operating margin of -183.71 over the Last Twelve Months (LTM).
  • Snap Inc posted an average Net loss of -179% in the last twelve months.
  • The company does not have profits. Hence the PE ratio is meaningless for SNAP stock.
  • SNAP stock is trading at a PS multiple of 16.1, which is a negative when compared to the Computer and Technology sector average multiple of 2.9.
  • Snap Inc has a negative ROIC (Return on Invested Capital) of -186.9.
  • Snap Inc has a negative ROE (Return On Equity) of -50, indicating the company is not profitable.
  • Snap Inc has a negative FCF (Free Cash Flow) margin of -116.3.

Comments on this video and Snap Inc stock

Investors can use Amigobulls Snap Inc stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. The fundamentals of a company are vital to identify long-term investment opportunities.

Among the financials of the company, Snap Inc revenue growth along with the profit or net income give a clear picture of the financial health. Investors could make use of SNAP technical analysis to check whether the fundamental story is reflected in the market sentiment.