Snapchat shares plunged nearly 20% two sessions ago following a quarterly loss of $2.2 billion on $149 revenue. The one positive light is that it grew its active daily users to 166 million from 122 million last year. The other positive is that it has a highly coveted base of users - the Millennials - that advertisers would love to get access to.
Here is the chart of SNAP:
The stock has strong resistance level at $20 and it will take some time to work off the headwinds. The stock path is likely down for the foreseeable future. $15 is the next stop, possibly followed by $10. Fundamentals will have to improve before this stock turns around.
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