It was the tech-heavy Nasdaq Composite that was the big earner of the day, surging by 1%, while the S&P 500 advanced by over 0.8%. The Dow Jones Industrial Average closed 0.4% higher, or 150 points. Equities largely rose along with investor confidence following the influx of positive corporate earnings.

Disney shares rose by over 6% after the company reported fiscal first-quarter earnings that beat expectations, with Disney adding that it would be boosting its cash dividend by 50%. On the other end of the spectrum, Snap shares plunged by over 34% after the social media company posted a lower profit forecast for the current quarter than expected.

The post S&P 500 Hits Record, Approaches 5,000 for First Time in History appeared first on theprimarymarket.com.

While daily active users of 414 million for the quarter actually beat estimates of 411.6 million users, full-year revenue remained stagnant at $4.6 billion, the same as the previous year. With the company focused on securing its growth in the new year, Snap announced that it would be retrenching 10% of its workforce or 528 employees.

Looking forward, Snap has forecast a revenue ranging between $1.1 billion and $1.14 billion for the first quarter of 2024, with analysts expecting around $1.1 billion. The company expects its daily active users to grow to 420 million.

The post Snap Shares Plummet 33% Following Disappointing Earnings appeared first on theprimarymarket.com.

Snap struggled to drive up advertisement demand, facing the same problem it had in the previous few quarters. High-interest rates are cutting into ad budgets across most industries, which has a direct impact on the earnings of companies that heavily rely on revenue from advertisements like Snap.

The company’s revenue came at $988 million compared to the $1 billion that Wall Street analysts expected. This is 7% less than the same period in 2022 and represents the first time that Snap had a loss in revenue since becoming a publicly traded company in 2017.

Investors were also not impressed by the fact that Snap was conservative in its second-quarter revenue forecasts. The company predicts to have $1.04 billion in revenue versus the estimated $1.1 billion by analysts.

“We are working to accelerate our revenue growth, and we are using this opportunity to make significant improvements to our advertising platform to help drive increased return on investment for our advertising partners,” CEO Evan Spiegel said in a statement.

Snap’s shares closed at $8.71 on Friday, and the stock is currently down 1.58% year-to-date.

The post Snap Inc. Shares Drop By 20% Amid Weak Q1 Earnings appeared first on theprimarymarket.com.

According to Snap’s Q2 report, the social media company recorded an adjusted loss of 2 cents compared to the expected loss of 1 cent. Furthermore, the company’s revenue came at $1.11 billion, which is 30 million less than estimated. The only mark Snap beat was global daily active users, posting 347 million versus 344.2 million expected.

“While the continued growth of our community increases the long-term opportunity for our business, our financial results for Q2 do not reflect our ambition,” said Evan Spiegel, chief executive of Snap.

Snap is a type of business that bases 97% of its revenue on advertisement, which explains why the numbers were not as good as predicted. The ads business has slowed down significantly in recent months, causing problems not only for Snap but other social media platforms like Facebook and Twitter.

Snap shares closed at $16.38 per share on Thursday, being at their highest since late May. But the stock rapidly started to fall after Q2 results were published and dropped 39.1%, all the way to $9.96.

The post Snap Inc. Shares Down 39% After Second-Quarter Misses appeared first on theprimarymarket.com.

It was the tech-heavy Nasdaq Composite that was the big earner of the day, surging by 1%, while the S&P 500 advanced by over 0.8%. The Dow Jones Industrial Average closed 0.4% higher, or 150 points. Equities largely rose along with investor confidence following the influx of positive corporate earnings.

Disney shares rose by over 6% after the company reported fiscal first-quarter earnings that beat expectations, with Disney adding that it would be boosting its cash dividend by 50%. On the other end of the spectrum, Snap shares plunged by over 34% after the social media company posted a lower profit forecast for the current quarter than expected.

The post S&P 500 Hits Record, Approaches 5,000 for First Time in History appeared first on theprimarymarket.com.

While daily active users of 414 million for the quarter actually beat estimates of 411.6 million users, full-year revenue remained stagnant at $4.6 billion, the same as the previous year. With the company focused on securing its growth in the new year, Snap announced that it would be retrenching 10% of its workforce or 528 employees.

Looking forward, Snap has forecast a revenue ranging between $1.1 billion and $1.14 billion for the first quarter of 2024, with analysts expecting around $1.1 billion. The company expects its daily active users to grow to 420 million.

The post Snap Shares Plummet 33% Following Disappointing Earnings appeared first on theprimarymarket.com.

Snap struggled to drive up advertisement demand, facing the same problem it had in the previous few quarters. High-interest rates are cutting into ad budgets across most industries, which has a direct impact on the earnings of companies that heavily rely on revenue from advertisements like Snap.

The company’s revenue came at $988 million compared to the $1 billion that Wall Street analysts expected. This is 7% less than the same period in 2022 and represents the first time that Snap had a loss in revenue since becoming a publicly traded company in 2017.

Investors were also not impressed by the fact that Snap was conservative in its second-quarter revenue forecasts. The company predicts to have $1.04 billion in revenue versus the estimated $1.1 billion by analysts.

“We are working to accelerate our revenue growth, and we are using this opportunity to make significant improvements to our advertising platform to help drive increased return on investment for our advertising partners,” CEO Evan Spiegel said in a statement.

Snap’s shares closed at $8.71 on Friday, and the stock is currently down 1.58% year-to-date.

The post Snap Inc. Shares Drop By 20% Amid Weak Q1 Earnings appeared first on theprimarymarket.com.

According to Snap’s Q2 report, the social media company recorded an adjusted loss of 2 cents compared to the expected loss of 1 cent. Furthermore, the company’s revenue came at $1.11 billion, which is 30 million less than estimated. The only mark Snap beat was global daily active users, posting 347 million versus 344.2 million expected.

“While the continued growth of our community increases the long-term opportunity for our business, our financial results for Q2 do not reflect our ambition,” said Evan Spiegel, chief executive of Snap.

Snap is a type of business that bases 97% of its revenue on advertisement, which explains why the numbers were not as good as predicted. The ads business has slowed down significantly in recent months, causing problems not only for Snap but other social media platforms like Facebook and Twitter.

Snap shares closed at $16.38 per share on Thursday, being at their highest since late May. But the stock rapidly started to fall after Q2 results were published and dropped 39.1%, all the way to $9.96.

The post Snap Inc. Shares Down 39% After Second-Quarter Misses appeared first on theprimarymarket.com.