Snap Shares Crackle And Crash
Shares in Snap, the owner of popular app Snapchat, plunged after the US company reported slowing user growth and revenue in the first earnings report since its IPO. The shares tumbled about 23 percent in after-hours trading, wiping US$6 billion from the company’s market value.
Snap’s public debut was the biggest for a US tech company since Facebook in 2012, but in a sobering reversal of fortunes its stock fell to $17.66, only just above its IPO price of $17.
Its revenue jumped nearly four-fold year-over-year to $149.6 million but fell short of the average analyst forecast of $158 million. Its Q1 net loss widened to $2.21 billion from $104.6 million. In the prior quarter