Table of Contents :
• Stock Rating & Target Price
• Investment Thesis
• Fundamental Models Used
• Company Description
• Corporate Timeline
• Key Metrics (KPI ) and Recently Reported Earnings Review
• Business Highlights, Strategic Announcements & Outlook
• Quarter-over-Quarter (Q-o-Q) and Year-over-Year (Y-o-Y) Growth Analysis
• Key Catalysts Driving Growth
• Historical Financial Statement Analysis & CAGR Trends
• Quarterly Key Financial Ratios and Performance Metrics
• Annual Financial Performance Analysis: Horizontal and Vertical Financial Analysis, Trends
• Financial Forecasts
• Annual Forecasts: Income Statement
• Annual Forecasts: Cash Flow Statements
• Net Debt Levels
• A Closer Look at DCF: Our Assumptions and Methodology
• Terminal Value Calculation
• Target Price Analysis
• Valuation Multiples
• Supplementary Valuation Analysis: Multiples Approach
• Scenario/Sensitivity Analysis – Base Case , Bull Case ,Bear Case
• Holistic Peer Review & Trading Comps: Financial Data, Operational Metrics, and Valuation Multiples
• Implied Price Per Share
• Ownership Activity/ Insider Trades
• Ownership Summary
• An analysis of ESG Risk Rating
• Key Professionals
• Key Board Members
• Key Risks Considerations
• Analyst Ratings
• Analyst Industry Views
• Disclosures
Snap Inc (SNAP): Can They Monetize? Key Challenges Bears Say vs. Their Biggest Competitive & Strategic Levers!
Snap Inc.’s Q2 2024 performance highlights notable progress, with revenue surging 16% year-over-year to $1.24 billion, driven by 850 million MAUs and 432 million DAUs. While engagement remains strong among younger audiences, with 75% of 13-34 year-olds on the platform, Snap faces headwinds in brand advertising, particularly in North America. Despite these challenges, its direct response (DR) advertising and subscription business have shown resilience, with Snapchat+ subscribers reaching 11 million, driving a 151% rise in other revenue. Key innovations in augmented reality (AR), AI-driven content ranking, and partnerships like Snap Nation with Live Nation continue to fuel user engagement. However, balancing innovation investments and debt obligations presents financial pressure, with $3.7 billion in convertible debt and persistent stock-based compensation costs. Looking ahead, Snap’s Q3 guidance signals cautious optimism with DAUs forecast at 441 million and revenue guidance between $1.33 billion and $1.37 billion. Profitability remains elusive, but DR and subscriptions offer promising diversification. Will Snap’s strategic levers outpace regulatory and competitive pressures to capitalize on the evolving digital ad landscape? We delve into Major Drivers, Our perspective & follow up to our Initiation of Coverage :Earnings Review F2Q24, Forecasts,DCF, Valuation, Peer Analysis, ESG & Risks
