Snap (SNAP) stock rose 42.7% between July 22 and October 20, 2026, versus 3.1% for the S&P 500, after falling 39.3% in the six months before July 22. Snap had reported faster revenue growth for three consecutive quarters, rising from 8.7% in the quarter ended June 2025 to 12.1% in the quarter ended March 2026, and had named small businesses as its main source of ad growth. Its second-quarter 2026 revenue rose 19% to $1.6 billion, and the shares climbed 14.9% the next day. Advertising revenue grew 9% to $1.28 billion, while other revenue, led by Snapchat+, grew 85% to $316 million and made up about a fifth of total revenue. Management forecast third-quarter revenue of $1.70 billion to $1.74 billion, about 14% growth at the midpoint, citing the expected normalization of World Cup-related spending and a tougher year-over-year comparison.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Snapearningsadvertisingtech stocks
Open a keyword to see other news on the same topic.
Related news
- Why Every Snap Investor Is Looking At This One Number
Snap (SNAP) stock fell 28% over the past 12 months, while the S&P 500 returned 17.0%, and the article focuses on Snapchat's direct subscription revenue. Of 971 million monthly active users in fiscal Q2 2026, fewer than 3% paid, but revenue outside advertising grew 85% to $316 million, led by Snapchat+, Memory Storage and Lens+, while ad revenue rose 9% to $1.28 billion. The net loss shrank to 4.9% of trailing revenue from 30% three years earlier, and the company has posted positive free cash flow for eight straight quarters and expects sustained positive net income from 2027. Management cited long-term app subscription penetration of 7% to 12% as a comparison point, and raised its full-year infrastructure cost forecast to $1.65 billion to $1.70 billion. Risks include several U.S. youth online safety trials scheduled for later in 2026 that could force product changes and affect user engagement.
- Why Snap Needed an Iron Man Star Before Its $2,195 Glasses Go on Sale
- Unity Software Sinks 10% Despite Wedbush Target Hike on Vector Ad Platform; AppLovin Falls 3%, Trade Desk Slips
Unity Software shares fell 10% to $42.13 in the afternoon session, even though Wedbush raised its price target and described the Vector ad platform as gaining traction. AppLovin dropped 3% to $263.65 and The Trade Desk slipped 2% to $11.94, while the Fidelity MSCI Communication Services Index ETF fell 2% and the SPDR S&P 500 ETF fell 1%. Unity's Q2 2026 revenue rose 23.9% year over year to $546.47 million and adjusted EPS of $0.28 beat estimates, with the Grow Solutions segment that houses Vector up 35% to $389 million. Management guided Q3 2026 strategic revenue to $540 million to $550 million and targets GAAP profitability as soon as that quarter. The article attributes the sell-off mainly to worries about cyclical ad spending rather than execution, while AppLovin is down 61% year to date.
- Meta shares slide, but analysts see upside in Muse and advertising
Meta shares fell almost 6% even though revenue rose 26% to $64.6 billion, beating expectations of $63.3 billion, and fourth-quarter guidance of $73–76 billion topped the Street's $73.6 billion forecast. Investors remain worried about AI spending: Meta gave no 2027 capex guidance, and Bank of America forecasts 2027 expenses will rise 30% to $215 billion, while flagging possible capital raises. Analysts were encouraged by the early uptake of Muse, with Jefferies noting more than 10 million users in the US and Canada set up Muse agents in about six weeks, and by ad growth, with impressions up 10% and average price per ad up 14%. All three brokers kept Buy ratings, with Bank of America raising its target to $845 from $810 and UBS lifting its target to $892 from $884.
- Meta’s stock rises as investors glimpse an opportunity that could dwarf the ad business
- Meta and Google are about to have a consumer AI showdown
Meta (META) and Google (GOOG) are heading for a showdown over consumer AI assistants, a race to control the next dominant tech platform. Meta's Muse, which launched last month as the first popular AI agent for everyday users, has hit a download milestone, but cautious users may wait for Google or Apple (AAPL) given how much trust is needed for emails, calendars and wallets. Bank of America analysts said Google is well positioned with proprietary models, custom silicon and broad distribution, and a competitive agent or broader Gemini 4 launch could be catalysts. The two firms account for more than half of global digital ad revenue, yet AI agents could move users away from the screen-phone-app model that underpins those businesses.
Related markets
Latest news
- Musk's wants to merge SpaceX and Tesla: Here's what to know
Musk said SpaceX and Tesla have formed special committees to study a merger, which would be worth about $3.5 trillion combined and would be the largest corporate deal in history. SpaceX, valued at about $2 trillion after a record listing this year, absorbed Musk's AI startup xAI in February, while Tesla is valued at about $1.5 trillion. Musk holds about 82 percent of SpaceX's voting power but only about 20 percent at Tesla. Dan Ives puts the odds of a deal at 90 percent by early 2027, though Musk called the requirement of a majority of all Tesla shares 'quite a high hurdle'. Loyal retail investors hold an estimated 25 to 27 percent of Tesla shares, and legal obstacles appear slight because both companies moved their incorporation to Texas from Delaware.
- CoreWeave and Nebius Stocks Are Crashing. Time to Buy the Dip?
Shares of Nebius and CoreWeave each fell 25% in the week of October 12 to 16. The sell-off stems from the yield on CoreWeave's debt in the secondary market surging to 15%, versus roughly 5% on Treasuries, which pushes the debt into 'distressed' territory and signals doubts about its ability to meet obligations. Nebius sold off in sympathy as a fellow neocloud company. The bigger concern is that both companies must keep issuing debt to fund data centers, and if yields are high at issuance, the assumption of nearly unlimited cheap capital could be challenged. The author says it is unclear whether now is the time to buy.
- Disney’s multiplatform Super Bowl plan frustrates ABC affiliates
ABC station owners are irritated that Disney is airing the Super Bowl across several platforms, including Disney+, ESPN2, NFL Network and ESPNU, even though the game is already on ABC and ESPN. A station group CEO estimates that the combined platforms could cut broadcast ad revenue by up to 35% compared with last year. Local affiliates typically earn about 3% of annual ad revenue from the Super Bowl and pay network owners reverse retransmission fees, but Disney+ lacks geofenced ad insertion, so affiliates cannot sell ads to streaming viewers. Disney says national commercials will be identical on all platforms and that streaming major live events is standard industry practice. Super Bowl LX drew 125.6 million viewers in February.
- Meta’s deal to keep Zuckerberg in California adds fuel to wealth tax debate ahead of election
Meta says Mark Zuckerberg will remain in California for eight years and has created a new stock plan that could help cover his taxes if Proposition 40, a 5% tax on Californians worth over $1 billion, passes on Election Day on Nov. 3. According to a filing released with its third-quarter earnings, Meta will issue non-voting Class C shares starting in January, and Zuckerberg can sell or transfer up to 20% of the shares granted to him without affecting his majority voting control. The filing says Zuckerberg’s leadership is crucial to the company’s growth and its AI ambitions, including Meta Superintelligence Labs. Most of the tech industry opposes the measure, while a recent Citrin-Politico poll found 46% in favor and 43% against, suggesting it may fall short of the majority support it needs.
- Nasdaq sell-off: A momentum unwind 'for the record books'
Matt Stucky, chief portfolio manager for equities at Northwestern Mutual Wealth Management, calls Thursday’s sell-off in the Nasdaq Composite (^IXIC) a momentum unwind “for the record books.” He says the market spent the first half of 2026 driven by a beta and momentum trade led by semiconductors, but in the third quarter, as rates rose, money shifted into quality stocks. He does not think the sell-off is justified by fundamentals, arguing that institutional portfolio managers swapping out of factor positions can drag down whole baskets of stocks. In semiconductors, spot rental rates for Nvidia Blackwell chips are higher than a month ago, showing tightening compute supply, even as financing costs rise and investors worry about neocloud business models and the rising cost of insuring their bonds.
- Dune launches real-time data feeds covering 200 onchain trading venues
Blockchain analytics platform Dune has launched real-time market data feeds covering more than 200 onchain trading venues, aiming to bring this data into the systems of traditional financial institutions. The feeds draw trade data from 12 blockchains, including Ethereum, Solana and Base, about one second after execution, covering both spot trading on decentralized exchanges and perpetual futures on Hyperliquid and Lighter. Early clients include quant funds, market makers, asset managers and bank trading desks, which use the data to assess liquidity and compare prices, though Dune did not name them. Meanwhile, the tokenized stock market has grown sharply, with distributed value reaching $3.58 billion, but 16 companies, including Microsoft, Alphabet and Goldman Sachs, have objected to their shares being traded on OKXICE’s proposed platform, and liquidity remains fragmented.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.