'Tired of Snapchat's excuses': Snap tumbles on scathing report

Wall Street analysts are losing faith in Snapchat and its CEO Evan Spiegel.BTIG analyst Richard Green...

Posted: Sep 12, 2018 7:57 PM
Updated: Sep 12, 2018 7:57 PM

Wall Street analysts are losing faith in Snapchat and its CEO Evan Spiegel.

BTIG analyst Richard Greenfield slashed his price target on Snap Wednesday to just $5 -- more than 40% below its already depressed share price. He recommended investors sell Snapchat parent Snap.

He wrote in a report that he was "tired of Snapchat's excuses for missing numbers." Greenfield said he's no longer willing to give management time to figure out how to make money from Snapchat.

Wall Street is increasingly nervous about Snapchat's future because of intense competition from Facebook's Instagram, which has routinely copied popular Snapchat features and wound up gaining more users in the process.

Snap's stock fell nearly 10% on the news to about $9 a share. Analysts at Jefferies also cut their price target on Snap Wednesday.

Only 7 of the 36 analysts following the company have it rated a "buy," according to Thomson Reuters Eikon data. Sixteen rate the stock as a "hold" and 13 rated Snap as a "sell."

The downgrades come following yet another high-profile executive departure at the company. Snapchat disclosed earlier this week that chief strategy officer Imran Khan, a former Wall Street analyst, was leaving.

Snapchat has recently made controversial changes to the design of the app, alienating many core users including some top celebrities like Kylie Jenner.

BTIG's Greenfield suggested that it will be tough for Snapchat to regain momentum. He doesn't believe Spiegel has what it takes to turn things around.

"We have been disappointed in Snap's product evolution (as have users) and see no reason to believe this will change," he wrote.

Investors' worries about increased regulation of social media companies aren't helping either. After Twitter CEO Jack Dorsey and Facebook COO Sheryl Sandberg appeared in front of the Senate, Twitter's stock has plunged along with Snap.

Mississippi Coronavirus Cases

Data is updated nightly.

Cases: 319704

Reported Deaths: 7369
CountyCasesDeaths
DeSoto22276267
Hinds20677421
Harrison18407317
Rankin13880282
Jackson13689248
Madison10249224
Lee10056176
Jones8464167
Forrest7827153
Lauderdale7260242
Lowndes6509150
Lamar634888
Lafayette6310121
Washington5420137
Bolivar4837133
Panola4669110
Oktibbeha466098
Pearl River4604147
Marshall4573105
Warren4440121
Pontotoc425373
Union415777
Monroe4155135
Neshoba4061179
Lincoln4008112
Hancock386687
Leflore3515125
Tate342486
Sunflower339491
Pike3369111
Alcorn325972
Scott320174
Yazoo314171
Adams307486
Itawamba305178
Copiah299966
Coahoma298784
Simpson298189
Tippah291968
Prentiss283861
Leake271974
Marion271280
Covington267283
Wayne264442
Grenada264087
George252051
Newton248663
Tishomingo231568
Winston229981
Jasper222148
Attala215073
Chickasaw210559
Holmes190374
Clay187854
Stone187833
Tallahatchie180041
Clarke178980
Calhoun174132
Yalobusha167840
Smith164034
Walthall135347
Greene131833
Lawrence131024
Montgomery128643
Noxubee128034
Perry127138
Amite126342
Carroll122330
Webster115032
Jefferson Davis108033
Tunica108027
Claiborne103130
Benton102325
Humphreys97533
Kemper96629
Franklin85023
Quitman82216
Choctaw79118
Wilkinson69532
Jefferson66228
Sharkey50917
Issaquena1696
Unassigned00

Alabama Coronavirus Cases

Cases: 548323

Reported Deaths: 11288
CountyCasesDeaths
Jefferson809531565
Mobile42066826
Madison35663525
Tuscaloosa26162458
Shelby25595254
Montgomery25081612
Baldwin21839313
Lee16265176
Calhoun14718325
Morgan14626285
Etowah14171363
Marshall12449230
Houston10764288
Elmore10295213
Limestone10182157
St. Clair10160251
Cullman9941201
Lauderdale9596249
DeKalb8967189
Talladega8458184
Walker7335280
Autauga7230113
Blount6944139
Jackson6922113
Colbert6414140
Coffee5627127
Dale4929114
Russell454941
Chilton4472116
Franklin431083
Covington4273122
Tallapoosa4136155
Escambia401780
Chambers3726124
Dallas3607156
Clarke352961
Marion3242106
Pike314078
Lawrence3129100
Winston283572
Bibb268464
Geneva257581
Marengo250665
Pickens236862
Barbour234659
Hale226878
Butler224071
Fayette218162
Henry193843
Cherokee187245
Randolph187044
Monroe179341
Washington170439
Macon162951
Clay160159
Crenshaw155657
Cleburne153244
Lamar146537
Lowndes142054
Wilcox127030
Bullock124242
Conecuh113430
Coosa111429
Perry108626
Sumter105732
Greene93534
Choctaw62025
Out of AL00
Unassigned00
Tupelo
Clear
87° wxIcon
Hi: 90° Lo: 68°
Feels Like: 89°
Columbus
Partly Cloudy
85° wxIcon
Hi: 91° Lo: 65°
Feels Like: 91°
Oxford
Partly Cloudy
82° wxIcon
Hi: 88° Lo: 65°
Feels Like: 85°
Starkville
Partly Cloudy
82° wxIcon
Hi: 90° Lo: 63°
Feels Like: 86°
We continue to monitor a tropical disturbance in the Gulf of Mexico. This will be in heavy rainfall two locations across the southeast over the course of the weekend, and flooding rainfall could be in tow as well. Things are looking better for Father’s Day itself, thankfully.
WTVA Radar
WTVA Temperatures
WTVA Severe Weather