SNAP INC - A (SNAP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNAP - US83304A1060 - Common Stock
7.675 USD
+0.04 (+0.46%)
Overall SNAP gets a fundamental rating of 4 out of 10. We evaluated SNAP against 70 industry peers in the Interactive Media & Services industry. While SNAP seems to be doing ok healthwise, there are quite some concerns on its profitability. SNAP shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year SNAP was profitable.
SNAP had a positive operating cash flow in the past year.
In the past 5 years SNAP always reported negative net income.
Of the past 5 years SNAP 4 years had a positive operating cash flow.
1.2 Ratios
SNAP has a worse Return On Assets (-6.55%) than 62.86% of its industry peers.
SNAP has a worse Return On Equity (-22.30%) than 61.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.55% | ||
| ROE | -22.3% | ||
| ROIC | N/A |
ROA(3y)-14.4%
ROA(5y)-13.7%
ROE(3y)-46.22%
ROE(5y)-38.42%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of SNAP (54.28%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of SNAP has grown nicely.
The Profit Margin and Operating Margin are not available for SNAP so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 54.29% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.14%
GM growth 5Y2.43%
2. Health
2.1 Basic Checks
SNAP does not have a ROIC to compare to the WACC, probably because it is not profitable.
SNAP has more shares outstanding than it did 1 year ago.
The number of shares outstanding for SNAP has been increased compared to 5 years ago.
SNAP has a better debt/assets ratio than last year.
2.2 Solvency
SNAP has an Altman-Z score of -0.08. This is a bad value and indicates that SNAP is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of -0.08, SNAP is not doing good in the industry: 65.71% of the companies in the same industry are doing better.
The Debt to FCF ratio of SNAP is 8.55, which is on the high side as it means it would take SNAP, 8.55 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 8.55, SNAP perfoms like the industry average, outperforming 58.57% of the companies in the same industry.
SNAP has a Debt/Equity ratio of 1.57. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.57, SNAP is doing worse than 81.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 8.55 | ||
| Altman-Z | -0.08 |
ROIC/WACCN/A
WACC9.07%
2.3 Liquidity
SNAP has a Current Ratio of 3.67. This indicates that SNAP is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.67, SNAP belongs to the top of the industry, outperforming 81.43% of the companies in the same industry.
A Quick Ratio of 3.67 indicates that SNAP has no problem at all paying its short term obligations.
SNAP has a better Quick ratio (3.67) than 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.67 | ||
| Quick Ratio | 3.67 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 56.67% over the past year.
The earnings per share for SNAP have been decreasing by -16.04% on average. This is quite bad
SNAP shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.75%.
SNAP shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.60% yearly.
EPS 1Y (TTM)56.67%
EPS 3Y-16.04%
EPS 5YN/A
EPS Q2Q%25%
Revenue 1Y (TTM)11.75%
Revenue growth 3Y9.2%
Revenue growth 5Y25.6%
Sales Q2Q%9.78%
3.2 Future
Based on estimates for the next years, SNAP will show a very strong growth in Earnings Per Share. The EPS will grow by 26.47% on average per year.
SNAP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.67% yearly.
EPS Next Y-8.9%
EPS Next 2Y13.11%
EPS Next 3Y24.35%
EPS Next 5Y26.47%
Revenue Next Year9.98%
Revenue Next 2Y10.31%
Revenue Next 3Y10.48%
Revenue Next 5Y9.67%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
SNAP is valuated rather expensively with a Price/Earnings ratio of 23.26.
Compared to the rest of the industry, the Price/Earnings ratio of SNAP indicates a somewhat cheap valuation: SNAP is cheaper than 61.43% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.98. SNAP is around the same levels.
A Price/Forward Earnings ratio of 20.68 indicates a rather expensive valuation of SNAP.
The rest of the industry has a similar Price/Forward Earnings ratio as SNAP.
When comparing the Price/Forward Earnings ratio of SNAP to the average of the S&P500 Index (35.79), we can say SNAP is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.26 | ||
| Fwd PE | 20.68 |
4.2 Price Multiples
SNAP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SNAP is cheaper than 62.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.33 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SNAP's earnings are expected to grow with 24.35% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y13.11%
EPS Next 3Y24.35%
5. Dividend
5.1 Amount
No dividends for SNAP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:SNAP (11/26/2025, 12:23:07 PM)
7.675
+0.04 (+0.46%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners60.14%
Inst Owner Change-12.65%
Ins Owners7.54%
Ins Owner Change-2.01%
Market Cap12.97B
Revenue(TTM)5.77B
Net Income(TTM)-496.60M
Analysts63.53
Price Target9.97 (29.9%)
Short Float %7.1%
Short Ratio0.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-11.78%
Min EPS beat(2)-107.59%
Max EPS beat(2)84.04%
EPS beat(4)3
Avg EPS beat(4)25.38%
Min EPS beat(4)-107.59%
Max EPS beat(4)111.94%
EPS beat(8)7
Avg EPS beat(8)43.56%
EPS beat(12)11
Avg EPS beat(12)69.03%
EPS beat(16)13
Avg EPS beat(16)74.09%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-1.25%
Min Revenue beat(4)-2.12%
Max Revenue beat(4)-0.71%
Revenue beat(8)1
Avg Revenue beat(8)-0.92%
Revenue beat(12)2
Avg Revenue beat(12)-0.77%
Revenue beat(16)3
Avg Revenue beat(16)-0.84%
PT rev (1m)5.01%
PT rev (3m)3.52%
EPS NQ rev (1m)7.33%
EPS NQ rev (3m)6.47%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.69%
Revenue NQ rev (1m)0.64%
Revenue NQ rev (3m)0.52%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.26 | ||
| Fwd PE | 20.68 | ||
| P/S | 2.25 | ||
| P/FCF | 31.33 | ||
| P/OCF | 21.01 | ||
| P/B | 5.82 | ||
| P/tB | 30.2 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.33
EY4.3%
EPS(NY)0.37
Fwd EY4.83%
FCF(TTM)0.24
FCFY3.19%
OCF(TTM)0.37
OCFY4.76%
SpS3.42
BVpS1.32
TBVpS0.25
PEG (NY)N/A
PEG (5Y)N/A
Graham Number3.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.55% | ||
| ROE | -22.3% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 54.29% | ||
| FCFM | 7.17% |
ROA(3y)-14.4%
ROA(5y)-13.7%
ROE(3y)-46.22%
ROE(5y)-38.42%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.14%
GM growth 5Y2.43%
F-Score7
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 8.55 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 127.15% | ||
| Cap/Sales | 3.52% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.67 | ||
| Quick Ratio | 3.67 | ||
| Altman-Z | -0.08 |
F-Score7
WACC9.07%
ROIC/WACCN/A
Cap/Depr(3y)104.3%
Cap/Depr(5y)87.64%
Cap/Sales(3y)3.68%
Cap/Sales(5y)3.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)56.67%
EPS 3Y-16.04%
EPS 5YN/A
EPS Q2Q%25%
EPS Next Y-8.9%
EPS Next 2Y13.11%
EPS Next 3Y24.35%
EPS Next 5Y26.47%
Revenue 1Y (TTM)11.75%
Revenue growth 3Y9.2%
Revenue growth 5Y25.6%
Sales Q2Q%9.78%
Revenue Next Year9.98%
Revenue Next 2Y10.31%
Revenue Next 3Y10.48%
Revenue Next 5Y9.67%
EBIT growth 1Y35.17%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year162.29%
EBIT Next 3Y48.31%
EBIT Next 5Y33.83%
FCF growth 1Y17860.6%
FCF growth 3Y-0.65%
FCF growth 5YN/A
OCF growth 1Y197.83%
OCF growth 3Y12.18%
OCF growth 5YN/A
SNAP INC - A / SNAP FAQ
What is the fundamental rating for SNAP stock?
ChartMill assigns a fundamental rating of 4 / 10 to SNAP.
What is the valuation status of SNAP INC - A (SNAP) stock?
ChartMill assigns a valuation rating of 3 / 10 to SNAP INC - A (SNAP). This can be considered as Overvalued.
How profitable is SNAP INC - A (SNAP) stock?
SNAP INC - A (SNAP) has a profitability rating of 2 / 10.
What is the valuation of SNAP INC - A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SNAP INC - A (SNAP) is 23.26 and the Price/Book (PB) ratio is 5.82.