SNAP INC - A (SNAP)
US83304A1060 - Common Stock
Overall SNAP gets a fundamental rating of 4 out of 10. We evaluated SNAP against 72 industry peers in the Interactive Media & Services industry. SNAP scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. SNAP shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
SNAP had positive earnings in the past year.
In the past year SNAP had a positive cash flow from operations.
SNAP had negative earnings in each of the past 5 years.
In multiple years SNAP reported negative operating cash flow during the last 5 years.
1.2 Ratios
SNAP has a Return On Assets (-12.58%) which is comparable to the rest of the industry.
With a Return On Equity value of -43.22%, SNAP is not doing good in the industry: 66.20% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.58% | ||
| ROE | -43.22% | ||
| ROIC | N/A |
ROA(3y)-13.63%
ROA(5y)-17.09%
ROE(3y)-41.02%
ROE(5y)-41.87%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of SNAP (53.09%) is worse than 66.20% of its industry peers.
In the last couple of years the Gross Margin of SNAP has grown nicely.
SNAP does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 53.09% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.8%
GM growth 5Y10.85%
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.
SNAP has more shares outstanding than it did 5 years ago.
The debt/assets ratio for SNAP is higher compared to a year ago.
2.2 Solvency
SNAP has an Altman-Z score of 0.57. This is a bad value and indicates that SNAP is not financially healthy and even has some risk of bankruptcy.
SNAP has a Altman-Z score of 0.57. This is in the lower half of the industry: SNAP underperforms 64.79% of its industry peers.
The Debt to FCF ratio of SNAP is 24.75, which is on the high side as it means it would take SNAP, 24.75 years of fcf income to pay off all of its debts.
SNAP has a Debt to FCF ratio of 24.75. This is comparable to the rest of the industry: SNAP outperforms 53.52% of its industry peers.
A Debt/Equity ratio of 1.63 is on the high side and indicates that SNAP has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.63, SNAP is doing worse than 81.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 24.75 | ||
| Altman-Z | 0.57 |
ROIC/WACCN/A
WACC7.68%
2.3 Liquidity
SNAP has a Current Ratio of 4.04. 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 4.04, SNAP belongs to the top of the industry, outperforming 80.28% of the companies in the same industry.
SNAP has a Quick Ratio of 4.04. This indicates that SNAP is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 4.04, SNAP belongs to the top of the industry, outperforming 80.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.04 | ||
| Quick Ratio | 4.04 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 40.00% over the past year.
The Revenue has grown by 13.66% in the past year. This is quite good.
The Revenue has been growing by 31.30% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)40%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%300%
Revenue 1Y (TTM)13.66%
Revenue growth 3Y22.48%
Revenue growth 5Y31.3%
Sales Q2Q%15.48%
3.2 Future
The Earnings Per Share is expected to grow by 64.33% on average over the next years. This is a very strong growth
SNAP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.13% yearly.
EPS Next Y191.27%
EPS Next 2Y117.54%
EPS Next 3Y91.11%
EPS Next 5Y64.33%
Revenue Next Year15.94%
Revenue Next 2Y14.78%
Revenue Next 3Y14.23%
Revenue Next 5Y13.13%
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
SNAP is valuated quite expensively with a Price/Earnings ratio of 53.24.
Compared to the rest of the industry, the Price/Earnings ratio of SNAP is on the same level as its industry peers.
SNAP is valuated expensively when we compare the Price/Earnings ratio to 27.37, which is the current average of the S&P500 Index.
SNAP is valuated quite expensively with a Price/Forward Earnings ratio of 26.25.
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 (23.85), we can say SNAP is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.24 | ||
| Fwd PE | 26.25 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as SNAP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 127.43 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SNAP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as SNAP's earnings are expected to grow with 91.11% in the coming years.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y117.54%
EPS Next 3Y91.11%
5. Dividend
5.1 Amount
SNAP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SNAP INC - A
NYSE:SNAP (12/24/2024, 2:40:35 PM)
After market: 11.1701 -0.01 (-0.09%)11.18
-0.08 (-0.71%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners61.36%
Inst Owner Change0.56%
Ins Owners7.66%
Ins Owner Change-1.78%
Market Cap18.75B
Analysts66.4
Price Target13.23 (18.34%)
Short Float %6.21%
Short Ratio2.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)29.88%
Min EPS beat(2)0.45%
Max EPS beat(2)59.32%
EPS beat(4)4
Avg EPS beat(4)61.74%
Min EPS beat(4)0.45%
Max EPS beat(4)162.34%
EPS beat(8)8
Avg EPS beat(8)90.85%
EPS beat(12)10
Avg EPS beat(12)90.33%
EPS beat(16)14
Avg EPS beat(16)163.5%
Revenue beat(2)0
Avg Revenue beat(2)-1.99%
Min Revenue beat(2)-3.07%
Max Revenue beat(2)-0.9%
Revenue beat(4)1
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-3.07%
Max Revenue beat(4)4.62%
Revenue beat(8)2
Avg Revenue beat(8)-0.52%
Revenue beat(12)3
Avg Revenue beat(12)-0.7%
Revenue beat(16)6
Avg Revenue beat(16)0.38%
PT rev (1m)3.57%
PT rev (3m)0.45%
EPS NQ rev (1m)-0.45%
EPS NQ rev (3m)-7.53%
EPS NY rev (1m)2.91%
EPS NY rev (3m)17.86%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)-1.13%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.24 | ||
| Fwd PE | 26.25 | ||
| P/S | 3.63 | ||
| P/FCF | 127.43 | ||
| P/OCF | 53.97 | ||
| P/B | 8.48 | ||
| P/tB | 44.94 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.21
EY1.88%
EPS(NY)0.43
Fwd EY3.81%
FCF(TTM)0.09
FCFY0.78%
OCF(TTM)0.21
OCFY1.85%
SpS3.08
BVpS1.32
TBVpS0.25
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.58% | ||
| ROE | -43.22% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 53.09% | ||
| FCFM | 2.85% |
ROA(3y)-13.63%
ROA(5y)-17.09%
ROE(3y)-41.02%
ROE(5y)-41.87%
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
ROICexcg growth 3YN/A
ROICexcg 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 3Y0.8%
GM growth 5Y10.85%
F-Score6
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.63 | ||
| Debt/FCF | 24.75 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 117.24% | ||
| Cap/Sales | 3.88% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.04 | ||
| Quick Ratio | 4.04 | ||
| Altman-Z | 0.57 |
F-Score6
WACC7.68%
ROIC/WACCN/A
Cap/Depr(3y)82.77%
Cap/Depr(5y)71.36%
Cap/Sales(3y)3.03%
Cap/Sales(5y)2.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)40%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%300%
EPS Next Y191.27%
EPS Next 2Y117.54%
EPS Next 3Y91.11%
EPS Next 5Y64.33%
Revenue 1Y (TTM)13.66%
Revenue growth 3Y22.48%
Revenue growth 5Y31.3%
Sales Q2Q%15.48%
Revenue Next Year15.94%
Revenue Next 2Y14.78%
Revenue Next 3Y14.23%
Revenue Next 5Y13.13%
EBIT growth 1Y33.07%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year132.48%
EBIT Next 3Y40.38%
EBIT Next 5Y27.65%
FCF growth 1Y6.7%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y41.89%
OCF growth 3YN/A
OCF growth 5YN/A