Snapchat Remains Ahead as Stocks Continue Upwards

Snap Inc [NYSE:SNAP], the owner of Snapchat, continues to surprise us all. Their shares increased by a stunning 47.01% this morning.

Their elevated success comes as no shock, but this monstrous surge definitely does stand out.

Snap’s market cap now sits at US$24.892 billion. The American app development company’s shares have been rising all throughout the morning as it was sitting on 37% earlier.

Their shares have been solid over the past year, as they released their quarterly earnings and full 2017 highlights today on their official website.

The reason for the sudden rise in share price

Back in November last year, Snap revealed its latest redesign, which was set to take place going into 2018. The design is still in the process of rolling out worldwide.

This sudden change took many by surprise and only increased the recognition of the app.

The new design implemented a feature which made celebrity stories more viewable, vastly increasing celebrity’s images.

Instead of giving out their snap across different platforms, snapchat would promote celebrity users themselves.

The marketing department at Snap seem to know what they’re doing! Kylie Jenner, one of Snapchat’s famous users, celebrated the birth of her baby through Snapchat yesterday. This may have contributed to the app’s sudden increase.

Snap’s plans for the future

Snap isn’t keen to slow down yet. They may have a vast amount of celebrities using their app daily, but the app titan wishes to continue their innovation.

According to CEO Evan Spiegal, Snapchat intends to grow across different platforms and go beyond just being a mere app. They want to begin with making stories accessible on the web and continue to grow beyond that.

Spiegal feels strongly that stories the app provides should not only be restricted to the mobile app. This will not only increase the brand’s recognition, but also influence more celebrities and well known figures to access Snapchat.

Snap isn’t afraid of making big jumps in order to branch out the app’s usability.  If small changes can create such an impact in their shares, then who knows what transferring to new platforms may do.

Cheers,

Kris Sayce,
Publisher, Money Morning

PS: If you’re keen to learn more about rising stocks then check out our free report  by Sam Volkering, The Four Best ASX Stocks for 2018.


Kris is never one to pull punches when discussing market developments and economic events that can affect your wealth. He’ll take anyone to task — banks, governments, big business — if he thinks they’re trying to pull a fast one with your money. Kris is also the editor of Microcap Trader — where he reveals the best opportunities he’s discovered in the markets. If you’d like to more about Kris’ financial world view and investing philosophy then join him on Google+. It's where he shares investment insight, commentary and ideas that he can't always fit into his regular Money Morning essays.
Kris Sayce is the Publisher and Investment Director of Australia’s biggest circulation daily financial email, Money Morning Australia.Kris is a fully accredited advisor in shares, options, warrants and foreign-exchange investments. Kris has close to twenty years’ experience in analysing stocks. He began his career in the biggest wasp’s nest in the financial world — the city of London — as a finance broker back in 1995.
It’s there where he got his ‘baptism of fire’ into the financial markets, specialising in small-cap stock analysis on London’s Alternative Investment Market. This covered everything from Kazakhstani gold miners to toy train companies.After moving to Australia, Kris spent several years at a leading Australian wealth-management company. However he began to realise the finance and brokerage industry was more interested in lining its own pockets with fat fees, commissions and perks —rather than genuinely helping out the private investors they were supposed to be ‘working’ for. So in 2005 Kris started writing for Port Phillip Publishing — a company which was more attuned to his investment outlook. Initially he began writing for the Daily Reckoning Australia— but eventually, took over Money Morning. It’s now read by over 55,000 subscribers each day. Kris will take anyone to task — banks, governments, big business — if he thinks they’re trying to pull a fast one with your money! Whether you agree with him or not, you’ll find his common-sense, thought-provoking arguments well worth a read. To have his investment insights delivered straight to your inbox each day, take out a free subscription to Money Morning here. Kris is also the editor of Tactical Wealth and Microcap Trader where he reveals the best opportunities he’s discovered in the markets that you could profit from. If you’d like to learn about the latest opportunity Kris has uncovered, take a 30-day trial of Tactical Wealth here or Microcap Trader here. Official websites and financial e-letters Kris writes for:


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