Snap Inc. launched their IPO their huge fanfare back in early March as one of the more intriguing tech companies still privately held. Unfortunately for them it’s pretty much been downhill ever since because in just four months the value of their stock has dipped below their IPO valuation of $17 and $24 billion valuation.
Snap Inc., traded as SNAP on the New York Stock Exchange, saw its stock dip to a low of $16.95 earlier today before briefly rallying to $16.99 to close the market – a drop of 1.1%. Compare that to the high Snap Inc’s shares reached in its second day on the market – $29.44 – and you’ll see why investors might be worried.
Over the last few months, Instagram and Facebook have slowly adopted more and more of Snapchat’s features and even cannibalized its user base to the point where we reported not even three weeks ago that Snapchat only had 2/3 the daily users that closest competitor Instagram Stories did.