Snap Inc (snap) Has No Friends At The Minute!

Discussion in 'Investment Charts' started by longtermbull, Jul 18, 2017.

  1. JR Ewing

    JR Ewing Super Moderator Staff Member

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  2. fireopal

    fireopal Senior Investor

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    nice little bounce/play this morning
     
  3. longtermbull

    longtermbull Administrator Staff Member

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    Is there an element of some shorters closing out their positions in this bounce? When you compare snapchats' short term financials against their competitors they don't look very good?
     
  4. fireopal

    fireopal Senior Investor

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  5. gowiththeflow

    gowiththeflow Senior Investor

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    This doesnt stack up to me.

    If things were as bad as the share price is saying then surely the company would have looked for a private off market sale before the IPO (there were plenty of interested parties)?

    While it depends on the amount of stock these execs held/hold in some ways you cant blame them for liquidating some of their holding but why now? I know the lock in period has ended but why now?
     
  6. gowiththeflow

    gowiththeflow Senior Investor

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    Well well well, $15.15 on 8th Sept 17 - didnt expect that in the current market conditions.

    It has broken 2 of the 3 main trend lines, next resistance $18.
     
  7. longtermbull

    longtermbull Administrator Staff Member

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    In hindsight, as usual, the time to buy was when EVERYONE turned against this stock and it was in over sold territory.
     
  8. gowiththeflow

    gowiththeflow Senior Investor

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    Could see a short term rebound but after that are the fundamentals strong enough to support the price and move it to the next level?
     
  9. JR Ewing

    JR Ewing Super Moderator Staff Member

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    Yeah, fundamentally I believe it to still be way overpriced - of course that doesn't mean that it won't necessarily hold this price or perhaps even go higher... But it's far too expensive for me.

    Revenues are far too low to justify a ~ $18 billion market cap IMO... but of course many things in the tech world don't make sense. :D
     
  10. longtermbull

    longtermbull Administrator Staff Member

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    I agree JR - everything in the world of social media/technology seems to be based on jam tomorrow. An $18b valuation for an unprofitable business seems mad - then again I think if we look back at the early days scenario with FB it was similar while probably not on the same scale.
     
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