Snapchat owner leads latest round of tech-stock plunge – Independent.ie

Social media stocks shed about $147bn (€137bn) in market value yesterday after Snap’s profit warning, adding to woes for the sector which is already reeling amid stalling user growth and rate-hike fears. hares in digital ad-dependent Snap tumbled as much as 38pc, their biggest intraday decline ever, erasing about $13bn in market value. Added to the value of declines for peers including Facebook-owner Meta Platforms, Google-owner Alphabet, Twitter and Pinterest, the group has seen $147.3bn billion wiped out. Snap, whose CEO is Evan Spiegel, was trading at about $14, below its 2017 initial public offering price of $17. “At this point, our sense is this is more macro and industry-driven versus Snap specific,” Piper Sandler analyst Tom Champion wrote in a note. Others on Wall Street agreed, with Citi analyst Ronald Josey saying “a slowing macro is likely impacting advertising results across the broader Internet sector, although we believe platforms more exposed to brand advertising – like Twitter, Google’s YouTube, and Pinterest – are likely experiencing a greater impact overall.” The owner of the Snapchat app, which sends disappearing messages and adds special effects to videos, reported quarterly user growth in April that topped estimates. But with the company saying just a…
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