Snapchat Crashes BAD

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Holy smokers guys the snapchat disaster and drama continues on they just reported earnings here about an hour ago guys it’s no bueno it’s no bueno guys it is not looking good for snapchat these chairs are down massively after hours we’re gonna look at that i’m gonna talk about i’ve mentioned several times on this channel that if snapchat drops below $11 i would be

Interested in buying shares in this company i’m gonna kind of address that if i will be doing that if these shares do drop under 11 things like that guys we got a lot to talk about with this one so first off here snapchat shares as of taking the screenshot we’re down over 16% here down to twelve dollars and seventy cents its lowest it’s been so far this year as

Eleven dollars in 28 cents okay that’s the lowest it’s ever been and at one point here in the after-hours it was down more than 20% it was under twelve dollars a share at one point in the after-hours guys so we got look at all these numbers i gotta give you my take here make sure if you’re newer to the stock market you click that second link there in the description

That goes into my stock market investing mastery course if you’re an experienced investor click that first link that is to join my private exclusive membership group let’s get into this guy’s so snap reported revenues of two hundred and seven point nine million dollars missing analyst expectations of two thirty six point nine that’s a pretty bad myth sir especially

Considering how often analysts have taken down numbers for snapchat it’s not just that snapchat misses the fact that analysts have taken numbers down in numbers downs for this company and taking their expectations down lower and lower and they still missed pretty bad here that’s kind of bad news there the app now has a hundred and seventy eight million daily active

Users only a slight bump from 173 million that line there it kind of like almost cracks me up like they say only a slight bump five million we’re talking five million more daily active users in literally three months span than the previous quarter right like like i don’t know what what companies are grading off of everything maybe facebook other than facebook i

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Can’t think of another platform out there that can just add 5 million new users in one quarter like that daily active users that’s a huge number guys but it it wasn’t what you know let’s have expected ones again there so they’re making some big moves here with snapchat so this is a quote from the ceo one thing that we’ve heard over the years is that snapchat is

Difficult to understand or hard to use our team has been working on responding to this feedback as a result we are currently redesigning our application to make it easier to use snap ceo evan spiegel said in a statement on tuesday this is surprising to me the fact that anybody would say snapchat is hard to understand or complicated and i think i’m mostly snapchats

One of the easiest platforms you could possibly use out there i can’t think of anything easier like i picked up snapchat and probably literally probably a 10 to 15 minute span like i download the app and it was very easy to pops right up when an open to the camera app it’s by far the easiest app i use out of anything so i’m amazed at their completely doing a redesign

Here let’s read a little bit more here there isn’t this more quote from spiegel there’s a strong likelihood that the redesign of our application will be disruptive to our business in the short term and we don’t yet know how the behavior of our community will change when they begin to use our updated application that was kind of a scary line there i’m gonna read

That one more time and we don’t yet know how the behavior of our community will change when they begin to use our updated application that’s a scary line there guys we’re willing to take that risk for what we believe our substantial long-term benefits to our business ok so you know this is just a scary thing for me and because of this i’m not sure even if shares

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Were drop under $11 i’m not a hundred percent sure i want to jump in this stock because they’re talking about a big redesign here of the app and your your growing company right this is a company that just added 5 million new people 5 million new daily active users in the past quarter like you’re doing good maybe you’re not doing as good as wall street wants you to

Do right but you’re still doing way better than basically anybody else out in the spaces do it other than maybe instagram like there’s no one above you so the fact that they’re completely redesigning the app that’s a little scary to me because of how many people already love this app adding more and more users why go ahead and change it i can get almost guarantee

You the reason they’re changing it more than likely is probably so it’s more advertiser friendly and they can throw more ads in there and do a lot more things as far as that goes that’s kind of scary if that’s kind of the premise behind it because you know what if you start turning off users in those of those user metrics go from 5 million of growth to 5 million

Disappear because of this guy so that’s kind of scary they’re the young company a meant for to misjudging the success of its first hardware product spectacles a lack of demand for the camera equipped glasses resulted in a 40 million dollar charge due to excess inventory in purchase commitment cancellations we know the whole photography you know videography segment

Is is you know hard it’s a hard business right now yeah i mean even the creme de la creme which is what gopro there’s and there’s no one above gopro as far as the amount of cameras they sell right company i own even they’re having a hard troubles as far as growing the camera side of the business gopros growing growing other parts of the business but the camera side

That’s really hard to grow right now and that’s pretty much you know even in the dslr space the cannons the nikons some of those that maybe don’t sell as many units up there but they still sell cameras even those ones are you know experienced some some troubles right now so the camera space is hard and the fact that snapchat try to jump in there were spectacles

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You know it’s admirable that they tried but at the same time what were the chances they weren’t gonna succeed when you see a lot of camera companies having troubles right now as it is so it’s a hard space to do their snapchat try to jump in hardware you know hardware’s a hard business that’s the bottom line hardware is it seems really simple and then once you

Get in the business you realize how hard it is to make it because there’s only a few companies that can really you know produce the type of unit numbers you need to not take excess writedowns and whatnot here so with snapchat guys i’m just like i don’t know if even if this drops on there 11 i don’t know if i want to jump in it for the strict fact that i don’t

Know what’s gonna happen with this redesign of the app and that scares me when you’re talking about like a fundamental redesign that really scares me as someone that would potentially be buying the stock because it’s like what am i getting into here we also gonna lose 10 million people because they don’t get as much or 20 million or 50 like that’s scary to me

Guys especially if it’s a huge change so for that reason i’m not even convinced that if it drops under 11 i would be buying this until i get to see what the app looks like gives it to hear feedback and those kinds of things guys so anyways hope you enjoyed this day don’t forget if you’re new to the stock market click that second link in the description if you’re

Experienced investor click that first one join there guys thank you for watching and have a great day

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Snapchat Crashes BAD By Financial Education

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