Snap Inc (NYSE:SNAP) has pared its pre-market trading losses as it is now trading in positive territory on Wednesday. However, it is still down about 25 percent from Friday’s close. At the time of this writing, Snapchat shares are trading at just under $21, which is still below the post-IPO price.
The bad news keeps rolling in for Snapchat investors as another equity investor firm gave the thumbs down to Snapchat. Cantor Fitzgerald wrote on Tuesday that it is giving the social media company a rating of “underweight.”
According to a note to investors, the equity investment firm is forecasting that the company will have a price target of $18.
“Sequential DAU and monetization growth throughout 2017 will be key in determining the growth curve of Snapchat, and whether it’s more likely to mimic Facebook in its user/advertiser appeal or Twitter,” Cantor’s Youssef Squali wrote.
To date, Snapchat has yet to receive any “buy” ratings from Wall Street. In fact, it has five “sells” and three “holds.”
Here are the ratings so far (courtesy of CNBC):
Needham – Underperform (Sell)
Atlantic Equities – Underweight (Sell)
Morningstar – (Sell)
Aegis – (Hold)
Susquehanna – (Hold)
Nomura Instinet – Reduce (Sell)
Pivotal Research – (Sell)
CFRA Research – (Hold)
FBN Securities – Sector Perform
Cantor – Underweight