Snap: Susquehanna cuts target price.

(CercleFinance.com) - Susquehanna has reduced its target price for Snap, the owner of the Snapchat app, from 12 dollars to 10 dollars , saying that the social media company's second straight miss highlights its "many challenges.
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"Clearly Facebook continues to make life difficult for Snap," the brokerage firm said in a report, maintaining its "neutral" rating on the stock.

"We believe Facebook's superior reach, data, targeting and ad tech are making it tough for Snap to vie for even experimental allocations, and don't see aggressive incentives as a viable way for Snap to overcome its inferior advertising offering," Susquehanna added.

The broker in particular cites the success of Instagram Stories, which went from zero to 250 million daily average users in under 12 months and that of WhatsApp, which went from zero to 250 million in about five months.


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