Snap Inc (SNAP) Fair Value & Analysis
Communication Services · US · Market cap $8.0B
Snap Inc
SNAP · US
Fair value as of: Jul 16, 2026
From 9 valuation models · updated 22 days ago
Fair value updated Jul 16, 2026, revised from $1.02 to $1.17 (+14.7%) since Jul 5, 2026. Share price +12.3% over the past month.
Below-average quality, and screening another 78% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case ($2.16). The favourable scenario is already priced in.
- Weak quality (37/100) and above fair value at the same time, the margin of safety is missing on both counts.
- The model range is unusually wide ($0.6600 to $2.16). The outcome hinges heavily on assumptions, so read the point estimate with caution.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.
How to read this chart
60‑month range $3.93 – $83.11 · fair‑value band $0.6600 – $2.16 · the $5.22 price screens above the $1.17 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.
Analysis
Snap Inc (SNAP) currently trades at $5.22, while our model-based Fair Value estimate is $1.17, implying the stock looks roughly 77.6% overvalued today. We read business quality at 37/100 (below-average quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).
Over the trailing twelve months, Snap Inc generated revenue of $6.1B at a net margin of -6.7%. Revenue grew 12.1% year over year. It earns a return on equity of -18.7%. Net debt stands at $3.7B. Fundamentals as of Jul 16, 2026
Our scenario range runs from $0.6600 (bear case) to $2.16 (bull case); at $5.22, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 50% below its 52-week high and 37% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at 2% fair-value upside, at -78%, SNAP screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 9 models by family
Widest divergence: Dividend Discount ($15.96) versus Asset-Based ($1.09). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 49 · Market factors (momentum, volatility) 17
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Snap Inc. operates as a technology company in North America, Europe, and internationally. The company offers Snapchat, a visual messaging application with various tabs, such as camera, visual messaging, snap map, stories, and spotlight that enable people to communicate visually through short videos and snaps.
Full company description
Snap Inc. operates as a technology company in North America, Europe, and internationally. The company offers Snapchat, a visual messaging application with various tabs, such as camera, visual messaging, snap map, stories, and spotlight that enable people to communicate visually through short videos and snaps. It also provides Snapchat+, Lens+, and Snapchat Platinum, a subscription service that provides subscribers access to exclusive, experimental, and pre-release features; Spectacles, an augmented reality (AR) glasses; and advertising products, including AR ads and Snap ads comprises a single image or video ads, collection ads, dynamic ads, story ads, commercials, sponsored snaps, and promoted places. In addition, the company offers campaign management and delivery, an advertising platform that provides automated, sophisticated, and scalable ad buying and campaign management; and measuring advertising effectiveness solutions. The company was formerly known as Snapchat, Inc. and changed its name to Snap Inc. in September 2016. Snap Inc. was founded in 2010 and is headquartered in Santa Monica, California.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Snap Inc reported revenue of $5.9B in FY2025 versus $4.1B in FY2021, a compound +9.6%/yr. Reported net income was −$460M in FY2025.
SNAP screens 78% overvalued. Compare with Alphabet Inc →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Snap’s 2 Big Problems That Scream ‘Stay Away From the Stock’
- Snap Stock Analysis: Buy or Sell?
- Snap (SNAP) Stock Could Be Undervalued Even After Recent Gains
- Snap's $2,195 Glasses Will See 'Mass Market Adoption' By End of Decade, Says CEO Evan Spiegel: 'Designed For a Future in Which AI Does More
Peer Group
Internet Content & Information · 150 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Internet Content & Information median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 40/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Internet Content & Information stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Alphabet Inc GOOGL | $354.46 | $145.14 | -59% |
| Meta Platforms, Inc META | $669.21 | $534.91 | -20% |
| Tencent Holdings 0700 | HK$460.20 | HK$467.50 | +2% |
| Spotify Technology S.A SPOT | $485.38 | $209.56 | -57% |
| Baidu, Inc BIDU | $113.30 | $451.51 | +299% |
| Reddit, Inc RDDT | $195.34 | $39.59 | -80% |
| Kuaishou Technology, an investment holding company, 1024 | HK$44.70 | HK$101.03 | +126% |
| NAVER Corporation 035420 | 191,300 KRW | 231,585 KRW | +21% |
| Tencent Music Entertainment Group 1698 | HK$34.74 | HK$65.78 | +89% |
| REA Group REA | A$149.14 | A$88.53 | -41% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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