Snap Co-Founders Ensure Proposal Approval with Written Consent Before 2025 Annual Meeting

Snap Inc. announced its 2025 annual meeting of stockholders will be held online on August 1, 2025. Co-founders Evan Spiegel and Robert Murphy, who hold significant voting power, intend to approve proposals by written consent, ensuring their passage before the meeting. The company's financial performance and valuation are impacted by ongoing profitability challenges and a negative P/E ratio.

Snap Inc. (SNAP) has announced that its 2025 annual meeting of stockholders will take place online on August 1, 2025. Co-founders Evan Spiegel and Robert Murphy, who hold significant voting power, intend to approve proposals by written consent, ensuring their passage before the meeting [1].

The company's financial performance and valuation are impacted by ongoing profitability challenges. Snapchat's U.S. time spent fell nearly 14% year-over-year, marking a worsening trend compared to May, even against easier comparative figures from the previous year [1]. Global time spent on the platform has now declined year-over-year for five consecutive months [1].

Despite these usage challenges, the firm maintains a positive outlook. Citizens JMP notes that "Snapchat’s position as a communication platform remains unchallenged given its camera-first approach that remains differentiated" [1]. The company believes the time share losses are primarily occurring in Snapchat’s Spotlight and Discover features, attributing this to "improved relevance of Instagram’s video content" rather than weakness in Snapchat’s core messaging functionality [1].

Snap Inc. has seen several significant developments. Wells Fargo has raised its price target for Snap to $11, citing expectations for accelerated revenue growth due to an improving advertising environment [1]. The firm anticipates Snap will achieve $76 million in EBITDA for the second quarter, surpassing consensus estimates, and expects third-quarter revenue guidance to reflect 12-15% year-over-year growth [1]. Loop Capital Markets adjusted Snap’s price target to $12, down from $16, while maintaining a Buy rating, reflecting a more conservative sales multiple for valuation [1].

Snap Inc. also announced a partnership with RWS Global to integrate augmented reality technology into live sporting events, aiming to enhance fan experiences and create new sponsorship opportunities [1]. Additionally, Snap revealed plans to launch a new version of its augmented reality glasses, Specs, in 2026, featuring advanced AI and AR capabilities. The company also introduced updates to its operating system, Snap OS, and new developer tools for creating AI-powered applications [1].

From a valuation perspective, Snap is currently exchanging hands at a Forward P/E ratio of 38.04, indicating a premium compared to the average Forward P/E of 28.96 for its industry [2]. The company's PEG ratio is 1.08, which is lower than the industry average of 2.22 [2].

Snap Inc. is currently ranked #3 (Hold) by the Zacks Rank system, indicating a moderate outlook from analysts [2]. The upcoming earnings release of Snap will be of great interest to investors, with the company forecasted to report an EPS of $0, showcasing a 100% downward movement from the corresponding quarter of the prior year [2].

References:
[1] https://www.investing.com/news/analyst-ratings/citizens-jmp-reiterates-market-outperform-rating-on-snap-stock-amid-usage-decline-93CH-4131494
[2] https://www.nasdaq.com/articles/snap-snap-stock-dips-while-market-gains-key-facts