Snap shares continue to tumble
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Shares in Snap (NYSE: SNAP) have plunged almost 30 percent from their peak and are now trading below $20 with another analyst labelling the stock a "sell".

Shares in the owner of the popular Snapchat app have been on a roller coaster ride since the firm made its $3.4 billion debut on the New York Stock Exchange on March 2.

Snap closed 4.24 percent lower yesterday at $19.89.

Snapchat secretly files for an IPO due next March
Snapchat secretly files for an IPO due next March

The stock still remains above its IPO price of $17 but has been steadily declining since it peaked at $29 on its second day on the market.

MoffettNathanson analyst Michael Nathanson yesterday put the dreaded "sell" tag on Snap, warning in a note that "the market has priced SNAP for perfection."

Other market watchers have warned that Snap may never turn a profit due to slowing user growth, widening losses and lack of voting rights for outside investors.

Of nine analysts contacted by Reuters, six have rated Snap a "sell", three judged the stock neutral and none recommend buying.

Reuters

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