Snap Inc., the social media giant known for its disappearing messages and playful filters, is now facing serious allegations from its investors. A class action lawsuit has been filed against the company, accusing it of misleading shareholders about its advertising revenue growth. Between April 29 and August 5, 2025, Snap allegedly painted an overly optimistic picture of its financial health, while concealing a significant downturn in its advertising revenue growth rate.
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The lawsuit claims that Snap’s management failed to disclose a sharp decline in revenue growth, which plummeted from 9% in the first quarter to a mere 1% by April. This revelation came to light on August 5, 2025, when Snap released its second-quarter financial results, attributing the slowdown to issues with its ad platform, the timing of Ramadan, and minor operational changes. The market reacted swiftly, with Snap’s stock price dropping from $9.39 to $7.78 per share overnight, marking a staggering 17.15% decline.
For those who have suffered financial losses due to this alleged securities fraud, there is an opportunity to seek recovery. Affected investors are encouraged to visit the following link to learn more about their rights and the process of joining the lawsuit: https://zlk.com/pslra-1/snap-inc-lawsuit-submission-form-2?wire=18. Participation comes with no cost or obligation.
Renowned for its prowess in securities litigation, Levi & Korsinsky LLP is committed to representing any plaintiffs seeking justice in this case. With over two decades of experience and a track record of securing substantial settlements for shareholders, Levi & Korsinsky is well-equipped to handle this high-profile case. Their expertise and dedication have earned them a spot in the ISS Securities Class Action Services’ Top 50 Report for seven consecutive years.
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
jlevi@levikorsinsky.com
Tel: (212) 363-7500
Fax: (212) 363-7171