Analyst Justin Post of Bank of America Securities reiterated a Hold rating on Snap, retaining the price target of $8.00.
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Justin Post has given his Hold rating due to a combination of factors tied to Snap’s improving profitability but mixed growth outlook. Management is executing significant cost reductions, including sizable headcount cuts and lower operating and stock‑based compensation expenses, which are expected to drive substantial margin expansion and a clearer path to GAAP profitability by 2027.
At the same time, Snap’s advertising revenue growth is lagging larger peers like Meta and Google, and layoffs could create operational friction in the near term. Post also points to ongoing pressure in higher‑value U.S. and European user markets, regulatory uncertainty around under‑18 usage, and competitive risks around the upcoming Specs product launch, which together justify maintaining a Neutral stance with an $8 price objective.
In another report released yesterday, Citi also maintained a Hold rating on the stock with a $7.00 price target.