SnapChat Rockets On Opening Day

Best Binary Options Brokers 2020:
  • BINARIUM
    BINARIUM

    Top Binary Options Broker 2020!
    Best For Beginners!
    Free Trading Education!
    Free Demo Account!
    Get Your Sign-Up Bonus Now:

  • BINOMO
    BINOMO

    Only For Experienced Traders.

SnapChat Rockets On Opening Day

Rush for shares makes Snapchat founders instant billionaires

Snap Inc shares were up 44% at the end of the company’s first day of trading – giving Snapchat founders an instant pass to join the tech billionaires’ club.

Market Reaction To Snapchat IPO

The success of the initial public offering (IPO) means the US company now has a market value of $33bn, which is three times more than the worth of social media rival Twitter. Snap’s revenues leapt from $58.7m to $404.5 between 2020 and 2020, but the company is still making heavy losses – $514m in 2020 and $373m the year before.

Before Snap went public, the guide price for its shares was $17, but the opening price on Thursday was $24. By the time trading closed the shares were worth $24.48 each. All of the 200 million shares made available for the IPO were taken and the deals amounted to 10% of the New York Stock Exchange’s business for that day.

Evan Spiegel, Snapchat co-founder and CEO, put 16 million of his own shares into the IPO at $17 a share. Spiegel made $272m from the sales, but his worth is valued at $5bn because he kept 210 million shares in his own hands.

Snap Inc Price Chart 5m Timeframe

What Is Snapchat?

Snapchat is a multimedia mobile app that was founded in 2020 by Stanford graduates Spiegel, Bobby Murphy and Reggie Brown. It’s used by 161 million people every day and is best known for limiting the amount of time its users have to view pictures, videos and messages.

In recent years, Snapchat has expanded its software territory and in 2020 it moved into hardware with the launch of camera-enabled sunglasses. In 2020, Facebook founder and CEO Mark Zuckerberg tried to buy Snap for $3bn, but majority shareholders Spiegel and Murphy turned the offer down.

Although Facebook is valued at $395bn, it still considers Snapchat as competition. So, it’s unsurprising that numerous Snapchat features are now on Facebook and the social media giant’s other networks: Instagram and WhatsApp.

Confidence in Spiegel himself is thought to be the main reason for the clamour for Snap shares. However, some investment experts are sceptical about potential for growth and are wary of the company’s year-on-year losses.

Snapchat’s founders become billionaires as Snap rockets in Wall Street debut

The two men who founded Snap, the parent company of the ephemeral messaging service Snapchat, out of their Stanford University dorm rooms are now billionaires before the age of 30.

The sharemarket launch of Snap outstripped expectations for its stock market debut on Thursday, when it closed worth about US$28 billion (NZ$40 billion).

Snap co-founder Evan Spiegel, who earned US$272 million on the offering, showed up to the floor of the exchange in a suit and tie to ring the opening bell before leaving the building to watch festivities away from the spotlight he famously eschews.

Best Binary Options Brokers 2020:
  • BINARIUM
    BINARIUM

    Top Binary Options Broker 2020!
    Best For Beginners!
    Free Trading Education!
    Free Demo Account!
    Get Your Sign-Up Bonus Now:

  • BINOMO
    BINOMO

    Only For Experienced Traders.

Spiegel and fellow co-founder Bobby Murphy reportedly made US$5b each in Snapchat’s IPO.

Among the traders on the floor, men and women carried the company’s “Spectacles” video-camera glasses as well as stuffed versions of Snap’s smiling ghost mascot.

The IPO has tested investor appetite for a social media app that is popular among people under 30 for applying bunny faces and vomiting rainbows onto selfies, but has yet to convert “cool” into cash.

Snapchat, Snap’s main service, has a loyal user base of 158 million people who use it to send 2.5 billion messages every day, according to its initial public offering filing.

ODD ONE OUT

Absent from the day’s festivities was Snapchat’s third founder, Reggie Brown.

Brown famously cut ties with the company in the biggest start up founder lawsuit since the Winkelvoss twins settled with Facebook founder Mark Zuckerberg for a US$300m deal.

Brown eventually settled for US$158m for his stake in the company, much less than the US$500 million he originally asked for.

Brown, Spiegel, and Murphy were fraternity brothers at Stanford University and lived together in Spiegel’s father’s house in the summer of 2020 – the summer snapchat was founded.

According to a lawsuit filed in Los Angeles court, Brown eavesdropped on a conversation between Spiegel and Murphy where they agreed to cut him out of the company.

He waited to confront his partners, something his former partners called a “scheme” in court papers.

Brown, studying to go to law school at the time, claimed he did a lot of the legal grunt work for the project writing the terms of service, privacy policy, FAQ, and filing the patent application. He also claimed to have come up with the initial idea of disappearing messages, and the apps first name, Picaboo – a reference to the ghost logo.

On August 11, 2020, Brown filed a patent application with the US Patent and Trademark Office and listed the three of them as co-creators.

But Brown had never been among the equity holders of the company, which was split 60/40 by Spiegel and Murphy.

‘ANIMAL SPIRITS’

Snap’s offering was well timed, with investors clamouring for fresh opportunities after 2020 marked the slowest year for tech IPOs since 2008.

The broader market has also been buoyed in the months following the election of US President Donald Trump, with the benchmark S&P 500 surging 10 per cent since the November 8 election amid optimism around the Republican administration’s domestic proposals, including plans to reform taxes paid by businesses.

“The environment is terrific. Animal spirits are running through the streets here. What better time to price,” said Stephen Massocca, senior vice president at Wedbush Securities.

The launch could encourage debuts by other so-called unicorns, tech startups with private valuations of US$1b or more.

Investors bought the shares despite them offering no voting power, an unprecedented feature for an IPO at odds with rising concerns about corporate governance from fund managers looking to gain influence over executives.

Despite a nearly seven-fold increase in revenue, Los Angeles-based Snap’s net loss widened 38 per cent last year. It faces intense competition from larger rivals such as Facebook’s Instagram as it grapples with decelerating user growth.

To justify its relatively high valuation and fend off concerns about slowing user growth, Snap has emphasised how important Snapchat is to its users, how long they spend on the app and the revenue potential of the emerging trend for young people to communicate with video rather than text.

Snap began trading into a market with keen hunger.

Snap raised US$3.4b in its initial public offering on Wednesday night, more than the US$3b Facebook offered to pay for the company in 2020.

Snapchat Emojis: What Do The Emojis On Snapchat Mean

Not sure how Snapchat Emojis actually work? We did our research (spoke to a couple of 13-year-olds who totally filled us in) here’s your need to know

You may have noticed a few updates and changes to Snapchat recently. If you’re anything like us (aka feeling older every day) then you’re probably sat there wondering WTF all this means. Well, we’ve done our research – aka talking to hip 13-year-olds- and have finally figured it all out.

Here’s your low-down:

Why Are There Snapchat Emojis In Your Contacts List?

Wondering why your BFF has a creepy little man with a creepy little grin next to her name? And why this sometimes changes to a bright red heart? Here’s what that all means:

The Complete List Of Snapchat Emojis And Their Meanings

1. Snapchat Yellow Heart Emoji

This is your Snapchat BFF; the friend that you Snapchat back and forth with the most.

2. Snapchat Red Heart Emoji

When you’ve had the yellow heart for two weeks, it turns red, further cementing your Snapchat BFF-dom.

3. Snapchat Pink Heart Emoji

This means you have been Snapchat BFFs for two months. That’s true friendship right there.

4. Snapchat Face with Sunnies

Emoji – You and this friend both share a BF.

5. Snapchat Grimmace Emoji

You and this friend share the same BFF. Awks.

6. Snapchat Smirky Emoji

This friend sends you a lot of Snaps but you don’t send a lot to them. They have you as a BF, but you don’t have them as a BF, geddit? Harsh.

7. Snapchat Smiley Emoji

This person is a plain BF. You send a lot of Snaps to this friend, but they are not your BFF.

8. Snapchat Fire Emoji

You have Snapchatted back and forth with this person consecutively for the amount of days stated next to the fire Emoji. Apparently, the correct term is “Snapstreak”. Whatevs.

9. Snapchat 100 Emoji

You have Snapchatted back and forth with this friend for 100 days straight. Don’t you have anything else to do?

10. Snapchat Gold Star Emoji

Someone has replayed your snap in the past 24 hours.

11. Snapchat Baby Emoji

You just became friends with this person.

Snapchat Icons Next To Snaps: What Do They Mean?

The array of coloured triangle, square and circle icons next to Snaps confuse us even worse than the unnecessary friend Emojis above, but at least these provide some sort of information you may want to know about the status of your Snaps.

Triangles

Triangles denote Snaps that you have sent.

  • Red – Snapchat send without audio.
  • Purple – Snapchat sent with audio.
  • Blue – Sent chat message.
  • Red outline – Your friend opened your Snap without audio.
  • Purple outline – Your friend opened your Snap with audio.
  • Blue outline – Your friend read your chat message.
  • Green outline – Your friend opened and received cash you sent via a Snap.

Double Triangle

The double triangle denotes Snaps which have been screenshotted by your Snapchat friend – always useful.

  • Red – Your friend took a screenshot of the Snap you sent them without audio.
  • Purple – Your friend took a screenshot of the Snap you sent them with audio.
  • Blue – Your friend took a screenshot of the chat message you sent them.

Square

The square depicts Snapchats you have received.

  • Red – Snap received without audio.
  • Purple – Snap received with audio.
  • Blue Chat Box – Chat message received.
  • Red outline – You have viewed a Snap without audio.
  • Purple outline – You have viewed a Snap with audio.
  • Blue chatbox outline – You have viewed a chat message.

Replay Circle

The circle arrow thingy shows when a Snap you have sent has been replayed (you are allowed to replay one Snap per day).

  • Red – Your friend replayed the Snap you sent without audio.
  • Purple – Your friend replayed the Snap you sent with audio.
Best Binary Options Brokers 2020:
  • BINARIUM
    BINARIUM

    Top Binary Options Broker 2020!
    Best For Beginners!
    Free Trading Education!
    Free Demo Account!
    Get Your Sign-Up Bonus Now:

  • BINOMO
    BINOMO

    Only For Experienced Traders.

Like this post? Please share to your friends:
Binary Options Theory and Practice
Leave a Reply

;-) :| :x :twisted: :smile: :shock: :sad: :roll: :razz: :oops: :o :mrgreen: :lol: :idea: :grin: :evil: :cry: :cool: :arrow: :???: :?: :!: