Snap Stock Rallies on Report of CEO;s Bullish Note to Staff

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Snap Stock Rallies on Report of CEO;s Bullish Note to Staff
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According to RBC Capital analyst Brad Erickson, the company’s targets are well above previous Wall Street estimates.

Snap shares rallied 12% on Monday in response to an upbeat note from CEO Evan Spiegel to the social media company’s staff about the financial outlook for 2024.

According to the report, Snap sees $500 million in 2024 adjusted earnings before interest, taxes, depreciation, and amortization, with positive free cash flow. Spiegel also said that Snap expects to top 475 million daily active users by the end of 2024, the website said. RBC Capital analyst Brad Erickson pointed out in a research note that the company’s targets are well above previous Street estimates. The consensus had called for 13.5% revenue growth and $267 million of adjusted Ebitda, he said.

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