Snap shares gain the most in two weeks on Tuesday, BTIG raises price target on the stock, confirms “Buy” rating

Shares of Snap Inc (SNAP) registered their largest single-session gain in two weeks on Tuesday, after BTIG revised up its 12-month price target on Snap Inc (SNAP) from $15 to $20. The firm also maintained a “Buy” rating on the stock.

Snap shares closed higher for the fifth time in the past ten trading sessions in New York on Tuesday. It has also been the sharpest daily surge since June 4th. The stock went up 9.67% ($1.31) to $14.86, after touching an intraday high at $14.98, or a price level not seen since April 26th 2018 ($15.14).

Shares of Snap Inc have risen 169.69% so far this year, following a 62.29% drop in 2018.

“We believe street expectations for user growth and revenues/Ebitda are simply too low, with far too many investors continuing to ignore Snapchats recovery, driven by repeated overpromising/missing expectations during Snapchats first two years as a public company,” BTIG analyst Rich Greenfield wrote in a note to clients, cited by MarketWatch.

The analyst also stressed on catalysts such as Snaps more open approach to third parties, the launch of new in-app games as well as new Snapchat filters, which have been gaining traction.

According to CNN Money, the 30 analysts, offering 12-month forecasts regarding Snap Inc’s stock price, have a median target of $12.00, with a high estimate of $20.00 and a low estimate of $8.00. The median estimate represents a 19.25% downside compared to the closing price of $14.86 on June 18th.

The same media also reported that 29 out of 40 surveyed investment analysts had rated Snap Inc’s stock as “Hold”, while 6 – as “Buy”. On the other hand, 3 analysts had recommended selling the stock.

Weekly Pivot Levels

By using the traditional method of calculation, the weekly levels of importance for Snap Inc (SNAP) are presented as follows:

Central Pivot Point – $13.88
R1 – $14.39
R2 – $14.81
R3 – $15.32
R4 – $15.82

S1 – $13.46
S2 – $12.95
S3 – $12.53
S4 – $12.10