r/stockmarket
SNAP could jump on Tuesday when Specs AR glasses release date are announced
Long SNAP ahead of AR glasses reveal, citing strong Snapchat+ growth to $1B ARR, AR licensing potential, and short squeeze catalysts.
- Upcoming AWE keynote expected to announce consumer AR glasses release date, potentially showcasing final product.
- Snapchat+ reached 25M subscribers, driving Other Revenue up 87% YoY and achieving a $1B ARR.
- Diversification into high-margin AR technology licensing could attract investors seeking recurring revenue.
- Facing major headwinds regarding user growth in North America.
- Heavy spending on infrastructure continues to weigh on the company.
On Tuesday Snap Inc CEO Evan Spiegel is the keynote speaker at AWE. He’s highly expected to announce a 2026 release date for the consumer version of the very anticipated Specs AR glasses.
The market might react to it depending on what information Spiegel shares. Maybe he is going to show the final version of the glasses for the first time ever.
Snap has been trying to diversify away from its volatile core digital advertising business by licensing its AR technology. Investors love recurring, high-margin revenue. Announcements regarding new brand partnerships (e.g., major retail, e-commerce, or industrial giants using Snap’s Lens Studio and AR enterprise tools) could instantly boost confidence in the company’s revenue-generating future.
SNAP stock has faced major headwinds regarding user growth in North America and heavy spending on infrastructure. Because of this, it often attracts short sellers. If Spiegel delivers a highly polished presentation with actual "wow factor" tech demos, it can catch short sellers off guard, triggering a rapid "short squeeze" as they scramble to buy back shares to cover their positions, forcing the stock price upward.
Snapchat+ crossed a massive milestone by reaching 25 million paying subscribers. This rapid growth propelled Snap's direct subscription business to a $1 billion annualized revenue run rate (ARR). To put that in perspective, "Other Revenue" (which is primarily Snapchat+ along with premium features like Lens+ and Memories storage) surged 87% year-over-year to $285 million in Q1 alone.
It has officially become one of the fastest-growing consumer subscription products in the world. Which is why I’m long 42,000 shares…
You think focusing on expensive hardware instead of infinitely scalable and easily distributable software...is good?
SNAP 😂😂. They first tried with the Spectacles 10 years ago and ended up frustrating users with the kiosks. Nah, people moved on.
lol no. Snap already tried and failed at those before. No one wants them.
I’d rather invest in MySpace than SNAP
The problem with SNAP is that they are losing users quickly. The revenue growth is not sustainable is the users keep going down. Also I listened to the last earnings call and Evan sounded a bit autistic when asked what is his opinion about activist investor letter. The guy clearly lost his touch and this made me sell. Luckily I turned a good profit since I bought in at 4.5, was expecting more from the guy however.
the problem with snap is they aggressively try to make me click on their ads by moving the button around wherever my thumb is.
Stop trying to make SNAP happen. It's never gonna happen!
Invested in SNAP since 2020 only to lose money. Gains 10% and sinks 90%.
Same
The stock is down 14 % in the past seven days lol
Yeah that’s why it’s priced in. No one believes in SNAP
That’s the developer version. The consumer version might be displayed for the first time ever to the public on Tuesday.
Trademates rates this a HOLD with HIGH risk. The recent 8.7% drop over 5 days and insider selling between $5.28 and $6.00 tell a different story than the AR hype. Net losses of -$460M and a debt/equity of 2.02 make this a tough hold even with a good presentation. The Canadian ban threat on minors is a real headwind for their core demo.
Insider selling happens constantly and has nothing to do with whatever the price is at the time of sale.
Snap We're releasing AR glasses!
Market Cool but Apple's been rumored to have a secret AR team for 7 years and still nothing
Meta We already have Ray Bans that aren't terrible
Snap But ours have uh a cute filter?