Snap Inc. has been slowly righting its ship recently, stymying its nose-diving stocks prices and exodus of users. The Snapchat creator’s Q2 2019 earnings imply that things are looking up.
Ever since the company’s stock went public in March 2017, Snap’s been having a bit of a rough time to put it lightly. Starting in April that year, more people began using Instagram’s rip-off of Snapchat’s Stories feature than Snap’s own. The company’s stock went into freefall following a depressing first-quarter report last year that saw the company come in more than $13 million short of its $244 earnings expectations. A redesign last May that users very vocally despised did little to curry back favor with investors, and when the company failed to report significant new generators of ad revenue or user growth in that same quarter, stock prices took a nosedive yet again. From its debut price of $17, stocks hit an all-time low in December at $4.99. Ow.
But in 2019 the company’s been making a comeback to rival Robert Downey Jr.’s. After successfully maintaining the size of its user base by the end of 2018, Snap’s seen its number of daily active users grow for the second consecutive quarter, with 13 million gained this time around for a total of 203 million. That’s an 8 percent bump since last year.