tiprankstipranks
A New Cause for Concern: Snap Inc Adds a New Share Price & Shareholder Rights Risk
Market News

A New Cause for Concern: Snap Inc Adds a New Share Price & Shareholder Rights Risk

Snap Inc (SNAP) has disclosed a new risk, in the Share Price & Shareholder Rights category.

Pick the best stocks and maximize your portfolio:

Snap Inc.’s unique capital structure, exclusively listing non-voting stock, poses a tangible risk to its market valuation. Major index providers like FTSE Russell and S&P Dow Jones have policies that may exclude Snap’s Class A common stock due to its lack of voting rights, potentially diminishing its appeal to institutional investors. Such exclusions could lead to reduced liquidity and heightened volatility for the stock, threatening its price stability and investor attractiveness. The company’s inability to ensure inclusion in prominent stock indexes may continue to cast uncertainty on its market performance.

Overall, Wall Street has a Hold consensus rating on SNAP stock based on 9 Buys, 2 Sells and 21 Holds.

To learn more about Snap Inc’s risk factors, click here.

Related Articles
TheFlyTrump Trade: Supreme Court will hear TikTok ban challenge
TheFlySnap Inc. call volume above normal and directionally bullish
TheFlySupreme Court to hear challenge to TikTok ban
Go Ad-Free with Our App