SNAPCHAT flash crash
Yesterday, October 21st 2021, $SNAP reported solid earnings but... missed slightly on total sales because of the IOS14 Apple upgrade.
Short version: the new OS14 upgrade from Apple makes it more difficult to generate revenue from advertising for companies like $SNAP, $FB, $TTD, $MGNI, etc. And the impact on revenues scared the market. Or, offered short term traders a reason to exit their positions.
I am asking myself a few questions:
will this change permanently change the ability of these companies to make money from advertising?
where advertisers will spend money instead of the above platforms in the foreseeable future?
where else advertisers will find millenials at scale and with similar ROI?
will the industry find a fix in the short term?
This is a very short-term issue that gives us the chance to buy shares of these companies at a discount.
$SNAP, specifically showed a better than expected average monthly active users on the platform and a growing average revenue per user (ARPU).
I'm adding $SNAP and $MGNI to my POTS Portfolios at today's market close price.
This is the beauty of investing for the very long time.
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Important: this is not investment advice. Consult a licensed financial advisor before making any investment decision.