Snap Inc (NYSE:SNAP) stock is one of the worst stocks on Wall Street today, down 20% to trade at $7.49. The Snapchat parent reported an adjusted second-quarter loss of 16 cents per share on $1.34 billion in revenue, both of which fell short of estimates. In response, seven brokerages trimmed their price targets, the steepest coming from Rosenblatt to $8.70. Three other brokerages did hike their price target, however.
This is poised to be SNAP's worst single-session decline since an August 2024 post-earnings selloff. The shares are now down over 30% in 2025 and are nearing their April 8 six-year low of $7.08.
Options traders are having a field day today. At last check, over 445,000 contracts have changed hands, 12 times the average intraday volume. The weekly 8/8 8.50-strike put is the most popular, followed closely by the weekly 8/8 10.50-strike call.
A premium-selling strategy could be the move going forward, as SNAP's Schaeffer's Volatility Scorecard (SVS) checks in at a 7 out of 100. This means the security has consistently realized lower volatility than its options have priced in.
