Morgan Stanley Maintains a Hold Rating on Snap Inc. (SNAP)

​Snap Inc. (NYSE:SNAP) is one of the Best Value Penny Stocks to Buy Now. On February 23, Brian Nowak from Morgan Stanley reiterated a Hold rating on Snap Inc. (NYSE:SNAP) and lowered the price target from $9.5 to $6.5. Earlier, on February 12, Ronald Josey from Citi also reiterated a Hold rating on the stock and lowered the price target from $10 to $6.

​Analyst Nowak from Morgan Stanley noted that while the company’s core business is performing better than expected, its deal with Perplexity remains in negotiations. The deal is expected to add roughly $400 million of high-margin revenue for the company. The analyst also expressed concerns that the company is lagging behind in the digital ad market.

​Snap Inc. (NYSE:SNAP) released its fiscal Q4 2025 earnings on February 4. The company grew revenue by 10.22% year-over-year to $1.72 billion, surpassing estimates by $16.40 million. The EPS of $0.19 also topped consensus by $0.03. Revenue was driven by $1.48 billion in advertising, which increased 5% due to direct response advertising and SMB client segment growth. Moreover, other revenue increased 62% year-over-year, led by 71% subscriber growth to 24 million.

​Snap Inc. (NYSE:SNAP) is an American tech company best known for Snapchat, which is shaping the augmented reality (AR) metaverse by enabling digital overlays on the real world. It leads in AR lenses and tools, supports millions of creators, and is developing wearable AR “Specs” glasses to blend digital experiences with physical spaces.

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