*By Chloe Aiello*
Shares of embattled social media company Snap soared more than 16 percent in extended trading on Tuesday, after the company beat Wall Street's expectations for its fourth-quarter financial results and reported users stayed relatively stable from a year ago.
Wedbush's Dan Ives said the results showed signs of progress.
"With a lot of these turnaround stories, it's not just one quarter ー you need a few quarters to really see these turnarounds take place, but no doubt it looks like a step in the right direction," Ives said.
Snap ($SNAP), which is best known for its application Snapchat, reported a loss of $0.04 per share on revenue of $390 million, beating Wall Street’s estimates of a $0.07 loss per share on $377.52 million in revenue, according to Thomson Reuters.
“We are substantially closer to achieving profitability, as we have maintained a relatively flat cost structure across the past five quarters while growing full-year revenue 43 percent year-over-year,” Snap CEO Evan Spiegel said in a statement.
In the ever-important category of daily active users, which measures audience engagement, Snap reported 186 million ー the same number as in the third quarter, and only slightly less than the 187 million it reported this time last year. Average revenue per user came in at $2.09 vs. $1.53 last year.
Snap also said 30 percent more users are using its Stories and Shows features daily.
Bruised by competition from Facebook’s ($FB) Instagram, and a virtual rotating door of executives, Snap’s stock is down close to 50 percent from last year.
Big Business This Week is a guided tour through the biggest market stories of the week, from winning stocks to brutal dips to the facts and forecasts generating buzz on Wall Street. This week we highlight Paramount, Maersk, Starbucks, Uber, Lyft and Beyond Meat.
With Donald Trump due on the witness stand next week, testimony from his adult sons in his civil business fraud trial wrapped up Friday with Eric Trump saying he relied completely on accountants and lawyers to assure the accuracy of financial documents key to the case.
DraftKings reported better-than-expected revenue in the third quarter.
Wallet Hub released a list of the 10 states with the highest median monthly student loan payments.
Oil and gas giant BP will purchase electric vehicle chargers from Tesla for $100 million.
Reports say olive oil prices have jumped 75% since January of 2021.
The big three car companies for GM and Stellantis have agreed to pay striking workers as they spend time on the picket line, according to The Wall Street Journal.
Elon Musk is making a big prediction about artificial intelligence and the jobs market.
Open enrollment season is here and the stress of picking the right plan for you could sometimes get overwhelming. Rosalyn Glenn, financial advisor with Prudential, joined Cheddar News to discuss what to know and understand about selecting your benefits to cover your medical needs and conditions, if any.
Learning about money is a skill that should be learned at an early age. OneMain Financial is now offering a financial course called 'Credit Worthy' across several high schools across the country, along with some scholarships. Doug Shulman, CEO of OneMain Financial, joined Cheddar News to discuss the importance of learning and understanding credit. "Over half of high school students graduate without knowing the basics about credit," Schulman said. "It really helps establish a great foundation to being an independent adult, to have a healthy and happy life, and some financial security is part of that."
