Here's Why Snap Is Moving
Portfolio Pulse from Henry Khederian
Snap Inc (NYSE:SNAP) shares are trading lower by 3.5% after HSBC initiated coverage on the stock with a Reduce rating and a $7.50 price target. The overall market weakness and concerns about future rate hikes following last Wednesday's FOMC statement and lower-than-expected initial jobless claims data are also contributing to the fall. The Federal Reserve maintained the federal funds rate within the 5.25% to 5.5% range at its September meeting.
September 26, 2023 | 7:21 pm
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Snap Inc's shares are trading lower due to a Reduce rating from HSBC and concerns about future rate hikes. The company's reliance on innovation and growth could be hindered by higher borrowing costs.
HSBC's Reduce rating and lower price target for Snap Inc indicate a negative outlook for the company. Additionally, concerns about future rate hikes could increase borrowing costs, potentially impacting the company's growth and profitability.
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