An extended version of our Seeking Alpha article on SNAP's (unanticipated?) legal and structural problems
Read MoreSnap "Is A Camera Company"?
Interesting choice of industry sector by the co-founders of Snap Inc. So many bankrupt camera companies come to mind. Especially when they could have gone down the road of portraying itself as a social media company, or a networking company, or even a communication company. Is SNAP already waving the white flag? Or preparing for the end of the current social media stock boom?
Read MoreWhy Does Snap Invite Class A Shareholders to ITS AGM?
Assuming there are enough voting shareholders to meet an AGM quorum, why does the Snap Board of Directors invite the non-voting Class A shareholders? Seems like a token gesture and while the prospectus makes a big deal of the invitation it does not explain why the gesture is made.
A compelling case could be made that the best thing for non-voting SNAP shareholders would be to do away with the pretence of holding an AGM and distribute the AGM cost savings to Class A shareholders in the form of a dividend.
Twitter A Failed Business Model?
Twitter is often portrayed as a failed business model. If this is true, does it deserve its current trailing sales multiple of almost 5 times (!). An 80% post-IPO price decline might sound excessive but the trading multiples suggest the worst may not yet be behind us for Twitter stockholders
Read MoreSquare Insiders Disagree with Market Rally
Square Inc has appreciated 70+% since June 2016. Company insiders, especially the founder & CEO, have been consistent sellers. At these lofty forward trading multiple, either management or the equity markets have got it wrong.
Read More