Erik Warren

$SNAP Solid news today at Snap Inc. as they ramp up momentum for @Spectacles launch June 16th at @ARealityEvent & profitability in Q3/Q4 investor.snap.com/news/news-deta…

$SNAP should be valued at ~30-50B market cap today here’s why. Snap is currently a 9-10B market cap company with 2025 revenue of 5.93B Just looking at comparable companies with similar revenues or lower we can see snap is undervalued Reddit $RDDT 2025 revenue 2.2B Market cap 30B Roblox $RBLX 2025 revenue 4.9B Market cap 33.5B Zoom $ZM 2025 revenue 4.67B Market cap 29B All of these companies generate less revenue than Snap yet are triple the market cap. Some people may argue well that’s because of growth rates, but Snapchat just reported that their other revenue segment grew 87% last quarter (chart below) and following projections should be at a 2B run rate by the end of this year. Additionally snap is seeing improvements in large advertisers and continued momentum with small and medium businesses. Yes Reddit and Zoom are more profitable, while Roblox and Snap are still recording an earnings loss on an annual basis, but that all changes this year for Snap. Q3 and Q4 will make Snap full year profitable. Snap will start to see the impact of their job cuts on cost savings in Q3 and especially Q4 which will lead to 500M in savings annually. Additionally they will see an increase in Snap+ subscribers in Q3/Q4 as the deadline for memory storage for users with 5GB or more goes into effect at the end of Q3. This will increase revenue while at the same time cut costs with memory unload for people who don’t pay. Snap is on track to post 60%+ gross margins this year. Some other factors people forget to consider is that snap has a Moat in AR, and will have a vertically integrated system with hardware and software with the upcoming @Spectacles, this segment alone is worth 10-20B as they have spent over a decade and billions of dollars on perfecting AR. On the software side they have a full lenses ecosystem built out with hundreds of thousands of developers & an OS system. On the hardware side they have their in house waveguide technology and more to be announced next month at @ARealityEvent June 16th with a possible consumer specs reveal then and SNAP OS 3.0 reveal some time this year. Some other ways to look at the value of snap are within the app, they have 450M snapmap MAUs even more users than Life360 $LIF which is valued at 3B. Snap has said they will turn maps into a commerce hub over time. They also have over 200M MAUs playing games in the platform. There is FUD about founders selling shares but this is because their entire net worth is tied to snap, they don’t take a salary and these are predetermined sales on a schedule. Additionally SBC as a % of revenue has continually declined in the last few years and they said on the last earnings call that this trend will continue. Snap is at a turning point in 2026 where they will become insanely profitable in Q3/Q4 2026 and into 2027 and beyond. They will showcase their consumer specs this year and the market will quickly see that snap will be a top participant in AR glasses even with big tech competition. If we look at comparable companies snap should be at least 30B in market cap, add in 3-5B for their maps/games value 10-20B for specs and you quickly get to a 50B valuation today and even higher if @Spectacles can truly scale with future versions to millions of users. Some additional/summarized quick facts on Snap Inc. -90% of 13-24 year olds use the app -450M snapmap MAUs -Snapchat closing in on 500M DAUs & 1B MAUs -over 100% growth in spotlight shares/reposts in the US QoQ -lenses in snap used 9B times a day on avg -AI powered lens creation up 150% YoY -25M snap+ subscribers 1.1B run rate (and growing)

There is an opportunity for companies like @DoorDash or @Uber to partner with @Snap on their maps feature that now has 450M MAUs to facilitate food pickup or delivery for themselves or others directly from the map by clicking on restaurants/establishments. There is a ride-hailing opportunity too. Users should be able to order rides from the app without switching apps directly from maps thru @uber @lyft & soon Autonomous- @robotaxi @Rivian @Waymo the clock is ticking to contact snap and get access to these 450M MAUs The CBO of DoorDash and Vice President of growth received my email suggestion! They like it. The race is on. $SNAP @evanspiegel $DASH $UBER $TSLA $LYFT $GOOGL $RIVN