Dear Reader,
Snapchat and Pinterest are showing signs to be the biggest emerging competitors to already established social networks like Twitter, LinkedIn and most of all Facebook.
Pinterest's users are in majority females, but Pinterest is getting traction quickly. The user growth of Snapchat has slowed markedly, but the revenue of Snapchat increases with more than 40% year on year for the past four quarters. If Snapchat is to be a credible competitor to Facebook, than it has to develop more its news feed. Pinterest's main focus on images also needs improving.
If either Pinterest or Snapchat prove to be a credible Facebook challenger both Pinterest and Snapchat would prove grossly undervalued. Both Snapchat's parent Snap and Pinterest are trading at individual market capitalizations of less than 30 billion USD each. Facebook's market capitalization is 605 billion USD currently. If Pinterest or Snapchat prove credible Facebook's challengers or even Facebook disrupters, their stock market prices could increase more than 10 fold.
Actually, I believe Snapchat has the better chances of disrupting Facebook. That said, user adoption for both social networks is not lightning fast as that of Facebook in the past.
Disclaimer: The blogposts and comments on this blog and posts on social networks(Twitter, LinkedIn, Facebook etc.) are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is".
Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blogpost and posts on social networks(Twitter, LinkedIn etc.)!
Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blogposts on this blog and posts on social networks.
Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blogpost and posts on social networks(Twitter, LinkedIn etc.)!
Respectfully yours,
Petar Posledovich
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