Where to Buy Snapchat Stock

where to buy snapchat stock

Where to Buy Snapchat Stock: Investors can buy Snapchat stock on the New York Stock Exchange (NYSE) through any trading account once SNAP stock hits the market this morning (Thursday).

Snapchat is expected to be priced around $17 per share, and it will trade under Snap Inc. (NYSE: SNAP).

We know that our readers have been anxiously awaiting the Snapchat IPO date.

But before investing in Snapchat stock based on FOMO (fear of missing out), here are two things you need to know...

Snapchat Isn't Profitable

Snapchat IPOInvestors are so excited to invest in Snapchat because of its rapid revenue growth.

In 2015, Snapchat generated $58.7 million in revenue. In 2016, that skyrocketed to $404.5 million.

That's a 589.09% increase in just one year, and revenue is expected to keep climbing...

For this year, Snapchat could generate between $936 million and $1 billion in revenue.

By 2018, Snapchat could generate close to $2 billion.

However, Snapchat still isn't profitable...

In 2016, Snapchat recorded net losses of $514.6 million.

And in its IPO filing, Snapchat said it may never be profitable.

That's enough of a reason not to invest in Snapchat stock on the IPO date.

But the company also had another red flag in its IPO filing...

Snapchat Shareholders Can't Vote

In an unprecedented move, retail investors will not receive voting rights with their Snapchat shares.

This is to prevent activist investors from trying to pressure CEO Evan Spiegel into sacrificing long-term goals for short-term profit.

However, this means Snapchat shareholders can't approve of acquisition offers. It also means shareholders are stuck with Spiegel as CEO, whether he does a good job or not.

So today, this how our readers should play the Snapchat IPO...

Skip the Snapchat IPO Date

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Money Morning Chief Investment Strategist Keith Fitz-Gerald says the IPO process is flawed.

That's because private investors don't take the same risks as retail investors when investing in an IPO.

If Snapchat's valuation reaches $25 billion today, the Snap Inc. IPO may have a valuation 25 times its anticipated 2017 revenue of $1 billion.

In comparison, Facebook Inc. (Nasdaq: FB) traded at 19 times its projected revenue for its 2012 IPO.

Any investment in an IPO means you're investing in stocks with limited available data.

That's why Fitz-Gerald said on Nov. 21 Snapchat is a speculative investment. It hasn't earned your money yet.

If you are eager to invest in Snapchat, Money Morning Director of Technology and Venture Capital Research Michael A. Robinson advises investors place a limit order as close to the IPO price as possible.

That will limit risk while creating maximum upside.

Because this could be one of the biggest IPOs in years, we know investors have a lot of questions. That's why we made this guide for our readers that covers everything you need to know about the Snapchat IPO.

Editor's Note: Timing is everything when it comes to making money in markets - and this new, free service we created puts timing on your side...

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