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Snap sinks to its IPO price

Seth Archer   

Snap sinks to its IPO price
Tech1 min read
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Shona Ghosh/Business Insider

Snap, the parent company of Snapchat, just hit its IPO price of $17 again.

Snap shares have been bumping around their IPO price ever since closing at that level on June 15. The stock has never fallen below the $17 mark.

Snap debuted at $17 and first began trading at $24. It reached its all-time high of $27.09 on March 3, one day after its IPO. It's now down 37% from there.

The company is struggling to innovate faster than its competitors. Facebook has been copying features of Snap's core app in the Facebook and Instagram apps.

Snap recently released a map feature that lets users see where their friends are all over the world. Pundits say this could create a synergy with a location-based advertising company Snap bought, in order to show users advertisements in the map.

Other features, like the ability to remove an object from a photo and add preprogrammed backgrounds, have recently rolled out as well.

The new features haven't impressed investors. Credit Suisse, which has been one of the few bullish voices, lowered its price target from $30 to $25 on July 10. JPMorgan, an underwriter of the IPO, has been bearish since the company began trading publicly.

Snap executives and company insiders won't be able to sell their shares until their 150-day lockup period expires on July 30. However, since that's a Sunday, they won't be able to sell shares until Monday, July 31.

Click here to follow the company's share price live...

Get the latest Snap stock price here.

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