Shares of social media firm Snap Inc. have yet to escape the mountain of pressure sent by shares lock up as its prices in the stock market touched another all-time low last Friday.
For the second time in a month, Snap shares recorded a disappointing history. On Friday, share price of the tech firm plunged a huge 7% to settle at $14.34, the lowest level since the company was listed in the stock market.
The company remained under massive pressure last week as investors went on a sell spree for the first time since Snap was first introduced in the public last March. Since its start, share price of the photo messaging app company has been on a downward trend, slipping from $24 four months ago to below the $15-mark at current time.
Last July 18, Snap has touched its all-time low for the first time as it closed down to $14.63 in a choppy trading.
According to investment bank Morgan Stanley, investors are worried about the volume of Snap share that will be sold in the market until July 31, or the first lockup expiration date, that could drive its shares prices lower.
The price target set by Morgan Stanley also put more burdens to Snap stocks. The bank has downgraded its price target from $28 per share to $16 per share, with a stock rating of equal weight from overweight. Additionally, the bank has forecasted an $897 million revenue for the firm and 182 million active users.