Last year was one of the best years for social media companies. The social media apps enjoyed a huge surge in usage in 2020 after people were trapped inside their homes looking for an escape during the pandemic time.
Recently, social media pioneers like Twitter, Facebook, Snap Chat, and Pinterest delivered strong impressive results for the second quarter ended June 30. The better-than-expected results helped shares of Facebook, and Snap to reach a new all-time high. Meanwhile, Pinterest shares fell more than 20% in the last 2 weeks after the Q2 earnings announcement.
Let’s go through one by one,
1. Snap (NYSE: SNAP)
The parent company of Snapchat, Snap (NYSE: SNAP) shares bounced more than 20% on July 23 after the company posted blockbuster Q2 results. In the second quarter, Snap reported a 116% jump in revenue to $982M and the daily active users (DAUs) rose 22% year over year to 265 million.
Earnings per share (EPS) $0.10 vs. -$0.01 expected
Revenue $982 million vs. $845 million expected
“Our second-quarter results reflect the broad-based strength of our business” – SNAP CEO, Evan Spiegel said.
The snap stock hits a fresh all-time high of $80.85 on August 10, Tuesday. Snap shares have climbed roughly 29% since the start of 2021.
2. Twitter (NYSE: TWTR)
The social media app Twitter has released its Q2 earnings results on July 22. Twitter reported revenue of $1.19 billion in Q2, a 74% increase YoY.
Earnings per share (EPS) $0.20 vs. $0.07 expected
Revenue $1.19 billion vs. $1.07 billion expected
“As we enter the second half of 2021, we are shipping more, learning faster, and hiring remarkable talent,” Twitter CEO Jack Dorsey said.
Twitter stock bounced 8% following the Q2 results announcement to above $73 but failed to break the previous all-time highs of $80.75.
3. Facebook (NASDAQ: FB)
Facebook reported their second-quarter earnings for 2021 on Wednesday, July 28th. Facebook revenue increased to $29.077B which was 56% higher compared to the same quarter last year. The company daily active users grew by 7% year over year to 1.91B.
Earnings per share (EPS) $3.61 vs. $3.03 expected
Revenue $29.08 billion vs. $27.89 billion expected
"We had a strong quarter as we continue to help businesses grow and people stay connected” – FB CEO, Mark Zuckerberg said.
Facebook stock retreat from the all-time highs after the earnings announcement and now trades almost 5% lower from the all-time highs.
4. Pinterest (NYSE: PINS)
The photo-sharing platform Pinterest posted better-than-expected earnings and revenue for the second quarter on July 29th. The stock plunged after the earnings announcement as investors reacted negatively to weaker-than-expected monthly active users’ numbers.
Earnings per share (EPS) $0.25 vs. $0.13 expected
Revenue $613.2 million vs. $562.3 million expected
“Our second-quarter results reflect both the strength of our business and the recent shift in consumer behavior we’ve seen as people spend less time at home,” PINS CEO, Ben Silbermann, said.
Pinterest shares remain under pressure after it dropped more than 25% in July. Overall, the momentum remains bearish throughout the last few weeks.
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