Here's Why Snap Stock Popped Today

Shares of social media company (NYSE: SNAP) popped on Monday after an internal note from company management to staff was unofficially made public. The memo from co-founder and CEO Evan Spiegel laid out Snap's goals for 2024, and the market liked what it saw. As of 1:03 p.m. ET, Snap stock was up 11.6%. 

As reported by The Verge, Spiegel just sent out a memo to Snap's employees regarding its goals in 2024. And some of these goals stand out. Management hopes to grow its full-year advertising revenue by 20% compared to 2023, it hopes to generate $500 million in revenue from sources outside of advertising, it's shooting for 14 million paying subscribers to Snapchat+ by the end of 2024, and it wants to generate positive free cash flow for the year.

In its public filings, Snap doesn't break out its subscription revenue from its advertising revenue. But the company has generated roughly $2 billion in total revenue through the first two quarters of 2023. And with only 4 million Snapchat+ subscribers, it's safe to say that less than $100 million of that revenue was subscription-based. 

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Source Fool.com