Snap’s Gloomy Forecast Prompts Debate Over Trouble for Broader Advertising Market

Snap The surprise revelation that its second-quarter revenue and profit will be lower than expected sent its shares plunging and ignited debate over whether the social media company’s woes should be reported. signal a broader slowdown in the online advertising market or not.

During a presentation at an investment conference, Snap CEO Evan Spiegel “The macroeconomic environment has certainly deteriorated faster and faster than we expected.” In a filing, Snap said it will miss its target for revenue growth of 20% to 25% year-over-year and will fall short of its adjusted operating income target. Snap stock fell 43% on Tuesday to close at $12.79.