So, what is up with SnapChat?!?!?!? This spring SnapChat (SNAP) went public by conducting an Initial Public Offering (IPO). It was a much-anticipated IPO for a new technology company. Some analysts valued the company in the tens of billions of dollars. The IPO opened at a price of $17 per share and within a few days traded at $29 per share. Since then the stock has fallen considerably over the past 4 months and is now at $12.65 per share. So, what happened? Why is the company worth less than 50% of what it was trading at just a few months ago? Using the companys primary financial data (first quarter 10K as well as its SEC Form S1 from the IPOI) evaluate the SNAP situation. Build a valuation model from that information that values SNAP today and projects outward. T Explains your methods including the approach you took to value SNAP.

Financial Data Links

https://www.sec.gov/Archives/edgar/data/1564408/000119312517029199/d270216ds1.htm

https://investor.snap.com/news-releases/2017/05-10-2017-210059250