Shares of Snap are trading up 7.40% after hitting a new intraday low of $US11.28. The previous low, set last week, was $US11.91.
Shares of Snap are still under pressure from several lockup periods that expire this month. 1.2 billion shares held by company insiders will become available for trading for the first time over the next month. The next lock-up expires on Monday, which is also the last day hedge funds can report their holdings.
The new low comes after the news that billionaire investor Dan Loeb ditched his shares. In an SEC filing on Friday, Loeb disclosed that he had sold the entirety of his 2.25 million shares bought during the first quarter of the year.
Singapore-based investment company Temasek Holdings also divested its entire Snap position, and other divestitures could be coming.
Snap also released disappointing earnings last Thursday. The company reported losses of $US0.16 per share on revenue of $US181.7 million. Both numbers, and the total number of users added the platform in the quarter, were below Wall Street’s expectations.
Snap is down 29.4% so far this year.