Snapchat Finally Gets A 'Buy' From The Sell Side

Snap Inc SNAP has finally won over its first sell-side analyst. After a plethora of Sell and Hold initiations, analysts at Monness Crespi Hardt initiated coverage of Snapchat's parent company with a Buy rating and $25 price target.

According to the analysts, initiation of the very new public company with a Buy rating may be giving the company too much credit for its "unproven skills in building a business," the fact is there is more to Snap's story than many suggest.

The analysts also acknowledged that there is "substantial execution risk" involving in Snap's investment. However, at this point in time the analysts are prepared to give Snap the benefit of the doubt given what is known about the company and the efforts of its competitors.

With that said, the analysts believe that Snap's multiples can "become more palatable" if the company delivers on what is expected of them.

No Other Buy Ratings

Here is a list of other sell-side research firms and their rating on Snap's stock:

• Analysts at Mizuho initiated coverage of Snap with a Neutral rating and $20 price target.
• Analysts at Susquehanna initiated coverage of Snap with a Neutral rating and $22 price target.
• Analysts at Pivotal Research Group initiated coverage of Snap with a Sell rating and $10 price target.
• Analysts at Atlantic Equities initiated coverage of Snap with an Underweight rating and $14 price target.
• Analysts at Moffett Nathanson initiated coverage of Snap with a Sell rating and $15 price target.
• Analysts at Needham initiated coverage of Snap with an Underperform rating.
• Analysts at Cantor Fitzgerald initiated coverage of Snap with an Underweight rating and $18 price target.

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