Data showing plummeting app downloads should worry Snap shareholders

Recent app download data for Snap suggests a slowdown in the growth of daily active users, a key metric for Snapchat’s parent, Nomura Instinet analyst Anthony DiClemente said in a note Wednesday.

DiClemente cited data from SensorTower, a firm that tracks app analytics, which showed Snapchat’s year-over-year downloads have dropped 22 percent in the first two months of the second quarter.

“By comparison, Instagram downloads have demonstrated YoY growth, suggesting that competitive pressures may be intensifying for Snap, challenging the platform’s ability to attract and retain new users,” he said. DiClemente, who has a reduce rating and a $14 price target on the…

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