10 Best US Stocks Under $10 to Buy Right Now

6. Snap Inc. (NYSE:SNAP)

Share Price as of March 24: $9.33

Number of Hedge Fund Holders: 44

Snap Inc. (NYSE:SNAP)  is a technology company that is best known for its visual messaging app called Snapchat. It allows users to communicate through short videos and images. It also offers subscription services, eyewear products, and a range of advertising solutions, which include AR ads and various video and image ad formats.

The company’s Direct Response (DR) Advertising saw a 14% year-over-year increase in Q4 2024, which contributed to a total of $1.41 billion in advertising revenue. For the full year 2024, DR ad revenue grew 16% year-over-year, which fueled the total $5.36 billion revenue. The company is enhancing DR capabilities through optimizations like Pixel Purchase and App Purchase, with app-based purchase revenue up over 70% year-over-year. Lead generation products also saw a 6x increase in leads generated for advertisers in Q4, with a 40% average reduction in cost per lead.

Small and medium-sized businesses (SMBs) contributed the most to ad revenue growth in 2024. Tools like Snap Promote simplify ad buying for SMBs. Snap Inc. (NYSE:SNAP) is also implementing automation to improve campaign performance. The company is also testing new ad placements like Sponsored Snaps and Promoted Places, which show promising early results, with a 30% average increase in reach in the US.