Wall Street Takes Notice of Snap’s Brutal Smart Glasses Miscue
Didn’t anybody tell him?
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On Tuesday, from the Augmented World Expo in Long Beach, California, Snap (SNAP) CEO Evan Spiegel unveiled the firm’s new smart glasses that are now available to the public for a mere $2,195, which is three times the price of Meta Platforms (META) Ray-Ban smart glasses.
Psst, you don’t see Meta’s glasses around. What would you try to sell smart glasses for three times that price?
“SPECS are the beginning of a new era in computing,” Spiegel said. “For decades, computers have asked us to look down, sit still, or step out of the moment. SPECS bring computing into the world around us where we live, work, learn, create and connect.”
Powered by two Snapdragon processors, SPECS apparently enable high-speed hand tracking, lower latency and more natural interactions than earlier models. SPECS are said to have a black frame, wide arms and heavier look than Meta’s smart glasses.
Wall Street was so excited by the launch of these glasses that, as readers will see below, at least four sell-side analysts reiterated either “hold” or “hold-equivalent” ratings on the shares. Below that, readers will see what I think.
A CEO Who I Trust
At least he bets on himself and on his firm.
On Tuesday, in a regulatory filing, SoFi Technologies (SOFI) CEO Anthony Noto revealed that he had acquired 13,888 more shares of SOFI common stock at an average price of $18.0578, or roughly $251,000. After this transaction, Noto is now personally holding 11.96 million shares of SOFI. Noto had just purchased 15,545 shares on May 11 and 15,878 shares on May 8. The three purchases total just less than $750,000 over a rough five-week span.
Other Recent Portfolio News
Alto Ingredients (ALTO)
On Tuesday, analyst Eric Stein of Craig-Hallum reiterated a “buy” rating on (ALTO) as well as his $8 target price. Stein is rated at five stars out of five by TipRanks. Over the past two years, he has had a 50% success rate with an average return of 27.9%.
Amazon (AMZN)
In shocking news, on Wednesday morning, Business Insider is reporting that Microsoft (MSFT) is turning to Amazon’s (AMZN) Amazon Web Services, known as AWS, to add computing capacity for GitHub after AI coding tools sharply accelerated software development activity and strained the firm’s existing infrastructure.
Late Tuesday, Bloomberg News reported that Amazon may be facing a potential lawsuit from the FTC with damages that could amount to billions of dollars. The FTC has apparently drafted a potential complaint against Amazon as part of an ongoing investigation by the regulator, with multiple state AGs also involved. The probe focuses on whether Amazon properly disclosed the terms and pricing related to its ads.
Ondas Inc (ONDS)
On Tuesday, Ondas (ONDS) announced the launch of new autonomous defense systems and integrated systems of systems solutions at Eurosatory 2026. In this presentation, Ondas
launched new integrated systems that connect air defense, aerial intelligence, aerial one-way attack, ground robotics and AI software. The firm’s platform will connect all of these operations into one autonomous product designed to sense, decide, orchestrate, execute, and assess across multiple domains and mission environments.
Rackspace Technologies (RXT)
On Tuesday, analyst David Paige of RBC Capital reiterated a “hold” rating on (RXT) while increasing his target price from $2.50 to $4. Paige is rated at five stars out of five by TipRanks. Over the past two years, he has had a 92% success rate with an average return of 61.6%.
Snap (SNAP)
On Wednesday, analyst Alec Brondolo of Wells Fargo reiterated a “hold” rating on SNAP while increasing his target price from $6 to $7. Brondolo is rated at three stars out of five by TipRanks. Over the past two years, he has had a 51% success rate with an average return of 3.1%.
On Wednesday, analyst Ronald Josey of Citigroup reiterated a “hold” rating on SNAP as well as his $6 target price. Josey is rated at four stars out of five by TipRanks. Over the past two years, he has had a 48% success rate with an average return of 11.1%.
On Wednesday, analyst Thomas Champion of Piper Sandler reiterated a “hold” rating on SNAP as well as his $8 target price. Champion is rated at four stars out of five by TipRanks. Over the past two years, he has had a 51% success rate with an average return of 14.9%.
On Wednesday, analyst Youssef Squali of Truist Financial reiterated a “hold” rating on SNAP without setting a target price. Squali is rated at four stars out of five by TipRanks. Over the past two years, he has had a 54% success rate with an average return of 17.9%.
Tuesday’s Intention vs Tuesday’s Actual Trade
Intention: Purchase 10 shares of RXT at or close to the last sale of $7.50
Actual trade: Bought 10 shares of RXT at $6.71
Intention: Purchase 25 shares of RXT at $6.50 or better on a sell-off later
Actual trade: Bought 10 shares of RXT at $6.50 and bought 15 shares of RXT at $6.25
Wednesday’s Intentions
Sell 100 shares of SNAP at or close to the last sale of $5.17 to exit the position
Purchase one SNAP October 16 $6 call at a reasonable price to lose this position
Purchase 25 shares of ALTO at or close to the last sale of $4.90
Purchase 5 shares of (PL) at or close to the last sale of $28.02
Purchase 15 shares of RXT at $6 or better
Current Positions
Long 100 shares of ALTO at $5.79. Target price: $9. Last sale: $4.90.
Long 3 shares of AMZN at $258.0567. Target price: $324. Last sale: $246.37.
Long 60 shares of (EVLV) at $5.9895. Target price: $8.50. Last sale: $5.98.
Long 200 shares of (OCUL) at $8.271. Target price: $11. Last sale: $9.04.
Short one OCUL $11 September 18 call at $1.65. Last sale: $1.45.
Short one OCUL $9 July 17 call at $0.90. Last sale: $1.32.
Long 150 shares of ONDS at $9.7624. Target price: $14. Last sale: $9.25.
Long 15 shares of PL at $34.32. Target price $55. Last sale: $28.02.
Long 10 shares of (PLTR) at $137.906. Target price: $194. Last sale: $132.10.
Long 8 shares of (RKLB) at $77.9288. Target price: $185. Last sale: $104.89.
Long 35 shares of RXT at $6.4529. Target price: $9. Last sale: $6.18.
Long 150 shares of (SIDU) at $3.0909. Target price: $6. Last sale: $3.23.
Long 100 shares of SNAP at $5.625. Target price: $7.50. Last sale: $5.17.
Short one SNAP October 16 $6 call at $0.87. Last sale: $0.55.
Long 135 shares of SOFI at $15.8617. Target price: $24. Last sale: $18.03.
Short one SOFI August 21 $20 call at $1.02. Last sale: $1.14.
Long 35 shares of (VELO) at $12.3231. Target price: $36. Last sale: $25.49.
Cash: $224.56.
Portfolio Value: $11,695.08, +16.9% from inception on March 24.
At the time of publication, Guilfoyle was long ALTO, AMZN, EVLV, OCUL, ONDS, PL, PLTR, RKLB, RXT, SIDU, SNAP, SOFI and VELO.
