Jul 13, 2017

Wall Street sours on Snap

Rebecca Zisser / Axios

Snap shares closed below the company's $17 IPO price for the first time this week, and analysts downgraded the stock.

Morgan Stanley cut its price target to $16 from $28 saying that they were wrong about Snap Inc.'s ability to innovate and improve its ad product this year. Credit Suisse analyst Stephen Ju lowered his target to $25 from $30 citing raised volatility in Snap trading.

Why it matters: Advertisers say they haven't given up on the platform — which means Snapchat's revenue will continue to climb, but not at a rate that has investors convinced it could knock the growing threat of Instagram. WPP's Sir Martin Sorrell, the CEO of the world's largest advertising conglomerate, told CNBC Wednesday that while it plans to double its ad spend in Snap to $200 million this year, it plans to spend well over $2 billion on Facebook and up to $6 billion on Google.

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MLB's Rob Manfred is latest villain in Astros' cheating scandal

Illustration: Aïda Amer/Axios

MLB Commissioner Rob Manfred's decision to grant Astros players immunity in exchange for confessions about their sign-stealing scheme has undermined his reputation — and he only made himself look worse on Sunday.

The interview: In a 45-minute conversation with ESPN, Manfred asserted that public shame was punishment enough for the Astros. He also called the World Series trophy "just a piece of metal" and said that taking a title away from Houston "seems like a futile act."

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Economists warn coronavirus risk far worse than realized

Photo: Anthony Wallace/AFP via Getty Images

Worries are growing that the economic impact from the novel coronavirus outbreak will be worse than expected and that markets are being too complacent in factoring it in as a risk.

What's happening: The number of confirmed cases has already far outpaced expectations and even those reports are being viewed through a lens of suspicion that the Chinese government is underreporting the figures.

National newspapers thrive while local outlets struggle to survive

Illustration: Sarah Grillo/Axios

While big national newspapers grow stronger, local newspaper chains that have for decades kept the vast majority of the country informed are combusting.

Why it matters: The inequity between giants like the New York Times and the Wall Street Journal and their local counterparts represents a growing problem in America as local communities no longer have the power to set the agenda for the news that most affects them.