[Snap] Integrate Perplexity AI into Snapchat

It’s pure upside from here. The Perplexity AI Integration (Q1 2026) Snap announced a major partnership to integrate Perplexity AI (the conversational search engine) directly into the Snapchat interface. The Catalyst: This integration is slated for Q1 2026. If the rollout happens in March or early April and results in a surge of user engagement or "daily active user" (DAU) stability, it could shift the narrative from "stagnant social app" to "AI-powered utility." Market Impact: Investors are looking for high-margin AI features that can revive growth in North America, where users have recently dipped. 2. "Specs Inc." Spin-off & AR Hype In late January 2026, Snap reorganized its augmented reality efforts into a standalone subsidiary called Specs Inc. The Catalyst: This move is designed to make it easier to secure external partnerships or minority investments. Any news of a major tech partner (like Apple or Google) taking a stake in Specs Inc. or a concrete launch date for the new consumer AR glasses could trigger a "relief rally." Timeline: While the glasses launch later in 2026, rumors and supply chain leaks often front-run the actual event. 3. Short Squeeze Potential (Oversold Conditions) As of late February, technical indicators (like the RSI) suggest Snap has been in oversold territory. The Catalyst: Recent analyst upgrades (notably from B. Riley Securities to a "Buy" with a $10 target) highlight an attractive risk/reward ratio. Market Impact: With a high concentration of "Hold" ratings (over 80% of analysts), even a small piece of positive news can cause a rapid price jump as shorts cover their positions and sidelined investors jump back in at these multi-year lows. 4. Q1 2026 Earnings Preview (Early May) While the official report isn't until late April or early May, the "pre-earnings run-up" often starts weeks in advance. The Catalyst: Snap's Q4 2025 results actually beat expectations on EPS and revenue, but the stock fell due to user attrition concerns. If management issues a mid-quarter update showing that North American DAUs have stabilized at \~94 million, the stock could rally instantly. Key Number to Watch: $1.53B (the current revenue forecast for Q1).