Snap is giving back a chunk of its earnings gains

Markets Insider

• Snap is giving back some of Thursday's huge gains, falling as much as 8%.
• The stock surged nearly 50% after a better than expected earnings report revived hopes its user growth and monetization can lead to sustainable revenue.
• See Snap's stock move in real time here

Snap is getting hit hard Thursday, down 7% at $19.30 a share.

Thursday's big drop comes after shares soared nearly 50% on Wednesday following company's blockbuster fourth-quarter results. Snap reported a 72% spike in revenue versus a year ago and said it now has 187 million Daily Active Users, up 5% from the previous quarter.

The solid results have caused investors to revisit their belief that Snap's poor monetization would hinder its ability to grow revenue.

Snap shares are up 31.5% this year.