Snap tells investors it is on track for several years of 50% growth

Snap’s stock suddenly surfaced on Tuesday after it announced it is capable of generating several years of revenue growth of more than 50% during the company’s investor day.

Shares rose from about $ 58.50, which was about 7% lower than Monday’s close, to a peak of $ 67.68, up nearly 7%, based on the comments. They are now hovering around $ 65.50, up about 3% on a day that’s mostly bad for tech stocks.

“The work on our self-serve ads platform puts us in a position to deliver more than 50% revenue growth for several years,” Peter Sellis, Snap’s senior director of ad products, told investors.

Sellis explained how the company has developed its Ads Manager self-serve ad tool since its launch in 2017. The company has expanded the capabilities of tools to target users and allow advertisers to post different types of bid results.

Now, Snap has built its self-serve advertising ecosystem that has increased cost-per-impression for Snap and increased return on investment for advertisers, Sellis said.

“The more advertisers we have, the more diverse the range of ads we can serve,” says Sellis. “That makes these ads more relevant and makes Snapchatters more likely to engage with them. This in turn leads to a higher ROI and makes us more efficient with our inventory.”