Snap Is a $5 Stock, and Its Co-Founder Is Selling

Detailed summary

Snap's co-founder just unloaded $20 million in stock in two trading sessions, yet the filing hides a detail that changes how much the sale matters. The real question is what the company must prove next.

Bobby Murphy, co-founder and chief technology officer of Snap (NYSE:SNAP), sold 2,000,000 Class A shares on Friday, November 6, 2026, at a weighted average price of $4.9915. He sold 2,000,000 more on Monday, November 9, at $5.0244.

Every sale ran under a Rule 10b5-1 plan, a prearranged schedule that removes the insider from picking dates. He adopted it on November 11, 2025, and amended it on February 11, 2026.

Snap fell 14.02% on November 5 after third-quarter results and closed at $4.96 on November 6. It finished Wednesday, November 11, at $5.34 on 35.2 million shares, above both of Murphy's average sale prices.

With shares down 33.83% year to date, a scheduled founder sale likely adds little to what the earnings report already showed.

After the transactions, he reports 33,390,514 Class A shares held directly and 9,963,581 through trusts and entities, for 43,354,095 in total.

The filing covers Class A stock only. His main stake and voting control sit in other share classes, so the sale says nothing about his control of the company.

Many successful investors eventually reach the same moment. The saving is done, the portfolio is built, and the question quietly changes from how much can I grow this to how much can I take out? Get that second question wrong and decades of good investing can come apart in a handful of years.

In 2026, he sold 2,000,000 shares in early February at $5.31, 4,000,000 in mid-May at $5.36, 343,945 in late May, and 4,000,000 in early August at $5.40.

Including November, that totals roughly 14.3 million shares and about $75.7 million. In 2025, he sold 1,000,000 shares a quarter at prices from $7.80 to $9.04.

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