Here Comes The Hardware; With A Hefty Price

Research evidence excerpt

Here Comes The Hardware; With A Hefty Price

June 18, 2026 | 01:12 ET~

Snap, Inc.

SNAP-NYSE Rating Price: Jun-17 Target Total Rtn Online Advertising & AI

Outperform $4.74 $15.00 216%

Brian J. Pitz Analyst

brian.pitz@bmo.com (212) 671-8052

David Lustberg VP Associate

Here Comes The Hardware; With A Hefty Price David.lustberg@bmo.com (332) 274-9716

Charlotte O'Hanlon Associate

charlotte.ohanlon@bmo.com (347) 514-0382

Bottom Line: Stan Velikov, CFA VP Associate

SNAP announced SPECS, its augmented reality glasses, priced at $2,195. The Fall 2026E stan.velikov@bmo.com (415) 216-2047

launch will test SNAP's ability to capture share in the growing and competitive AI Michael Arias Associate

wearable space, which includes near-term competition from META and future launches Michael.Arias@bmo.com (332) 274-9760

from several other big-tech competitors. Our estimates are unchanged, as we highlight Legal Entity: BMO Capital Markets Corp.

every 100k of SPECS unit sales will drive $220M in revenue, or 3.25% of SNAP's 2026E 2YR Price Volume Chart

revenue. We expect minimal near-term contribution, as form factor adoption is still in 18

its early stages. Maintain Outperform and $15 Target Price. 1614

Key Points 10 300

8 200

SPECS Augmented Reality Glasses are Finally Coming — Launching this Fall in the 4 100

US/UK/France for $2,195, SPECS glasses include 4 hours of mixed-use battery life, a 2 0 Dec Jun Dec Jun

wireless charger, and a charging case that provides 4 additional full charges, ultimately LHS: Price ($) / RHS: Volume (mm) Source: FactSet

supporting all-day use. Encouragingly, SNAP highlighted that it has filed 7k+ patents Company Data in $

related to SPECS/AR, underscoring its goal to maintain its innovation leadership in

Dividend $0.00 Shares O/S (mm) 1,657.2

augmented reality.