What investors want to see is what's called operating leverage, which is when operating costs grow more slowly than revenue, resulting in a disproportionate amount of revenue flowing to the bottom line.

Snap is on pace for its best day since November. What's key for Snap's stock long term is that costs don't just grow as fast, or faster, than revenue. Shares of Snap jumped roughly 11 on Monday as lawmakers prepare legislation aimed to limit technology from overseas in the U.S., such as TikTok. It helps that Snap is in the advertising sweet spot right now, but it looks like users are moving to Snap, and that's bigger news long term. SNAP: Snap Inc - Stock Price, Quote and News - CNBC Snap Inc SNAP:NYSE EXPORT WATCHLIST + LIVE SQUAWK BOX RT Quote Last NYSE Arca, VOL From CTA USD After Hours: Last 6:11 AM EST. Greenburg, H., 'Worst CEO award goes to Sears' Lampert', MarketWatch. Snap's results and trends are in sharp contrast to a social network like Facebook, which is seeing growth stagnate. and Lauricella, T., 'Yield-starved investors snap up riskier MLPs'.

Brand advertising hasn't suffered because of Apple's app tracking changes, while direct response ads have, hurting Facebook. One factor that's helping Snap is the fact that it's focused on brand advertisers, who are looking for awareness and attention rather than direct response ads, which need to be targeted and converted into sales. Daily active users are up 20% to 319 million people, and revenue per user jumped 18% to $4.06 in the quarter.

The metrics for Snap are impressive across the board.

Snap marketwatch