Now Is The Time To Buy Snap, Drexel's Brian White Says

Despite Snap Inc SNAP's stock trading near its all-time low of $15.21 on Monday and down nearly 40 percent since its March IPO, now is a good time to buy shares, at least according to Drexel Hamilton's Brian White.

The case to buy Snap's stock can be made from a historical perspective.

Shares of rival social media platform Facebook Inc FB suffered bigger losses after its first four months -- only to rebound ahead of the lock-up expiration period that Snap is about to enter, White argued during CNBC's "Squawk Box" segment. But Facebook's rebound isn't unique as many companies White follows have rebounded near their lock-up period.

On the other hand, Facebook has shown itself to be a social media behemoth that Snapchat is struggling to compete with. There's no doubt that Snapchat's management is feeling the pressure but the mobile advertising social media market is "enormous" at $66 billion and will soar to nearly $200 billion in five years.

"It doesn't have to be winner takes all," White emphasized.

Snapchat's appeal to users isn't the same as other rival platforms. White refers to Snapchat as a "platform for the imagination" as opposed to Facebook and other platforms, which is more broad and generalized.

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