Shares of Snap Inc surged 10.81% during intraday trading on Tuesday, extending a powerful rally that began after the social media company reported second-quarter financial results that handily exceeded Wall Street expectations.

The Snapchat parent posted revenue of $1.6 billion, up 19% year-over-year and significantly above the consensus estimate of $1.54 billion. Adjusted EBITDA reached $249.6 million, far surpassing the $188.8 million analysts had forecast. The outperformance was fueled by increased advertising spending during the FIFA World Cup and stronger campaign activity from large North American advertisers, with the company's AI-powered Smart Campaign Solutions helping to attract advertisers by automating bidding, budgeting, and audience targeting. Snap also provided upbeat third-quarter revenue guidance of $1.7 billion to $1.74 billion, with the midpoint above the $1.7 billion consensus, and highlighted its long-term bet on augmented reality glasses with a Spectacles launch event scheduled for September 16.

The combination of a strong quarterly beat, solid forward guidance, and optimism around the upcoming Spectacles release fueled the sharp intraday gain, with several analysts raising their price targets on the stock following the results.