RDDT
Reddit, Inc. · Communication Services · Internet Content & Information
Last
$144.63
−$3.19 (−2.15%) 4:00 PM ET
Prev close $147.81
Open $145.07
Day high $147.85
Day low $144.04
Volume 3,253,056
Avg vol 7,434,323
Mkt cap
$28.44B
EV/Sales
9.70
P/E ratio
32.65
FY Revenue
$2.78B
EPS
4.53
Gross Margin
91.44%
Div yield
0.00%
Sector
Communication Services
AI report sections
RDDT
Reddit, Inc.
No AI report section text found yet for this symbol.
AI summarized at 4:46 PM ET, 2025-08-01
Volume vs average
Intraday (cumulative)
−37% (Below avg)
Vol/Avg: 0.63×
RSI
41.52 (Neutral)
Neutral (40–60)
MACD momentum
Intraday
+0.09 (Strong)
MACD: -0.06 Signal: -0.16
Short-Term
+0.00 (Strong)
MACD: -5.01 Signal: -5.01
Long-Term
-0.61 (Weak)
MACD: -7.51 Signal: -6.90
Intraday trend score 23.00

Latest news

RDDT 12 articles Positive: 8 Neutral: 4 Negative: 0
Positive The Motley Fool • Marc Guberti
Reddit Has Been One of the Worst Stocks in the S&P 500. Here's Why It's a Buy.

Despite Reddit's stock declining over 30% year-to-date, the company demonstrates strong fundamentals with 61% YoY revenue growth, 18% YoY increase in daily active users, and net income nearly tripling. The article argues the stock's poor performance doesn't reflect the company's operational strength, presenting a buying opportunity as U.S. user growth remains robust and international expansion opportunities remain untapped.

RDDT META Reddit stock underperformance revenue growth user growth advertising revenue valuation mismatch buying opportunity
Sentiment note

Strong operational fundamentals with 8 consecutive quarters of 60%+ YoY revenue growth, 18% YoY DAU growth, net income tripling YoY, and 24% YoY increase in weekly active users. Stock underperformance creates a valuation opportunity despite solid business metrics.

Positive Zacks Investment Research • Na
PINS' Growing ARPU Signals Stronger Monetization: Will the Trend Last?

Pinterest reported 7% year-over-year global ARPU growth to $1.86 in Q2, driven by AI-powered features and Performance+ campaigns. However, the company faces intensifying competition from Snap (13% ARPU growth) and Reddit (36% ARPU growth), which posted stronger gains. Pinterest trades at a favorable valuation with improving earnings estimates but carries a Hold rating.

PINS SNAP RDDT ARPU growth AI features Performance+ campaigns social media competition monetization
Sentiment note

Reddit showed exceptional ARPU growth of 36% year-over-year with U.S. ARPU climbing 51%, significantly outpacing both Pinterest and Snap, indicating strong monetization capabilities and expanding audience supporting long-term ad inventory growth.

Positive Zacks Investment Research • Na
GOOGL Rides on Strong Advertising Revenues: Can It Beat RDDT and META?

Alphabet reported Q2 2026 Google ad revenues of $81.63B, up 14.4% YoY, driven by Search growth (17% to $63.27B) and YouTube ads (13% to $11.06B). Gemini AI integration is boosting advertiser performance with 500,000 adopters seeing 15% more conversions. However, Alphabet faces tougher Q3 comparisons and FX headwinds, while competitors Reddit and Meta continue gaining ground with strong ad revenue growth.

GOOG GOOGL GOOGM GOOGN Q2 earnings advertising revenue AI integration Gemini
Sentiment note

Reddit achieved impressive Q2 advertising revenue growth of 64% YoY to $762M, outpacing total revenue growth of 61%. Broad-based growth across customer segments (large, mid-market, SMB) indicates strong competitive positioning in the digital ad market.

Neutral The Motley Fool • Jonathan Ponciano
Reddit's CFO Just Disposed of 10,319 Shares. Here's What Long-Term Investors Should Know

Reddit's CFO Andrew Vollero sold 10,319 shares worth $1.6 million on August 20 to cover tax obligations from a vesting event. This non-discretionary sale reduced his holdings by 4%, though he retains $35.16 million in direct equity. The company expects $140-155 million in stock-based compensation expenses in Q3 as older grants vest at higher prices. Reddit's operating cash flow exceeded $1 billion on a trailing basis, and the company spent $235 million on buybacks last quarter.

RDDT insider trading stock vesting tax withholding share disposition equity compensation stock buyback operating cash flow
Sentiment note

The CFO's share sale is a routine, non-discretionary tax-withholding transaction that does not reflect bearish sentiment on the stock. However, the stock is down 31% over one year, and Morgan Stanley recently trimmed its price target from $240 to $210, indicating some headwinds. The company shows positive fundamentals with $1B+ operating cash flow and active buybacks, but questions remain about user acquisition spending efficiency.

Neutral The Motley Fool • Jonathan Ponciano
Reddit's COO Reported a Disposition and Still Holds More Than 1 Million Shares. Here's What to Know

Reddit's COO Jennifer Wong sold 38,113 shares worth $5.8 million to satisfy tax withholding obligations on vested restricted stock units, while maintaining a direct holding of over 1 million shares valued at $152.15 million. Despite strong advertising growth of 64% last quarter, Reddit's stock fell 21% after earnings as growth rates decelerate and the company faces pressure to extract more revenue per user.

RDDT Reddit COO stock disposition restricted stock units tax withholding advertising revenue earnings
Sentiment note

While Reddit shows strong fundamentals with $2.8B TTM revenue, $871.1M net income, and 64% advertising growth, the stock declined 21% post-earnings despite beating expectations. Growth is decelerating (69% Q1 to 48% Q3 guidance), and the company faces challenges in monetizing U.S. users as daily audience shrinks sequentially. The COO's large remaining stake ($152M) suggests insider confidence, but near-term investor sentiment remains cautious.

Neutral The Motley Fool • Jonathan Ponciano
Reddit's Steve Huffman Filed a Form 4 Right as the Index Pop Faded. Here's What Long-Term Investors Should Know

Reddit CEO Steve Huffman sold 40,336 shares worth $6.1 million on August 20 to cover taxes from an option exercise, a non-discretionary transaction. While Huffman retains significant holdings including 3.5 million derivative securities, the sale occurred after Reddit's S&P 500 inclusion pop faded. Long-term concerns include declining US daily active users despite strong revenue growth of 61% and reduced visibility into referral traffic.

RDDT Form 4 filing stock sale S&P 500 inclusion user growth concerns referral traffic executive compensation
Sentiment note

The transaction itself is non-discretionary and not indicative of lost confidence. However, underlying concerns about declining US daily active users despite strong financial growth (61% revenue increase) and reduced visibility into referral traffic create mixed signals. The stock's -31% 12-month return and the timing after the S&P 500 inclusion pop suggest near-term headwinds, though the company maintains strong profitability metrics.

Positive The Motley Fool • Robert Izquierdo
Reddit vs. Rigetti Computing: Which High-Growth Stock Is a Better Buy in 2026, the Social Media Giant or Rising Quantum Computing Company?

Reddit, now profitable with a 24.1% net margin and 69.4% revenue growth, is compared against Rigetti Computing, a speculative quantum computing pioneer burning cash with negative margins. The article recommends Reddit for conservative investors seeking stable growth and Rigetti for high-risk, high-reward investors betting on quantum computing breakthroughs.

RDDT RGTI RGTIW GOOG Reddit profitability quantum computing Rigetti Computing investment comparison
Sentiment note

Reddit demonstrates strong financial health with 69.4% revenue growth, achieved profitability with 24.1% net margin, zero debt, and consistent quarterly growth of at least 60%. The company has diversified revenue streams including advertising and data licensing.

Positive The Motley Fool • Adam Levy
Meet the Newest Member of the S&P 500. It's Up 365% Since Its IPO, and It Can Keep Climbing From Here.

Reddit has been added to the S&P 500 mid-quarter and is up 365% since its IPO. Despite strong Q2 earnings with 61% revenue growth and 178% EPS growth, the stock sold off due to declining U.S. daily active users amid AI disruption concerns. However, analysts view this as a buying opportunity, citing attractive 21x earnings valuation, strong user monetization growth (36-51% ARPU increase), and management's ambitious growth targets to 100M U.S. logged-in users.

RDDT GOOG GOOGL GOOGM S&P 500 addition IPO performance earnings growth AI disruption
Sentiment note

Strong financial fundamentals with 61% YoY revenue growth, 178% EPS growth, and expanding margins. Despite near-term user growth headwinds from AI competition, the company is successfully monetizing existing users (36-51% ARPU growth). Attractive valuation at 21x earnings for a company with ~25% expected annual earnings growth, plus significant long-term growth runway to reach 100M U.S. users and 1B globally.

Positive The Motley Fool • Danny Vena, Cpa
Meet the Newest Stock in the S&P 500. It Soared 424% Since Its 2024 IPO, and It's a Buy Right Now, According to Wall Street

Reddit has been added to the S&P 500 Index, joining as one of just 14 companies to achieve this milestone in 2026. Since its mid-2024 IPO, Reddit stock has surged 424%. The company reported strong Q2 results with 61% year-over-year revenue growth to $805 million and 178% EPS growth. Wall Street analysts remain bullish, with 21 of 33 analysts maintaining buy ratings and an average price target of $215, suggesting 21% upside potential. Despite trading at 40x current earnings, the stock's forward valuation of 23x earnings and human-powered content advantage in an AI-dominated market make it attractive to investors.

RDDT AVB S&P 500 inclusion IPO performance revenue growth profitability analyst ratings human-created content
Sentiment note

Strong financial performance with 61% YoY revenue growth, 178% EPS growth, and 8 consecutive quarters of 60%+ growth. S&P 500 inclusion validates the company. Majority of analysts (21 of 33) maintain buy ratings with average price target of $215 (21% upside). Unique human-powered content model provides competitive advantage in AI-dominated market. Daily and weekly active users growing at 18% and 24% respectively.

Positive The Motley Fool • John Ballard
Reddit's Data Licensing Revenue Grew 24% to $43 Million, With OpenAI and Google as Its Two Biggest Buyers. Here's Why That Number Is So Tiny.

Reddit's data licensing revenue reached $43 million in Q2 2026, growing 24% year-over-year, but represents only 5% of total revenue. Google and OpenAI are the primary customers using Reddit's data to train AI models. However, advertising remains Reddit's core business and primary growth driver, with the company focusing on converting weekly active users to daily active users to increase ad impressions.

RDDT GOOG GOOGL GOOGM data licensing AI training advertising revenue user engagement
Sentiment note

Reddit achieved 8 consecutive quarters of 60%+ revenue growth, with ad revenue climbing 64% YoY to $762 million. Weekly active users grew 24% YoY to 514 million. Data licensing, while small, represents an emerging revenue stream with major tech partners.

Positive The Motley Fool • Robert Izquierdo
Reddit vs. Snowflake: Which High-Growth Tech Stock Is a Better Buy in 2026?

The article compares Reddit and Snowflake as high-growth tech investments. Reddit achieved profitability with 69.4% revenue growth and a strong balance sheet, trading at a forward P/E of 30.1x. Snowflake generates higher free cash flow but remains unprofitable with 29.2% revenue growth and a forward P/E of 174.6x. The author recommends Reddit as the better 2026 buy due to its lower valuation, substantial revenue growth, and secure position through Google's reliance on its data for AI.

RDDT SNOW GOOG GOOGL high-growth tech stocks Reddit Snowflake profitability
Sentiment note

Recently achieved profitability with strong 69.4% YoY revenue growth, robust balance sheet (11.6x current ratio, zero debt), and lower valuation multiples (P/E 30.1x). Growing AI data licensing business provides additional revenue stream. Author recommends it as the better buy for 2026.

Neutral The Motley Fool • Daniel Sparks
Reddit Joins the S&P 500 Tuesday. Here's What History Says Could Come Next -- and What Investors Should Know.

Reddit will join the S&P 500 on Tuesday, Aug. 18, replacing AvalonBay Communities. While the stock surged 13% on the announcement, historical research shows the index inclusion bump has shrunk significantly over decades—from 7.4% in the 1990s to less than 1% in the 2010s. Reddit's strong revenue growth and profitability are offset by concerns about Google's AI-generated search answers reducing referral traffic, and the stock's 40x earnings valuation leaves little room for disappointment.

RDDT AVB EQR TSLA S&P 500 inclusion index addition stock rally search referral traffic
Sentiment note

While the stock jumped 13% on S&P 500 inclusion news, historical data shows such rallies typically fade. Reddit has strong fundamentals (60%+ YoY revenue growth, profitable), but faces structural headwinds from Google's AI search answers reducing traffic. Trading at 40x earnings leaves limited margin for error.

News and sentiment labels describe article tone and are provided for research purposes only. They are not trading recommendations or forecasts.
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