Reddit reported third-quarter results that exceeded analysts' estimates and gave a forecast for the current period that was well ahead of estimates.
Reddit reports its third quarterly results as a public company after market close on Tuesday amid expectations of ad strength and healthy online spending growth.
Earnings are due for Snap stock and Reddit as the social media players look to gain ground on their much larger rival Meta.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Reddit (RDDT) is set to report earnings after the bell on Tuesday, with analysts expecting revenue growth, but a slightly larger net loss than it recorded the same time last year before the social media company went public.
Reddit Inc. (RDDT) reachead $77.29 at the closing of the latest trading day, reflecting a -1.6% change compared to its last close.
Reddit CEO Steve Huffman said the company is working to find its place in the AI "arms race." The platform has become a power player in the race to train AI models.
Despite its strong performance, Reddit's (NYSE: RDDT) stock has been plagued by its suspected meme stock status and the lack of a lockup period for its executives after the initial public offering (IPO).
Reddit's stock has risen over 25% since my initial "buy" rating, driven by strong advertising and data licensing revenue after it signed a partnership with OpenAI to improve user innovation. Its Q2 FY24 earnings showed 54% YoY revenue growth and a 3300 basis point margin expansion, with DAUq reaching an all-time high of 91.2M. Key growth drivers include international expansion, targeted product investments to deepen user engagement and build advertiser relationships, and data licensing agreements, particularly with OpenAI and Sprinklr.
Megan Brantley from @LikeFolio shares their research on Reddit (RDDT) as the social media company competes with Meta Platforms (META), Snap (SNAP) and even Tiktok. "Overall, we see a mixed bag," she says before pointing to the significance of its advertising revenue business.
In the most recent trading session, Reddit Inc. (RDDT) closed at $75.17, indicating a +0.4% shift from the previous trading day.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?