Reddit proved business resilience supported by strong execution capability. Advertising revenue and ARPU are growing rapidly, with fast EBITDA margin improving toward industry-leading levels. Valuation is attractive, with a projected 30% revenue CAGR and strong capital returns justifying a premium, and a target price of $255 is set.
Investor obsession with ChatGPT “killing” Reddit completely misses the point—Reddit's daily users are still climbing, not falling. RDDT is projected to achieve over 40% year-over-year revenue growth in 2026, driven by steady user gains and new product initiatives. Valuation is attractive, with RDDT trading at an adjusted PEG ratio of 1X.
We remain confident in AI's potential to transform the global economy and in NVIDIA's pivotal role as the leading enabler of that transformation. We retain our long-term conviction in Broadcom's position within the AI ecosystem. Shares of PAR fell during the quarter as the company lowered its annual recurring revenue growth outlook for the year to 15% (from prior 20% expectations) due to weak m...
Reddit is rated a Strong Buy with a $250 price target, implying 20% upside driven by robust growth and engagement. RDDT posted 68% YoY revenue growth and a 5x EPS surge in FQ3 2025, with a premium 91% gross margin and strong operating cash flow. Advertising revenue soared 74% YoY, fueled by automation, higher ARPU, and international expansion through machine translation and local partnerships.
Australia's internet watchdog on Wednesday widened its world-first teen social media ban to include Reddit and video live streaming platform Kick, and said more sites could be added if their main role was to enable online social interaction.
Reddit is well-positioned for growth and profitability, driven by strong Q3 results, robust user engagement, and AI training deal optionality. RDDT's Q3 revenue grew 68% YoY, with international revenues up 74% and ARPU rising 41%, supporting a healthy growth outlook. Gross margins near 90% and EBITDA margins above 40% highlight strong operating leverage, with expectations for further margin exp...
Reddit‘s (RDDT) Q3 earnings showed 68% revenue growth, a 25% user increase, and a 52% rise in ARPU. Much of my skepticism previously focused on Reddit's ad business and user engagement since its IPO.
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