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Reddit Inc. (RDDT) Declines More Than Market: Some Information for Investors
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In the latest close session, Reddit Inc. (RDDT - Free Report) was down 1.99% at $195.47. The stock's performance was behind the S&P 500's daily loss of 0.28%. Meanwhile, the Dow experienced a drop of 1.09%, and the technology-dominated Nasdaq saw an increase of 0.2%.
The stock of company has risen by 11.98% in the past month, leading the Computer and Technology sector's loss of 1.22% and the S&P 500's gain of 1.64%.
Investors will be eagerly watching for the performance of Reddit Inc. in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.99, marking a 120% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $746.89 million, indicating a 49.49% growth compared to the corresponding quarter of the prior year.
RDDT's full-year Zacks Consensus Estimates are calling for earnings of $4.83 per share and revenue of $3.25 billion. These results would represent year-over-year changes of +84.35% and +47.64%, respectively.
Investors might also notice recent changes to analyst estimates for Reddit Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Reddit Inc. currently has a Zacks Rank of #2 (Buy).
Looking at valuation, Reddit Inc. is presently trading at a Forward P/E ratio of 41.27. This signifies a premium in comparison to the average Forward P/E of 19.93 for its industry.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 95, placing it within the top 39% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
View the Zacks #1 Rank List
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Reddit Inc. (RDDT) Declines More Than Market: Some Information for Investors
In the latest close session, Reddit Inc. (RDDT - Free Report) was down 1.99% at $195.47. The stock's performance was behind the S&P 500's daily loss of 0.28%. Meanwhile, the Dow experienced a drop of 1.09%, and the technology-dominated Nasdaq saw an increase of 0.2%.
The stock of company has risen by 11.98% in the past month, leading the Computer and Technology sector's loss of 1.22% and the S&P 500's gain of 1.64%.
Investors will be eagerly watching for the performance of Reddit Inc. in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.99, marking a 120% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $746.89 million, indicating a 49.49% growth compared to the corresponding quarter of the prior year.
RDDT's full-year Zacks Consensus Estimates are calling for earnings of $4.83 per share and revenue of $3.25 billion. These results would represent year-over-year changes of +84.35% and +47.64%, respectively.
Investors might also notice recent changes to analyst estimates for Reddit Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Reddit Inc. currently has a Zacks Rank of #2 (Buy).
Looking at valuation, Reddit Inc. is presently trading at a Forward P/E ratio of 41.27. This signifies a premium in comparison to the average Forward P/E of 19.93 for its industry.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 95, placing it within the top 39% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.