We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Reddit Inc. (RDDT) Stock Dips While Market Gains: Key Facts
Read MoreHide Full Article
In the latest trading session, Reddit Inc. (RDDT - Free Report) closed at $153.34, marking a -1.48% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.58%. Meanwhile, the Dow experienced a rise of 0.69%, and the technology-dominated Nasdaq saw an increase of 1.05%.
The company's shares have seen a decrease of 0.01% over the last month, surpassing the Computer and Technology sector's loss of 2.67% and falling behind the S&P 500's gain of 0.97%.
Market participants will be closely following the financial results of Reddit Inc. in its upcoming release. The company plans to announce its earnings on October 29, 2026. The company's earnings per share (EPS) are projected to be $1.3, reflecting a 62.5% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $886.35 million, showing a 51.54% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $5.27 per share and revenue of $3.4 billion, indicating changes of +101.15% and +54.16%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Reddit Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Reddit Inc. is currently a Zacks Rank #3 (Hold).
In terms of valuation, Reddit Inc. is currently trading at a Forward P/E ratio of 29.52. Its industry sports an average Forward P/E of 20.7, so one might conclude that Reddit Inc. is trading at a premium comparatively.
Investors should also note that RDDT has a PEG ratio of 0.72 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Software stocks are, on average, holding a PEG ratio of 1.26 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 31% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
View the Zacks #1 Rank List
Image: Bigstock
Reddit Inc. (RDDT) Stock Dips While Market Gains: Key Facts
In the latest trading session, Reddit Inc. (RDDT - Free Report) closed at $153.34, marking a -1.48% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.58%. Meanwhile, the Dow experienced a rise of 0.69%, and the technology-dominated Nasdaq saw an increase of 1.05%.
The company's shares have seen a decrease of 0.01% over the last month, surpassing the Computer and Technology sector's loss of 2.67% and falling behind the S&P 500's gain of 0.97%.
Market participants will be closely following the financial results of Reddit Inc. in its upcoming release. The company plans to announce its earnings on October 29, 2026. The company's earnings per share (EPS) are projected to be $1.3, reflecting a 62.5% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $886.35 million, showing a 51.54% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $5.27 per share and revenue of $3.4 billion, indicating changes of +101.15% and +54.16%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Reddit Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Reddit Inc. is currently a Zacks Rank #3 (Hold).
In terms of valuation, Reddit Inc. is currently trading at a Forward P/E ratio of 29.52. Its industry sports an average Forward P/E of 20.7, so one might conclude that Reddit Inc. is trading at a premium comparatively.
Investors should also note that RDDT has a PEG ratio of 0.72 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Software stocks are, on average, holding a PEG ratio of 1.26 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 31% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.