Reddit’s Enhanced Advertising Tools Drive ‘Sizable Upside’: JPMorgan
Reddit Inc (NYSE:RDDT) shares are on the rise following the company’s impressive first-quarter sales performance, which surpassed expectations.
Reddit’s stock surged 14.82% in pre-market trading on Wednesday, as it reporting Q1 earnings after the market closed on Tuesday. Reddit’s Q1 earnings per share (EPS) beat estimates by 5.97%, and its revenue exceeded expectations by 14.16%. The strong sales results, coupled with upbeat Q2 revenue guidance, have fueled investor optimism and driven the stock’s positive momentum.
The Reddit Analyst
JPMorgan analyst Doug Anmuth maintained his Neutral rating on Reddit stock, emphasizing the need for sustained execution and growth against tougher competition in the online ad market.
However, he raised his price target on the stock from $47 a share to $57 a share. The raised price target is based on about 7 times estimated 2025 revenue, which also equates to about 31 times …
Full story available on Benzinga.com