Reddit (RDDT) PT Raised to $190 at BofA Securities

BofA Securities analyst Justin Post raised the price target on Reddit (NYSE: RDDT) to $190.00 (from $180.00) while maintaining a Neutral rating.

The analyst comments "Taking a step back, results were quite strong vs the industry, and highlight continued sales & cost execution. Also, the growth outlook for Reddit remains strong given AI opportunity around Reddit content, rapidly growing Intl users, untapped assets & potential for higher ad pricing. However, 4Q revs. were “only” $28mn above high end of 4Q rev. guide, below historical beats since IPO, while US user miss was a surprise, so results were - less good. We like Reddit’s growth but see balanced risk reward given: 1) Premium valuation that already anticipates growth & margin upside (stock at ~$188 in AH, approx. 15x our revised 2026 revs. vs comps at 5x), 2) likely rev. growth deceleration in 2H, and 3) dependence on Google, which could increasingly feature AI answers."

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