Reddit (RDDT) PT Raised to $212 at Goldman Sachs

Goldman Sachs analyst Eric Sheridan raised the price target on Reddit (NYSE: RDDT) to $212.00 (from $152.00) while maintaining a Neutral rating.

The analyst comments: "We recap Reddit’s (RDDT) Q2’25 earnings report, in which mgmt framed its operating results and forward commentary across a few key themes: 1) another quarter in a row of very strong revenue growth momentum with both Q2 results and Q3 guidance solidly above expectations; 2) user growth trends, while still volatile, ending Q2 better than initial expectations as management remains focused on what’s in their control (i.e. growing logged-in users) despite Google Search volatility; 3) continued positive commentary around key initiatives such as AI (Reddit Answers 5x users QoQ; improving on-platform search; machine language translation, etc.), lower-funnel ad performance (measurement/attribution tools; Dynamic Product Ads/shopping ad unit launching in Q2, etc.) and revenue growth diversification (healthy growth across all objectives, verticals & geos); & 4) despite a step-up in marketing spend across several areas (user acquisition, brand awareness, ad sales, etc.) and management guiding to similar levels of expense growth over the medium-term, the company continues to demonstrate strong operating leverage with ~58%+ incremental Adj. EBITDA margins in Q2 and an outlook for continued cost discipline / return on current investments."

You May Also Be Interested In

• Reddit to join S&P 500 index on Aug. 18, shares soar
• Blackhawk Network (HAWK) Reports Q2 Loss of $0.07; Offers Guidance
• Golar LNG Ltd. (GLNG) PT Raised to $70 at BTIG