JMP Securities Starts Reddit (RDDT) at Market Outperform, 'a Young Platform With Multiple Growth Levers'
(Updated - April 15, 2024 4:12 AM EDT)
JMP Securities analyst Andrew Boone initiates coverage on Reddit (NYSE: RDDT) with a Market Outperform rating and a price target of $53.00.
The analyst comments "We initiate coverage on Reddit, which we view as a unique platform for authentic human interactions based on passions, interests, and questions that is early in both its user growth and monetization, with a Market Outperform rating and $53 price target.
Our positive view is based on the belief that Reddit remains early in attracting international users, improving ad tools, and creating ancillary revenue streams, including data sales, as Reddit's mostly fixed cost model allows for significant free cash flow (FCF) generation should revenue growth exceed 20% over the next few years, which we view as likely."
For an analyst ratings summary and ratings history on Reddit click here. For more ratings news on Reddit click here.
Shares of Reddit closed at $42.27 yesterday.