Timothy A. Clary / AFP / Getty Images
Reddit stock is flying in late trading after the company known for rollicking forums and "upvotes" offered some reasons for optimism about the advertising market.
Shares of social media company, Facebook, soared by 19.5% Thursday afternoon after the company announced its quarterly financial results. The Street’s expectations were exceeded by the revenue, which grew by more than 60% to more than $392 millions.
Reddit (RDDT), too, provided a bullish outlook. This likely helped reassure investors who were worried about the impact that an uncertain U.S. Trade Policy and other economic concerns might have on the ad market. Snap (SNAP), the parent company of Snapchat, did not give a forecast for the next quarter and instead talked about cost-cutting while reporting their own results.
The company provided investors with a range for second-quarter revenue, which at its midpoint of $420 million would be significantly higher than the $394 million consensus.
“We’re not immune to the broader macro environment, but so far it's been mostly business as usual,” COO Jennifer Wong said in an interview with Bloomberg.
Reddit’s stock has been down for the entire year, losing over a quarter of its worth in 2025 as of Thursday’s closing. It finished the regular session around $119, below the Street's $152 consensus price target.
