American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

Reddit is attracting ad dollars: will RDDT shares rally further in 2025?

by admin May 3, 2025
May 3, 2025
Reddit is attracting ad dollars: will RDDT shares rally further in 2025?

Reddit Inc. (NASDAQ: RDDT) is strongly positioned to extend its gains further over the next few weeks, according to JPMorgan senior analyst Doug Anmuth.

Reddit shares have already rallied some 40% since early April, but an upbeat quarterly release the forum social media platform posted this week will sustain momentum moving forward, Anmuth says.

In the first quarter, the NYSE-listed firm earned 13 cents on a per-share basis (adjusted) – well above the 2 cents per share that experts had forecast.

At $392 million, RDT’s revenue also topped Street estimates by about $22 million in its fiscal Q1.

Reddit shares have upside to $145 in 2025

JPMorgan recommends owning Reddit stock at current levels as the San Francisco-headquartered firm continues to grow its daily active users at an accelerated pace.

DAUs were up another 31% in Q1, which brought sufficient confidence to Doug Anmuth in raising his price target on RDT shares to $145, since a fast-growing user base is attracting significant ad dollars to Reddit in 2025.

“Reddit continues to execute well and capture share of advertiser budgets,” he told clients in a research note this week.

Note that Reddit shares are down some 45% versus their year-to-date high at the time of writing.

RDT is well-positioned to grow its profit and revenue

According to the JPMorgan analyst, shares of the social media company could extend gains as its management continues to introduce new features like the AI-enabled Reddit Answers.

All in all, the San Francisco-based firm is strongly positioned to continue growing its profit and revenue, which may help unlock significant further upside in its share price in the months ahead.

Note that Doug Anmuth’s upwardly revised price target on RDT stock translates to about 20% upside from current levels.  

However, the social news aggregation platform does not currently pay a dividend and is, therefore, not a suitable pick for income investors in 2025.

Reddit issued upbeat guidance for its fiscal Q2

Investors could also take heart in the fact that Reddit, earlier this week, issued upbeat guidance for the current quarter at a time when tariffs and the related macro uncertainty are keeping others cautious at best.

RDT expects its revenue to fall in the range of $410 million to $430 million in Q2, handily above the $396 million that analysts had called for.

More importantly, the company’s chief executive, Steve Huffman, said in his letter to shareholders that Reddit is well-positioned to weather the ongoing macro uncertainty, adding, “We’ve grown through challenging times before – people need connection and information just as much in uncertain times.”

Note that other Wall Street firms agree with JPM on RDT shares, given the consensus rating on Reddit stock currently sits at “overweight”.

The post Reddit is attracting ad dollars: will RDDT shares rally further in 2025? appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
Bezos to sell up to $4.75B in Amazon stock: here’s what investors need to know
next post
Dow jumps 384 points as jobs data lifts Wall Street; S&P 500 eyes longest winning streak since 2004

Related Posts

Biden greenlights $567 million defense aid for Taiwan...

September 30, 2024

Zeta Global stock golden cross points to a...

September 13, 2025

Shell Q1 profit falls 28% but tops analyst...

May 2, 2025

Trump admin acquires stakes in Lithium Americas and...

October 1, 2025

Elon Musk confirms Tesla Robotaxi pilot launching in...

June 21, 2025

BSE Sensex, Nifty50 on October 28: Shriram Finance,...

October 28, 2024

Europe markets open: Stocks rise; Swiss market in...

August 4, 2025

S&P 500 index forecast as bond yields rise,...

January 12, 2025

US stocks open lower: Dow down 240 points,...

April 12, 2025

Laid-off tech workers turn to LinkedIn, therapy and...

March 14, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Bulgaria plans for continuous oil supply for Lukoil-owned refinery after US sanctions

      October 26, 2025
    • Apple Q4 earnings preview: here’s what to expect

      October 26, 2025
    • France’s offshore wind ambitions stalled by political turmoil

      October 26, 2025
    • Europe bulletin: Zelensky calls for more weapons, Russia warns against EU sanctions

      October 26, 2025
    • US digest: Jeffries endorses Mamdani, Ford’s stock surge, US sanctions Colombian president

      October 26, 2025

    Categories

    • Business (4,373)
    • Investing (3,014)
    • Latest News (2,103)
    • Politics (1,541)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved