Reddit

Reddit stock slipped 4% even after reporting daily active uniques up 18% year‑over‑year to 130.3 million and Q2 revenue up 61% to $805 million. Adjusted EBITDA more than doubled to $343 million and free cash flow reached $261 million, while international daily users climbed 28% and international revenue rose 84%. Investors remain cautious due to elevated valuation and volatility, with Meta and Snap presented as steadier or alternative plays in the social‑media space. » More on finance.yahoo.com

Reddit shares rose more than 5% after Piper Sandler data showed the user base increased 8% month-over-month and 18% year-over-year in August. CEO Steve Huffman highlighted growing cash generation, high user engagement and demand for authentic content at a conference, but also noted that recommendations need optimization and traffic is volatile. In addition, the California State Teachers Retirement System reported a significantly increased stake, underscoring institutional interest; the stock hit an intraday high of $154.35 despite weak broader market performance. » More on de.investing.com

CEO Steve Huffman presented Reddit as GAAP-profitable for some time, citing eight consecutive quarters of roughly 60% revenue growth, about 90% gross margin, $2.8 billion in cash and a run-rate near $3 billion. Management emphasized strong user engagement, 50% better retention of new users in the last quarter and the potential of human-generated content as a competitive advantage in an AI-shaped internet. The short-term focus is on improving the feed and recommendation engine within the next 12–18 months; strategic priorities are product investments, selective acquisitions and share buybacks (current pace $250 million, target ~ $500 million annually). » More on de.investing.com