21/2/2025, 8:12:02 pm

Reddit stock drops 20% post-earnings, ending six-month rally

Reddit (RDDT) stock has dropped 19% since its earnings report, despite beating EPS estimates, as daily active users declined due to Google’s algorithm change. CEO Steve Huffman noted traffic recovery, but shares fell 5% post-earnings and continued declining. Huffman sold $70.5 million in shares, the largest sale to date. Despite the drop, Reddit stock remains up 220% from six months ago.