Reddit rallies after three-day slump as analyst calls sell-off 'excessive'

Reddit CEO Steve Huffman stands on the floor of the New York Stock Exchange (NYSE) after ringing a bell on the floor setting the share price at $47 in its initial public offering (IPO) on March 21, 2024 in New York City. Reddit shares rose more than 10% on Tuesday, reversing a three-day slump that coincided with a broader decline among technology companies. Despite Tuesday's gains, Reddit shares are still roughly 30% below the close on Wednesday. Reddit's stock market upswing was likely bolstered by a Loop Capital analyst note published Tuesday that reiterated a buy rating and characterized the company's shares as "extremely attractive." The analyst note said that Reddit's 50% drop on Wall Street in the past month "is excessive," and that the social media company "has the biggest upside potential relative to Street estimates in our coverage universe." The company's shares dropped more than 15% in February after the company reported weaker-than-expected fourth-quarter user numbers a ... Read full article.