Baird Adjusts Reddit (RDDT) PT to $200 Following Strong Results, Positive Outlook
Reddit Inc. (NYSE:RDDT) is one of the best IPO stocks to buy right now. On February 6, Baird reduced its price target for Reddit to $200 from $240 and kept a Neutral rating. The firm adjusted its financial model for the company following the release of strong quarterly results and a positive forward outlook. On the same day, Piper Sandler analyst Thomas Champion also lowered the firm’s price target for Reddit Inc. (NYSE:RDDT) to $205 from $290, while maintaining an Overweight rating. Although the firm noted another strong quarter for Reddit, with user growth exceeding expectations, the magnitude of that beat was smaller than in the previous quarter. While Piper Sandler raised its financial estimates, the price target was reduced to account for valuation multiple contraction. Morgan Stanley also cut its price target for Reddit to $240 from $265 with an Overweight rating. Following the company’s earnings report, the firm increased its revenue forecasts for fiscal years 2026 and 2027 by 1% each, citing Reddit’s extensive advertiser engagement as evidence of a lasting growth runway. However, the price target was reduced to reflect a lower target multiple. Baird Adjusts Reddit (RDDT) PT to $200 Following Strong Results, Positive Outlook Reddit Inc. (NYSE:RDDT) operates a global digital community. The company’s platform enables users to engage in conversations, explore passions, research new hobbies, exchange goods & services, and create new communities & experiences. While we acknowledge the potential of RDDT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
