Summary

Reddit shares have dropped 50% from their February peak, when the stock had soared over 500% from its $34 IPO price last March.

Much of the early enthusiasm came from AI-related deals allowing Reddit’s content to be used for training models, but recent doubts about long-term growth in the AI sector have dimmed that optimism.

Analysts remain skeptical and some call the stock “super overvalued,” noting Reddit still is not making any money.

Market uncertainty and early investor sell-offs continue to weigh on Reddit and the broader tech sector.

Non-paywall link

  • Madrigal@lemmy.world
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    4 days ago

    Aww, did Spez trade the family cow for some “magic” beans?

    Good luck rebuilding the farm now, buddy.

    • Talaraine@fedia.io
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      4 days ago

      My parting message to Spez when I changed all my posts was, “Enjoy the IPO asshat!” While I wish I could update that message, it’ll still do. xD

      • Ledericas@lemm.ee
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        3 days ago

        hi i am the human male, called spez, i was birthed from a alien space ship , and hatched from an egg and sent to earth to manipulate the populace.