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

  • Sibshops@lemm.ee
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    2 days ago

    Reddit has it’s problems, sure, but I just feel like the fediverse is a fresh of breath air.

    • Fluffy Kitty Cat@slrpnk.net
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      2 days ago

      We actually get to control stuff here. Corpo ran shit worked well enough on the 2010’s but that time has passed. I don’t really want to use any corporate crap ever again. I want indie self hosted servers ran by solarpunks and furries