Reddit Q4 Earnings Miss Expectations, Stock Drops After Hours
Key Points:
* RDDT stock fell 17% in after-hours trading on mixed Q4 results.
* Revenue of $427.7 million beat estimates but EPS of $0.36 missed.
* Daily active users reached 101.7 million, below expectations.
* Guidance for Q1 revenue and adjusted earnings exceeds projections.
* Partnerships with AI giants and ad revenue growth continue to drive results.
* Investors view Reddit as an AI play due to its partnership with OpenAI.
* Stock has risen over 33% YTD and 363% since February 2024.
* Analysts remain bullish on RDDT despite mixed results.