Jefferies lowers Reddit price target, sees pullback as buying opportunity

Jefferies lowered the firm’s price target on Reddit (RDDT) to $250 from $285 and keeps a Buy rating on the shares after having surveyed about 1,000 U.S. adults to measure engagement across social platforms. The firm’s survey shows Reddit provides advertisers incremental reach and unique low-funnel targeting opportunities and underscores an opportunity to expand monetization by closing a 70% discount in revenue per user versus peers, says the analyst, who believes the recent pullback “creates a compelling buying opportunity.” The analyst maintains Reddit as a Top Pick.