Reddit price target lowered to $206 from $236 at Goldman Sachs

Goldman Sachs lowered the firm’s price target on Reddit (RDDT) to $206 from $236 and keeps a Neutral rating on the shares. Reddit’s Q4 results showed steady user growth, primarily from logged-out traffic, alongside solid momentum in its advertising business and strong EBITDA, with management emphasizing investments in brand ad spend, sales force, and AI licensing in 2026, the analyst tells investors in a research note. The company’s near-term focus is on converting users to logged-in engagement, sustaining ad revenue growth, and balancing growth with margins, while long-term prospects remain tied to secular trends in digital advertising and AI, the firm adds.