AI Data Deal Reevaluation... Social Platform Stock Surges 5%

U.S. social media platform Reddit Inc. (RDDT) closed up 5.29% at $166.38 on the New York Stock Exchange, lifting its market capitalization to roughly $23.6 billion (about KRW 32.6 trillion). In a single trading day, its market cap swelled by approximately $1.3 billion (around KRW 1.8 trillion).

According to recent investment reports, Reddit’s first-quarter revenue climbed about 69% year-over-year to $663 million, while net income surged 680% to $204 million, underscoring its strong growth trajectory. Moreover, rising advertising spend and an increasing share of Reddit content being integrated into search and generative AI applications have prompted several brokerages to raise their price targets, citing potential gains from data licensing and additional AI-related revenue streams.

Headquartered in San Francisco, Reddit is a social news and community platform that generates revenue by monetizing over 100,000 topic-specific communities through advertising and data licensing. Since its listing on the New York Stock Exchange on March 21, 2024, the stock has exemplified a high-growth platform name, experiencing significant price swings driven by regulatory risk and short-term earnings volatility.