Reddit Stock Price Prediction 2025: Crash or Rocket?

Reddit stock price prediction 2025–2026: Wall Street targets range from $75 to $220. RDDT trades near $95–105 (May 2025). We cover why the stock dropped, Q1 earnings, risks, and long-term potential.

Reddit Stock Price Prediction 2025-2026: What Wall Street Is Saying

According to MarketBeat data based on the views of 22 Wall Street analysts in 2025, Reddit (RDDT) holds a consensus rating of “Moderate Buy.”

Analyst forecasts typically cover a 12-month period, meaning that by May 2026, price targets range from a bearish $75 to a bullish $220 per share.

As of the article update (May 25, 2025), RDDT stock was trading around $100, while the current average target price sits at $140. Still, it’s important to remember that Reddit stock remains highly volatile—daily moves of 5–10% in either direction are not uncommon.

Reddit Stock Price Prediction 2030: What Different Sources Are Saying

Before we share the table of RDDT stock price predictions for 2030, it’s important to remember that these are just estimates.

Even the best analysts can’t tell you exactly where a stock will be five years from now. Often, these forecasts are about as precise as reading tarot cards.

Timeline: Why Is Reddit Stock Dropping? (Feb–May 2025)

Let’s break down the decline of RDDT stock over the past few months in 2025. In short, there are three main reasons: Donald Trump, a Reddit executive, and Google’s algorithms. Here’s a closer look:

1. Donald Trump’s trade policy. Nothing especially new here-tariffs again.

These measures have made the overall market far more volatile. Just look at the swings in what were once relatively stable indices like the S&P 500 and NASDAQ. Only by early May 2025 did they return to the levels seen back in January.

2. Insider stock sales. RDDT stock took a sharp hit on March 10, 2025, dropping more than 15% after insider activity surfaced.

It was reported that Lee Benjamin Seong, Reddit’s General Counsel, sold approximately $14.52 million worth of stock in early March. As you can imagine, this kind of move typically shakes investor confidence and drags prices down.

3. Changes to Google’s algorithms. The first major drop in RDDT stock actually occurred back in early February, right after the Q4 earnings report.

Reddit’s leadership disclosed that daily active unique users reached 101.7 million, missing analyst expectations of 103.3 million, largely due to Google algorithm changes.

The second drop came in mid-May 2025, following a Google developer conference where the company announced broader rollout of its AI Overviews feature.

That update led to reduced traffic to external sites-Reddit included-which once again pressured the stock.

Reddit Q1 2025 Earnings Report: Key Numbers and Takeaways

On May 1, Reddit released its financial results for the first quarter of 2025, beating analyst expectations. The company reported earnings per share (EPS) of $0.13 on revenue of $392.4 million, marking a 61% year-over-year increase.

Still, despite the strong numbers, RDDT shares fell a few percent after the report. The reason? Continued investor concerns about Google’s search algorithm changes and their impact on Reddit’s traffic and ad revenue.

When Is Reddit’s Next Earnings Report? Q2 2025 Preview

Reddit’s next earnings report is expected on August 5, 2025. The company has issued revenue guidance in the range of $410 million to $430 million, which is above the current Wall Street consensus of $394 million.

This upbeat outlook reflects Reddit’s continued growth in advertising revenue, even as it faces ongoing challenges related to traffic and platform visibility.

Reddit Stock Price Prediction 2025: Risks Investors Should Watch

Since we’ve already touched on risks, there’s more worth highlighting. Here’s what RDDT stock investors should keep in mind:

1. High company valuation. Reddit’s elevated valuation may limit the stock’s upside and increase the risk of a correction.

For context: in just over 400 days since its IPO, RDDT is still up over 80%—even after the February pullback (as of May 25).

2. Dependence on search engines. As mentioned earlier, Reddit’s future growth still hinges on third-party platforms like Google.

Why bring this up again? Because a large portion of Reddit users are still not logged in. Without search engines, many of them may not even reach the platform at all.

3. The rise of AI. This might seem obvious, but it’s important to underscore. In the past, users searched forums and Google threads for answers.

Now, with tools like ChatGPT, they get instant results in just a few clicks. That said, AI isn’t perfect. It can generate convincing yet inaccurate information-so always double-check the sources.

Reddit Stock Price Prediction 2025: Long-Term Upside Potential

So what about Reddit’s upside? Is AI really going to steal all the user attention? Let’s take a moment to look at the growth potential of RDDT stock as well.

1. Analyst expectations. As mentioned earlier, Wall Street isn’t exactly pessimistic. In fact, the majority of analysts still project upside for Reddit.

Sure, targets get revised now and then-not always upward-but with the stock trading around $90–$100 (as of May 2025), it’s still far from its peak.

2. User growth outside the U.S. To Reddit’s credit, it remains a well-built and functional platform. As many of you know, forums in other countries often feel like they were abandoned in 2003.

So it’s no surprise Reddit is seeing a rise in active users internationally-especially across emerging markets. This global expansion not only broadens the user base, but also strengthens long-term monetization potential.

Is Now the Time to Invest in Reddit Stock? My Take

I’d like to share some personal experience. After RDDT stock plunged sharply in early March, I decided to buy-and I’ve been holding ever since. And no, I don’t plan to sell anytime soon. There are a few reasons for that.

First, as you can probably guess, the stock hasn’t gone up since I bought it—it’s only gone down. I’m currently sitting on a 25–35% unrealized loss, depending on the day. I bought at $145 and $136.

Second, I tend to lean toward the optimistic side and believe in a brighter future. Jokes aside, I share the view of many analysts: RDDT still has potential—even if it takes time.

With the stock now trading around $90–$100 (as of May 2025), have we hit the bottom? Or will there be another leg down? At this point, it feels like a rhetorical question.

If you found this piece helpful, we also recommend checking out our updated article on HIMS Stock Prediction 2025.

This article is for informational purposes only and does not constitute financial advice. The content reflects the author’s opinion and should not be interpreted as an investment recommendation.

FAQ: Reddit Stock Price Prediction 2025