Core Viewpoint - Reddit's shares have surged over 7% to a record high following an upgrade from Raymond James analysts, who raised their price target to $200 from $150, citing strong international expansion potential [1][2]. Financial Performance - Reddit's third-quarter sales increased by 68% year-over-year, reaching $348.4 million, primarily driven by online advertising [3]. - The company's shares hit $191 during midday trading, surpassing a previous high of $182 [2]. International Expansion Strategy - Reddit aims to attract more users outside the U.S. to enhance its advertising business, with a focus on international markets [3]. - The company is utilizing artificial intelligence to translate site text into multiple languages, which is expected to improve local search rankings and support international growth [4]. - Fastest-growing user regions include the U.K., the Philippines, India, and Brazil, indicating significant growth opportunities outside the U.S. [4][5]. User Engagement and Monetization - Reddit generates more revenue from logged-in users compared to logged-out users, who have increased their visits due to site improvements and favorable search algorithm changes [6]. - The platform remains one of the top five most searched websites, benefiting from its unique community content [5].
Reddit shares rise 7%, hit record as Raymond James raises price target