Core Viewpoint - A lawsuit has been filed against Reddit, Inc. and its senior executives for potential violations of federal securities laws, specifically related to misrepresentation of user growth impacted by Google's AI technology [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Northern District of California, titled Tamraz, Jr. v. Reddit, Inc., at al., No. 25-cv-05144 [2]. - Investors have until August 18, 2025, to request to lead the case [2]. Group 2: Allegations Against Reddit - The complaint alleges that Reddit misrepresented the impact of Google's AI technology on its user growth, suggesting that it downplayed the negative effects [3][4]. - Google's AI has reportedly reduced the need for users to visit Reddit for answers, leading to a decline in user engagement [4]. Group 3: Stock Performance - Following a report on May 1, 2025, indicating a slowdown in daily active user growth, Reddit's stock price fell by $4.96, or over 4%, from $118.79 to $113.83 per share [5]. - On May 21, 2025, an analyst from Baird cut the stock price target due to concerns over Google's AI, resulting in a further decline of $9.79, or over 9%, from $105.64 to $95.85 per share [6].
RDDT FRAUD ALERT: Reddit, Inc. Investors are Reminded of Ongoing Securities Fraud Class Action -- Contact BFA Law by August 18 Legal Deadline (NYSE:RDDT)