Core Viewpoint - Reddit Inc. (RDDT) is positioned as a strong investment opportunity due to significant revisions in earnings estimates, indicating a positive earnings outlook and potential for continued stock price growth [1][8]. Earnings Estimate Revisions - The current quarter's earnings estimate is $0.98 per share, reflecting a substantial increase of +172.2% compared to the previous year [5]. - Over the last 30 days, the Zacks Consensus Estimate for Reddit Inc. has risen by 21.53%, with 10 estimates moving higher and no negative revisions [5]. - For the full year, the expected earnings are $2.35 per share, representing a year-over-year increase of +170.6% [6]. - There has been a positive trend in estimate revisions for the current year, with 11 estimates increasing and no negative revisions [6]. Analyst Sentiment - Analysts show strong agreement in raising earnings estimates for Reddit Inc., which has led to a significant increase in consensus estimates for both the next quarter and the full year [3]. - The upward trend in estimate revisions reflects growing optimism among analysts regarding the company's earnings prospects, which is expected to influence stock price positively [2]. Zacks Rank - Reddit Inc. currently holds a Zacks Rank 1 (Strong Buy), indicating a favorable outlook based on the positive estimate revisions [7]. - The Zacks Rank system has a proven track record, with Zacks 1 Ranked stocks averaging an annual return of +25% since 2008 [3][7]. Stock Performance - The stock has gained 6% over the past four weeks, driven by solid estimate revisions and positive earnings growth prospects [8].
Earnings Estimates Moving Higher for Reddit Inc. (RDDT): Time to Buy?