RDDT Rocket Ready

Reddit is currently about 35% off all time highs and is ready to set new ones. They just posted blowout Q3 earnings where they showed revenue growth of 70% YoY with no signs of slowing down. They have consistently raised guidance well above Wall Street estimates quarter after quarter and continue to beat. Reddit is a money printing machine with >90% gross margins and just met the golden “Rule of 40” with EBITDA at 40% of revenue. Companies growing at this rate with these kind of financials are rare to come by.

Chat GPT citations are back up from October lows that spooked investors (see graph). Reddit is consistently the top 3 most cited sources across most major LLM models.

Talks are currently underway on a new content licensing deal with Google which will massively boost revenue by shifting to a dynamic pricing model.

Position above, 310 shares and buying more.

TLDR: You tism ridden dipshits have trashed this ticker since it IPO’d yet use it daily. Open your eyes and rub those last two brain cells together and you’ll see the growing behemoth Reddit is.

Sources:

https://www.linkedin.com/posts/brentcsutoras_reddit-is-back-impacting-22-of-activity-7396356058253832192-gAtO?utm_source=share&utm_medium=member_desktop&rcm=ACoAAAEMvzMBvIKN6cD16l_dGfcPB4U0_54kTC4

https://www.investors.com/news/technology/reddit-stock-ai-deal-google-openai/