US Stocks Movement: Reddit slumps on October 30 — Weak Q4 revenue guidance + decreased search traffic + login wall.

Reddit October 30th: Analysis of Major Decline

Keywords: Weak Q4 revenue guidance, decreased search traffic, login wall

1. After the market closed on October 29th, Reddit released its Q3 financial report. Q4 revenue guidance was $1.00 billion to $1.03 billion, lower than the market’s average expectation of approximately $1.05 billion; the midpoint of the adjusted Q4 EBITDA guidance was also below expectations.

2. On October 29th, the company disclosed a significant decline in search recommendation traffic in Q3, with weekly decreases of over 1 million in October. If this trend continues, total Q4 DAUq may see a low double-digit percentage decrease from 130.3 million.

3. On October 29th, the company announced a shift toward a login-based experience, testing restrictions on non-logged-in access in Q4 in markets outside the US. Management acknowledged that this may limit the platform’s coverage in the short term.

4. On October 30th, Piper Sandler lowered its target price from $195 to $145; on October 30th, a position for 1,000 call options with a strike price of $125 was opened, with a net expenditure of $820,000.

(Disclaimer: This content is collected and summarized from publicly available information using AI technology. It is for reference only and does not constitute investment advice.)