General rule for posting stock prices: sometimes things are obvious when you zoom out a bit.
In this particular case, Reddit stock price is still up several percentage points from the Trump rally that affected just about every tech stock after 2024-10-30 about. Same applies to other stocks like Tesla.
So at this point it’s nothing more than a return to normal. No need to attribute anything more to it. But sure, if this descends keeps going for some time more, it’ll be different.
Interesting! I didnt know that so many tech stocks were impacted on that date. Is there anything special about the start date of reddit’s stock decline? Or was it simple a “straw that broke the camel’s back” situation, where some insignificant thing started the downward trend?
Stocks overall took a downturn when investors finally realized Trump wasn’t bluffing bout his tariff plans
I’m not experienced with stock markets, but is the concept of ‘normal’ really relevant, especially after a whole quarter? What factors would give it a tendency to return to the prior state?
Stock markets are very close to brownian motion. There is no return to normal.
There is a market portfolio (people use the s&p500 as a proxy for this) so returns of sectors or individual stocks should be made relative to this.
Did Luigi save us from reddit? What can’t this man do?
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I don’t know the actual numbers but that would only apply if their base of active users has significantly declined
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it correlated right around the time they banned me, like early feb, when they did to everyone else.
When you start banning long-term users over bullshit. This happens. Hope it crashes and burns all the way to the ground.
This particular decline was caused by a bunch of insiders, including one greedy pigboy, selling some of their shares.
That’s not necessarily a sign of any problems at the company, though. These insiders are probably carrying this equity from before it ever went public and sell shares periodically as part of their (insane) compensation. For instance, the aforementioned greedy little pigboy sold $2m according to that article, but still holds more than $90m at current valuations.
There have been multiple sellers since the end of Feb that have had an impact. Pays to be an insider lol.
Specifically, insider Benjamin Seong Lee sold 92,299 shares of the firm’s stock in a transaction dated Tuesday, March 4th. The shares were sold at an average price of $157.35, for a total value of $14,523,247.65. Following the transaction, the insider now directly owns 115,001 shares of the company’s stock, valued at approximately $18,095,407.35. This trade represents a 44.52 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Michelle Marie Reynolds sold 11,965 shares of the business’s stock in a transaction dated Tuesday, March 4th. The stock was sold at an average price of $157.41, for a total transaction of $1,883,410.65. Following the transaction, the chief accounting officer now owns 48,418 shares in the company, valued at $7,621,477.38. The trade was a 19.82 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In other news, CEO Steve Ladd Huffman sold 14,000 shares of the business’s stock in a transaction that occurred on Friday, February 28th. The stock was sold at an average price of $160.30, for a total transaction of $2,244,200.00. Following the transaction, the chief executive officer now directly owns 597,515 shares in the company, valued at $95,781,654.50. The trade was a 2.29 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink.
That’s not necessarily a sign of any problems at the company, though.
It’s a very strong sign that there aren’t a lot of people waiting to buy.
But then, as many people already commented, the market is not very hot right now.
Now what I under understand (not condone) is the reddit leadership trying to cash out.
What I cant understand is why a VC / big investor would want to touch it with a 10ft pole. There is nothing unique or proprietary on Reddit. Its value commercially is in the existing content and paid ads. With ads you’re limited because you can only saturate so much before you see user drop off.
Now they took it one step further and are censoring the content creators that make it all possible in the first place. As if anyone is stuck on that site - I know I’m not.
Anyway - nice to meet everyone. Fled digg for Reddit; now thankful this island appeared after fleeing once again.
Digg still continues to exist to this day. I’m sure reddit will do the same. Become an unused relic of the past that nobody uses anymore
A lot of overpriced stocks are pulling back. A recession is bad for ad dependent media.
Uhh guys I hate reddit too but the entire economy is tanking.
This isnt a reddit thing and has nothing to do with reddit itself
Compare to s&p 500, nyse, NASDAQ, etc.
It’s down all around but not 40% down
Not yet anyway
I am trying my best. Not buying Heinz or Mars bars. Buying Bramwells and Titan bars instead. Where practical avoid American.
in my experience, reddit advertising has been idiotic for several years.
I go to a basketball subreddit. there are no relevant ads about basketball. not local team tickets, not streaming services, basketball equipment, basketball merch, or even a video game.
I go to a subreddit for a tv show. it’s similar. There are no ads or links to buy dvds or tickets to a convention or anything related to the show.
They could totally target advertising based on subreddit and they don’t.
Is this because they think they’re more likely to get a more valuable click by showing you targeted ads from the highest bidder?
Targeted ads always seem to be so poorly targeted.
I can’t believe for as long as I’ve been on Reddit I never realized that point you just made. Good shit dude.
Reddit sucks! 12 year user and getting banned for upvoting ‘promoting violence’! I hope it goes to 0
Welcome! Glad to see all the new users here.
Thanks! I’m sure more users will come over given what they’re doing
This is Macro scale issue with whole US stock market not an specific Reddit Issue I Believe
Putting the red in reddit.
Unfortunately the it already left when I signed up here a couple of years back.
This may just be a general trend. I don’t know if you looked at your portfolio recently but everything has tanked.
By four percent, not forty.
Lots of companies tanked by over 10%. Crowdstrike for example tanked 20% in one month. Vista corp tanked 33.1% in a month.
And even more didn’t.
Yes, but the reason for reddit being down 40% is still related to the market. SPY went back to the same price as October.
$134? Actually insane
Might just be drop from a peak, but lets hope it keeps dropping.
