Bank of America analyst Justin Post maintains a Neutral rating on Reddit (RDDT) following the stock’s year‑to‑date pullback.
Price target was reduced to $175 from $205, shifting valuation from revenue to EBITDA, while the stock trades near $136.
Reddit trades at 6.2x 2027 revenue and 14x 2027 EBITDA, premium to peer medians of 3.5x and 9x respectively.
BofA cites monetization upside, AI licensing potential, but flags slowing user growth, Google traffic reliance, and AI competition as risks.