Reddit Stock Extends A 5-Day Losing Streak To A 12% Loss
Reddit (RDDT) stock has fallen for 5 consecutive trading days, losing 12.3% over that stretch. That erased about $3.7 billion from the company’s market value, which now stands at about $26.2 billion. The stock closed at $136.46 on Tuesday, October 27, 47.3% below its 52-week high of $258.93 and 12.0% above its low of $121.84.
How The Streak Stacks Up Against The S&P 500
Returns for RDDT and the S&P 500 over the streak and the periods around it, all ending Tuesday, October 27 and including dividends:
| Return Period | RDDT | S&P 500 |
|---|---|---|
| 1 Day | -1.4% | 0.6% |
| 5 Days (Current Streak) | -12.3% | 0.1% |
| 1 Month (21 Trading Days) | -4.6% | 0.6% |
| 3 Months (63 Trading Days) | -23.3% | 5.8% |
| Year To Date | -40.6% | 13.9% |
| 1 Year (252 Trading Days) | -36.3% | 15.0% |
A Stock-Specific Slide, Or A Market Move?
The market explains little of this: the S&P 500 gained 0.1% over the same 5 sessions, including dividends, against Reddit’s -12.3%. 2 other S&P 500 stocks are currently on losing streaks of 5 days or longer. Over the past three months the stock is down 23.3%, a window that includes the streak; over the other 58 sessions of that window it was down 12.6%.
What The Numbers Say About The Slide
On the fundamentals, revenue grew 66.6% over the last twelve months, against a median of 6.8% for S&P 500 Communication Services stocks; its operating margin is 28.2%, versus a median of 20.1%; and the stock trades at 30.1 times trailing earnings against a median of 18.8. The read is mixed: revenue growth above the median and margins above the median on one side, a multiple well above the median on the other.
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