Recent developments indicate that Seaport Research has upgraded Reddit (RDDT) to a Buy rating from Neutral, setting a target price of $165. Despite posting robust first-quarter revenue and EBITDA, Reddit is experiencing a slowdown in user growth during the second quarter. This deceleration is attributed to recent modifications in Google's (GOOG, Financial) search algorithms, leading to a decline in Reddit's share value.
Although Google's (GOOG, Financial) search changes present a short-term challenge, analysts remain optimistic about Reddit's future. They predict sustained long-term user growth as well as notable increases in revenue and monetization. The firm suggests that the current dip in stock price could be a strategic buying opportunity.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 18 analysts, the average target price for Alphabet Inc (GOOG, Financial) is $202.50 with a high estimate of $225.00 and a low estimate of $185.00. The average target implies an upside of 22.13% from the current price of $165.81. More detailed estimate data can be found on the Alphabet Inc (GOOG) Forecast page.
Based on the consensus recommendation from 22 brokerage firms, Alphabet Inc's (GOOG, Financial) average brokerage recommendation is currently 1.6, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Alphabet Inc (GOOG, Financial) in one year is $198.28, suggesting a upside of 19.58% from the current price of $165.81. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Alphabet Inc (GOOG) Summary page.
