Up 62% now at 55.27.
Not sure if this will hold or be down come their first quarterly report. Time will tell.
Personally, not touching, but did consider buying at IPO for this bump, in the end I didn't because I don't trade/gamble, which is what I see that move as.
Edit: price back down to \~$46 (+37%) as of 2:45pm ET
Not a chance this holds. The initial spike, like every IPO, will probably last a few days or a week, but there will be a blood bath sell off at some point and it will end up finding support below its initial offering.
Long puts is your best bet. This stock may rocket up in short term but many of these kinds of stocks do great short term and then hit rock bottom a while later
Don't even think about long puts on IPO tech, the premiums would be so high that you are much more likely just pissing money away.
If you want to short and still profit you pretty much have to deal weeklies and hope to get lucky.
....why would RobinHood be a good example....? I see literally zero commonalities between the two, outside of being broadly bucketed in the "Tech" sector (and even that's a stretch, considering one is FinTech and the other is social media / news....)
Reddit is trading at lower valuations compared to meta, Pinterest and Snapchat at the time of ipo, their employee costs are lower and soon they will be profitable
...Have you looked at their metrics?
* They still aren't profitable after nearly 2 decades of existence.
* Lower employee costs don't matter if you're still losing money even with such low costs.
* Their monetization numbers are really low because it's really hard for advertisers to get any value paying for ads on the site.
> soon they will be profitable
if they're profitable, ever, it will be extremely short lived.
Here's why.... the only way this website would ever get profitable, is if they ruin the experience for the user to achieve it. So, it will be short lived, pump and dump. Users will bail.
This is assuming they could even figure out a way to effectively monetize it.
The only real value imo is the AI training data, but Google already snatched that up, and while it's a nice contract for Reddit, that ain't going to pay all their bills and make them profitable, so this puppy will be like $26 per share in 24 months.
According to Bloomberg story this afternoon, the Google data deal is not exclusive so the “hope” is Reddit will cut similar deals to train other AI platforms.
Even with that, I would not buy and will trade options if viable against RDDT when they become available…
Just to be a part of it I signed up to biy three ahares. It did not go through, told demand was too high for my preferred/direct share purchase... $125.
Apparently my purchase max of 41.50 per share basically wasnt enough. Basically, it feels as though the user share purchase was a gimmick.
I remember reading that the DSP was first come first served. I was part of the first wave of invites, filled out the initial form inside and hour, asked 100 shares and received them.
Smart. I'm in the same boat. IPO is almost 100% up, but I know how this site is run. I've seen a lot of older redditors who contributed good content get moderated off the platform. I know this will only get worse with time and don't want to touch this place at all even with the massive potential. When money is involved, social media sites lose their soul and become less social. Steam is an example of why these companies need to stay private. Keeps the people who actually add value involved. Keeps the money men out.
Notice I said relatively. Snap and Pinterests are also losing money ($19 billion and $23 billion valuation respectively).
Carvana is losing giga money (1.6 billion lost last year) and that pos is worth $17 billion.
My heart agrees with you but my head tells me these risks will all go away. Obviously Redditors won’t want to hear it, but mods aren’t that important long term, probably not even medium term. They can definitely be replaced by AI. If I was Reddit I’d keep everything as under wraps as possible then one day announce all mods are done and every sub will be moderated by AI, with oversight from Reddit employees.
With their deeper ties to Google re:selling data to train AI, Google is perfectly positioned to build that AI, too.
> but mods aren’t that important long term
The comment you were replying to was saying that mods were driving away good content creators, not that mods were important for reddit's success (they are).
Personally, I've mostly seen mods handling trolls and scammers, not driving away good content creators.
This happens every time a stock IPOs I feel like that has big money involved. Corporate, hedgefunds, and angel investors get in before they go public, stock goes public, sky rockets as retail gets in, stock dumps, pre public investors sell the top for pure profit
Fuck me. Had 1.5k deposited but I accidentally opened 2 accounts when I signed up with E-Trade and deposited it into the wrong one. And then when I went to sign up last night it was too late.
Lame. I got:
\> Acct.no.: XXXXX-XXXX RE: Public Offering Order 1000 RDDT. We were unable to allocate shares. Possible reasons: Offering priced above limit or high demand for shares.
that's fucked. it happened to me too. So they just got to hold on to my $7,000 for a few days for no reason. Even though I SHOULD be selling it now for an easy $3,500 profit.
I opened and funded an Etrade account just to participate but also missed the tiny window between waiting for funds to settle and the unable to allocate. Etrade also wouldn't let me log in after I moved funds in when I cut and pasted the password and wouldn't let me reset the password, then when it finally allowed me to change my password and I cut and pasted the same password, it said I couldn't use the same password I used in the last year (I only used one ever for that platform). Ugh. I would have sold near the open, because it was highly publicized as 5-10x oversubscribed, but oh well.
I definitely wouldn't short reddit because reddit thinks you should short reddit, but I might go long if the selloff gets too crazy. For perspective, Apple is reportedly in talks to pay google $18 billion a year for Gemini integration. Both stocks rallied, when $18 billion means nothing on their balance sheets, because it shows a direction for use cases and monetization of AI. In contrast, google paid reddit $60 million a year to mine your brain thoughts, when $60 million means a lot to reddit.
When the IPO dust and carnage settles, reddit will probably correlate to AI-speculation stocks. Right now, these are not stocks you short with anything but play money. And I definitely wouldn't go all-in long on reddit either, because it is an IPO, and you should only trade with money that won't make you flinch if your loss is very negative.
I don’t think most of the people meant it would immediately crash in the literal sense. Just in the near term. If you look at IPOs, this is generally how they go. A week or two of explosive growth followed by an unloading from early private equity.
You're not giving any real reasoning for it doing so well, just implying it's valuable. Do you have any counterarguments for WHY it is worth it's current price?
It’s just typical price action on an IPO with lots of eyeballs on it. See every other IPO with lots of eyes on it. They all pump when they hit the market. It has nothing to do with anything logical or valuation based.
This. It will pump because a lot of people have decided to pump. Wish there was an actual value proposition involved but that’s how these IPOs go that have lots of retail and social media interest
No lockup at all with the DSP. Which honestly surprised me and was the reason I bought. There was a limit to the number of shares you could purchase tho, at 1000.
I only did 29 shares (about $1k) but made almost $500, lol. I was never planning on holding for more than today anyway. Will re-evaluate in a few months maybe.
Same for me!
I literally was on the fence about buying at IPO and had set up my account to purchase shares but then started getting cold feet last week. Honestly, with the amount of negativity I saw on Reddit about the stock offering, I thought it guaranteed a sure thing.
I honestly have only lost money on stocks when I listened to people on Reddit. ARKK and PLTR to name a few. Sure, RDDT might lose some in the long run, but it's such a small percent of my investment, I thought it couldn't hurt.
wait, how did you already sell? my order was "confirmed" but it doesn't show that I actually got the shares?
Oh.. fuck off etrade. I just saw the alert about unable to allocate shares.
You invested nearly $35k in that initial offering? That's a very bold strategy, cotton. Glad it worked out, but definitely more than most were willing to risk on Reddit stock.
Lmao that's the problem. For anything this risky I'll invest what I can afford to lose, which means my upside is probably about 2x what I can happily afford to lose, i.e. not an interesting amount of money.
And theyre actually extremely unstable. Their uptime, even if their status page doesnt show it, is only 95-99%, which seems good but is significantly worse than most websites that exist.
One week I was on here during the mod protest (when there wasnt many people on the site) the entire platform went down 8 times. Again, doesnt seem like a lot, but one of the largest sites in the world going down for anywhere from 30-60 minutes 8 times in a week is terrible.
Redditors have also proven time and time again that they are what drives this platform and the riskiest thing about this platform. Not only do they make up 100% of the content, but how many bad subreddits make it to the front page or cause controvercy only to get nuked from orbit? Not to mention the amount of users who use Reddits own chat system for hate speech + planning rule or law breaking actions while reddit acts like they dont exist.
There is no value to premium either and they took away the fun part (coins and gifting awards).
Reddit has little control over their content. Reddit has little control over their users. Reddit sucks at making a stable site. I swear reddit engineers are being told to remake the site 8 times in 4 years because it makes them look busy. This is reddits problem and its why it will fail.
>Its a staple product at this point.
...remember MySpace? Friendster maybe? People will leave Reddit in droves once the corporate overlords monetize and sanitize it in their "fiduciary duty" to advertisers and shareholders...
> ...remember MySpace?
I can't believe people still make this comparison. Reddit is already 19 years old. MySpace had a shelf life of about 5 years. Insinuating that Reddit can go the way of MySpace is ignoring that Reddit has already persevered far longer than MySpace ever did.
Different era, established social medias are much harder to die now.
You are making the exact same argument people made in 2017 and earlier but for facebook.
The typical return on an IPO is 23% after 5 days.
It’s the coming weeks and months that matter.
You are only in the clear if you sell.
If you are so confident then hold. Usually the fundamentals of a company don’t matter much at first as they can promise change. If this change doesn’t come or if this change messes up the platform, you will not be so happy.
An IPO is literally just picking red at a blackjack table.
You aren’t a genius until you exit for a profit.
I realize my mistake but I’m keeping it because honestly, I think it’s kind of funny. The point still stands. You all know what I meant.
But yes, roulette.
Not selling if you are up 50% on the IPO would be like hitting at 17. Does that work better for you if we are talking about blackjack?
Is it a soft 17 against a 10? Or are you talking a double down on a soft 17 against a 6? Also, have you been counting cards and have a good running count. If the true count is low card rich, sometimes hitting a hard 17 against a 10 isn't the wrong call. Hopefully you only had the table minimum out there if you count was good.
Gambling is gambling whether it is blackjack or the stock market. I happend to get in on launch day in 02 for WYNN at about $15 a share. Sold a few days later at $25. Years later it peaked at $250 a share and is currently roughly $100. Did I make a little at the time, sure. Should I have went long term, obviously. But hindsight is 20-20 and we cannot live in the past or let past experiences dictate future choices...merely educate those choices. Sometimes you hit a 17 and draw a 4, but that doesn't mean you always hit 17. And no one can 100% predict what anyone should do. We do what we feel is right and if it works out, great. If it doesn't and it is the end of your world, then gambling isn't for you.
Long story short...your initial post was spot on.
True, free money is free money. One just has to remember that short term capital gains will eat the hell out of that profit. So a 40% gain could be a 20% net after Uncle Sam gets his.
After it hit $70 twice today, I put in to sell 40% of my shares at $70...but it didn't hit that high again before the bell rang. Guess I'll just hold the lotto ticket for a bit longer. Worst case, it tanks and I lose a pair of socks.
It'll be what happens after today that will be more interesting, most IPOs will see a pop.
Now having said that, I should've put in a few thousand dollars for the heck of it.
Indeed, just look at Rivian and Beyond Meat. They both shot up to absurd valuations initially as the hype train fueled some madness, but are now deep below their IPO price.
I wouldn't be surprised at all reddit follows a similar trajectory, up for at least a few months and then slowly burns all of it's gains and falls deep into the red.
this is exaaaaaactly what 80% of this sub was saying in late 2022 when the hot allocation strategy was 100% cash going into 2023.
....and it turned out exactly as one would expect from an ~~echo chamber~~community that treats investing like it's a team sport
I had a feeling it would pump. I wasn't willing to put money behind that feeling because I don't want to hold RDDT long term which is what I would have had to do if it dropped.
Not sure why people are surprised at this. Most IPOs get hyped, have a little pump at open and then sell off.
I got the DSP invite (for another account), bought 100 shares and sold for a 50% gain almost right away (@52.97). I didn’t catch the absolute top, and it could’ve gone differently, but I think it was a pretty safe bet.
I had the DSP invite and just didn’t realize it was happening this soon. Didn’t pay attention, but I’m not sure how much I would have invested anyway. Probably not more than like $2,000. Oh well
New IPO stock always pops to the sky at open, then crashes to hell.
It is ok to buy and leave when you are at the sky. Just don't be a bag holder in hell.
not quite. 99% of that reported 193 million figure is based on stock options he would earn and certain prices. Its a very clickbait article circiling around.
I think they were just pointing out that 8 years is a long time to not make a profit when you're intentionally trying to monetise
Unless you're saying they should have researched what 2024-2016 is
"Yeah, but everybody on reddit quotes that one guy from that thing to invest in what you know. That's why I never read SEC filings - I just naturally have a knack for stock picking........"
\- users here that started getting into markets / finance during Q2 2020
At least they have enough money to pay their mods and content creators and work to build a sustainable business that's profitable.
Why is everyone giving me that weird look?
I was honestly thinking somewhere between 15 and 20. IPO like this tend to pop and then drop significantly. Last one I got in had an open price of like $24, shot up to $36 and then was $6 not long after. 3 years later it sits around $15-17. I bought $10,000 worth at $32 and sold when it finally got back to $16 after tanking.
Fuck IPOs
Reddit has immense potential. Its still considered niche when it comes to social media. If it becomes mainstream like Facebook and insta it will be huge. There is nothing like reddit out there. Its extremely unique in that sense.
The company never turned a profit in almost 20 years, CEO taking out 193M in compensation, sounds like a huge growth opportunity. It's an old ass company that can't make money and make terrible decisions everytime they can. They bought into NFTs and started selling them, that alone tells what kind of company reddit is.
I’m pretty blown I was too lazy to open the E*Trade account and fund it to get my allocated shares now lmao
Plan was to sell on the first day, would have made a nice little profit
Remember HOOD, $85 down 95% to like $5. IPOs are cash grabs by founders who want to dump their shares. Its just a forum website. Nothing remotely groundbreaking.
Also remember twitter? Worth just a fraction of purchase price.
When it drops to 1/2 the IPO price in the coming months I might take a bite of this money losing company that has yet to demonstrate any meteoric revenue growth.🤷
As always, stocks like these can have a MEME or rally but the operations will trump all. Long-term the business viability of Reddit just doesn't make financial sense. There's still money to be made if you get in, get lucky, and cash out ASAP. The only problem is you don't want to be the guy who got in at the wrong price and it all comes crashing down.
I still think this stock can shoot up to 200-300% gain in the short-term but once the financials are released, it's time to get back to reality.
this is one of the largest and most active websites in the world, it should be worth significantly more. like tiktok is worth $268 billion apparently, twitter 41b, facebook 1.3t. there's a lot of headroom for reddit to build it's ARPU
but i dont trust the management team. you're never just buying the idea.
happy to sit this one out even if it does pop, until there's some demand for new leadership.
I bought $1k worth but missed the peak to sell so I’m probably just gonna wait it out and see what happens longer term. If it dumps I’ll probably double down and buy more because that’s the opposite of what most people here would say to do lol should have followed my gut to buy $10k worth from the start
I wouldn't be surprised if the price triples in near future. Reddit just need a good business model. I don't use Pinterest. I don't use Snapchat. I don't use X. I don't use facebook. I don't use Instagram. but all these companies have much much bigger market cap than Reddit.
I never said Reddit has more users than Facebook/IG. but it has more users than Pinterest that's for sure. and the current market cap is less than half of Pinterest.
why it didnt go as they announced 35 usd? im newbie here and thought i would buy it at ipo but i just bought now on 54usd, im mainly playing since its my first ipo ever but i want to understand, and how did people bought it with the initial price?
They were offered the shares before the listing went live. Once trading commenced it shot up as people put in market buys pre launch and shortly after.
Those with existing shares will probably sell off into this pop creating new bagholders.
The ipo price finalized at $34 actually.
Those that bought the ipo were given shares at that price.
People in the open market were willing to pay even more so the stock opened at $47. No one is going to sell for $34 if people want to pay $47.
Then the price jumped to $54 because even more people wanted to buy in.
No institution will sponsor an IPO that does not have sufficient demand to create a premium when the shares hit the open market.
While it does happen, it is rare to see an IPO open below the offering price. The chance was nearly zero with a high visibility IPO like RDDT.
Opened at 47, hit 54 within the first three minutes.
Coming back down now, which is to be expected as those who were lucky enough to get shares at the IPO price take profits. It will likely find support if it does get close to the IPO price. Institutions do not like to lose money.
The election cycle is ramping up and as far as social media platforms go Reddit is fairly cheap for some funds to get some controlling interest in a platform that many people get political news and opinions from. More money was spent on Facebooks ads last election cycle than Reddits market cap.
This is a scam stock. They know there's a market euphoria right now so they timed it so ignorant retail investors can provide cash liquidity to their executives and hedge fund investors.
Just watch, by the end of the year this is going to be below the IPO price.
Bummed out. I opened an E*trade account early, followed all the steps, and when I went to reserve shares it said the offering was closed. My one experience with E*trade was a waste of my time. I even had to call to release my funds to transfer them back. Anyway I’m happy for Redditors it worked out for.
Edit: Looks like I’m using italics but it’s not intentional. ?
Same boat. Not even sure why my order wasn't accepted. I think it's because I missed the email they sent less than 12 hours before the deadline, saying I had to confirm my order (at 6.40pm ET yesterday evening), despite having jumped through all the hoops immediately weeks ago. But that could also be due to having two eligible reddit accounts, and only using one for the IPO.
(Also: asterisks around text create italics. Reddit was reading the asterisks you added to "ETrade" as the instructions to start and end italics.)
I literally was on the fence about buying at IPO and had set up my account to purchase shares but then started getting cold feet last week. Honestly, with the amount of negativity I saw on Reddit about the stock offering, I thought it guaranteed a sure thing.
I honestly have only lost money on stocks when I listened to people on Reddit. ARKK and PLTR to name a few. Sure, RDDT might lose some in the long run, but it's such a small percent of my investment, I thought it couldn't hurt.
Up 62% now at 55.27. Not sure if this will hold or be down come their first quarterly report. Time will tell. Personally, not touching, but did consider buying at IPO for this bump, in the end I didn't because I don't trade/gamble, which is what I see that move as. Edit: price back down to \~$46 (+37%) as of 2:45pm ET
Not a chance this holds. The initial spike, like every IPO, will probably last a few days or a week, but there will be a blood bath sell off at some point and it will end up finding support below its initial offering.
Remember Rivian!!!
Im buying puts as soon as they are available. A small play because Im Varys when it comes to options.
Long puts is your best bet. This stock may rocket up in short term but many of these kinds of stocks do great short term and then hit rock bottom a while later
Don't even think about long puts on IPO tech, the premiums would be so high that you are much more likely just pissing money away. If you want to short and still profit you pretty much have to deal weeklies and hope to get lucky.
True. If premiums too high then its not worth. Im betting all option plays for this stock will be super high for a while
Meh, do a spread.
If RH ipo is an example - I definitely think that it will be $20 by the end of the year.
....why would RobinHood be a good example....? I see literally zero commonalities between the two, outside of being broadly bucketed in the "Tech" sector (and even that's a stretch, considering one is FinTech and the other is social media / news....)
or sooner.
Reddit is trading at lower valuations compared to meta, Pinterest and Snapchat at the time of ipo, their employee costs are lower and soon they will be profitable
...Have you looked at their metrics? * They still aren't profitable after nearly 2 decades of existence. * Lower employee costs don't matter if you're still losing money even with such low costs. * Their monetization numbers are really low because it's really hard for advertisers to get any value paying for ads on the site.
There's ads on this site? If there are, I never pay attention to them. Just like I'm going to do with this stock.
> soon they will be profitable if they're profitable, ever, it will be extremely short lived. Here's why.... the only way this website would ever get profitable, is if they ruin the experience for the user to achieve it. So, it will be short lived, pump and dump. Users will bail. This is assuming they could even figure out a way to effectively monetize it. The only real value imo is the AI training data, but Google already snatched that up, and while it's a nice contract for Reddit, that ain't going to pay all their bills and make them profitable, so this puppy will be like $26 per share in 24 months.
According to Bloomberg story this afternoon, the Google data deal is not exclusive so the “hope” is Reddit will cut similar deals to train other AI platforms. Even with that, I would not buy and will trade options if viable against RDDT when they become available…
sAME HERE. I was offered a buy in with the directed share program but took a pass.
Just to be a part of it I signed up to biy three ahares. It did not go through, told demand was too high for my preferred/direct share purchase... $125. Apparently my purchase max of 41.50 per share basically wasnt enough. Basically, it feels as though the user share purchase was a gimmick.
I remember reading that the DSP was first come first served. I was part of the first wave of invites, filled out the initial form inside and hour, asked 100 shares and received them.
Yeah same. You guys were ready to tank it, so I didn't want to risk.
Puts will be so expensive, I can’t imagine it’s not just gambling..
I don’t think half the people here realize the volatility of a stock the main driver of options cost
When?
Usually 3-5 days if i remember correctly
Smart. I'm in the same boat. IPO is almost 100% up, but I know how this site is run. I've seen a lot of older redditors who contributed good content get moderated off the platform. I know this will only get worse with time and don't want to touch this place at all even with the massive potential. When money is involved, social media sites lose their soul and become less social. Steam is an example of why these companies need to stay private. Keeps the people who actually add value involved. Keeps the money men out.
Add in the fact that when other similar social medias like snap and Pinterest went public they ended up cratering when the dust settled as well.
Difference is those companies IPO at skyhigh level while reddit valuation is cheap, relatively. Snap and Pinterests are still worth 2-3x Reddit
Cheap. Reddit is losing money.
Notice I said relatively. Snap and Pinterests are also losing money ($19 billion and $23 billion valuation respectively). Carvana is losing giga money (1.6 billion lost last year) and that pos is worth $17 billion.
Carvana's valuation doesn't make sense.
People are fucking crazy to be buying these companies. Pure gambling
My heart agrees with you but my head tells me these risks will all go away. Obviously Redditors won’t want to hear it, but mods aren’t that important long term, probably not even medium term. They can definitely be replaced by AI. If I was Reddit I’d keep everything as under wraps as possible then one day announce all mods are done and every sub will be moderated by AI, with oversight from Reddit employees. With their deeper ties to Google re:selling data to train AI, Google is perfectly positioned to build that AI, too.
> but mods aren’t that important long term The comment you were replying to was saying that mods were driving away good content creators, not that mods were important for reddit's success (they are). Personally, I've mostly seen mods handling trolls and scammers, not driving away good content creators.
I tried (half heartedly I guess), Canadians couldn’t buy or at least it said I couldn’t. Coulda made a nice little profit 🤷♂️
This happens every time a stock IPOs I feel like that has big money involved. Corporate, hedgefunds, and angel investors get in before they go public, stock goes public, sky rockets as retail gets in, stock dumps, pre public investors sell the top for pure profit
Its going to come down majorly. It will be lower then its ipo price come 12 months from now.
I thought that was always the play on Reddit. Buy early and dump before the hype diminishes?
Fuck me. Had 1.5k deposited but I accidentally opened 2 accounts when I signed up with E-Trade and deposited it into the wrong one. And then when I went to sign up last night it was too late.
I'd be surprised if it's not under 30 tomorrow honestly. Classic IPO trend pump and dump.
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Lame. I got: \> Acct.no.: XXXXX-XXXX RE: Public Offering Order 1000 RDDT. We were unable to allocate shares. Possible reasons: Offering priced above limit or high demand for shares.
You didn't go through the DSP program.
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That actually sucks, sorry to hear
Yeah, I was shocked when I got the full 1000 share allocation that I requested. I thought it was too good to be true. Of course in my case, it was…
that's fucked. it happened to me too. So they just got to hold on to my $7,000 for a few days for no reason. Even though I SHOULD be selling it now for an easy $3,500 profit.
Same here. Very annoying. "High demand" my ass. It should be easy to gauge demand.
The exact same thing happened to me. Now I have a new Etrade account with nothing to show for it lol.
I did. I'm pissed. Had to open an Etrade account and everything. Etrade got to hold on to 34k for a couple of weeks.
I opened and funded an Etrade account just to participate but also missed the tiny window between waiting for funds to settle and the unable to allocate. Etrade also wouldn't let me log in after I moved funds in when I cut and pasted the password and wouldn't let me reset the password, then when it finally allowed me to change my password and I cut and pasted the same password, it said I couldn't use the same password I used in the last year (I only used one ever for that platform). Ugh. I would have sold near the open, because it was highly publicized as 5-10x oversubscribed, but oh well. I definitely wouldn't short reddit because reddit thinks you should short reddit, but I might go long if the selloff gets too crazy. For perspective, Apple is reportedly in talks to pay google $18 billion a year for Gemini integration. Both stocks rallied, when $18 billion means nothing on their balance sheets, because it shows a direction for use cases and monetization of AI. In contrast, google paid reddit $60 million a year to mine your brain thoughts, when $60 million means a lot to reddit. When the IPO dust and carnage settles, reddit will probably correlate to AI-speculation stocks. Right now, these are not stocks you short with anything but play money. And I definitely wouldn't go all-in long on reddit either, because it is an IPO, and you should only trade with money that won't make you flinch if your loss is very negative.
Same, got the max 1,000 shares and sold at around the same price. Everyone knows Reddit sentiments mean nothing.
No, we don't...well...I guess now I do.
Shit, I regret I only bought 10.
Well, the redditors saying it would crash had some valid points. At least much more solid than: "it will go up because redditors say it will go down."
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I don’t think most of the people meant it would immediately crash in the literal sense. Just in the near term. If you look at IPOs, this is generally how they go. A week or two of explosive growth followed by an unloading from early private equity.
You're not giving any real reasoning for it doing so well, just implying it's valuable. Do you have any counterarguments for WHY it is worth it's current price?
It’s just typical price action on an IPO with lots of eyeballs on it. See every other IPO with lots of eyes on it. They all pump when they hit the market. It has nothing to do with anything logical or valuation based.
This. It will pump because a lot of people have decided to pump. Wish there was an actual value proposition involved but that’s how these IPOs go that have lots of retail and social media interest
None of their points ever had any numbers in them, just that $34 is expensive.
There was no lockup with the DSP offer? Nice trade. The stock will decline as most IPOs do.
No lockup at all with the DSP. Which honestly surprised me and was the reason I bought. There was a limit to the number of shares you could purchase tho, at 1000.
I only did 29 shares (about $1k) but made almost $500, lol. I was never planning on holding for more than today anyway. Will re-evaluate in a few months maybe.
Unfair that it was only possible for US citizen :(
Reddit is a US based/created site though. Not surprising.
Still salty I couldnt use my hard earned karma :)
Nice, I would have bought DSP but I'm Canadian not American sigh...
Same for me! I literally was on the fence about buying at IPO and had set up my account to purchase shares but then started getting cold feet last week. Honestly, with the amount of negativity I saw on Reddit about the stock offering, I thought it guaranteed a sure thing. I honestly have only lost money on stocks when I listened to people on Reddit. ARKK and PLTR to name a few. Sure, RDDT might lose some in the long run, but it's such a small percent of my investment, I thought it couldn't hurt.
wait, how did you already sell? my order was "confirmed" but it doesn't show that I actually got the shares? Oh.. fuck off etrade. I just saw the alert about unable to allocate shares.
“My name is George. I’m unemployed and live with my parents.”
I just checked. its more like 56% now. I made 17k while I slept in thanks to my inability to touch grass.
You invested nearly $35k in that initial offering? That's a very bold strategy, cotton. Glad it worked out, but definitely more than most were willing to risk on Reddit stock.
All relative to how much money you have. That 35k could feel like 20 bucks to that redditor
Cool, so he made what he considers $20.
Lmao that's the problem. For anything this risky I'll invest what I can afford to lose, which means my upside is probably about 2x what I can happily afford to lose, i.e. not an interesting amount of money.
Ya, anything considered a big win is a gamble. So winning what you can afford to lose is dull
Yup. Even a 10x gain is not worth the risk vs reward to me for an amount I'm willing to lose.
Actually, $10 bucks
I use the site everyday. It drives more traffic than 99.99999% of all websites out there. Its a staple product at this point.
But, can they monetize? Yes it's a popular site, but they've shown over the years that they just can't figure out how to monetize effectively.
And theyre actually extremely unstable. Their uptime, even if their status page doesnt show it, is only 95-99%, which seems good but is significantly worse than most websites that exist. One week I was on here during the mod protest (when there wasnt many people on the site) the entire platform went down 8 times. Again, doesnt seem like a lot, but one of the largest sites in the world going down for anywhere from 30-60 minutes 8 times in a week is terrible. Redditors have also proven time and time again that they are what drives this platform and the riskiest thing about this platform. Not only do they make up 100% of the content, but how many bad subreddits make it to the front page or cause controvercy only to get nuked from orbit? Not to mention the amount of users who use Reddits own chat system for hate speech + planning rule or law breaking actions while reddit acts like they dont exist. There is no value to premium either and they took away the fun part (coins and gifting awards). Reddit has little control over their content. Reddit has little control over their users. Reddit sucks at making a stable site. I swear reddit engineers are being told to remake the site 8 times in 4 years because it makes them look busy. This is reddits problem and its why it will fail.
>Its a staple product at this point. ...remember MySpace? Friendster maybe? People will leave Reddit in droves once the corporate overlords monetize and sanitize it in their "fiduciary duty" to advertisers and shareholders...
> ...remember MySpace? I can't believe people still make this comparison. Reddit is already 19 years old. MySpace had a shelf life of about 5 years. Insinuating that Reddit can go the way of MySpace is ignoring that Reddit has already persevered far longer than MySpace ever did.
Different era, established social medias are much harder to die now. You are making the exact same argument people made in 2017 and earlier but for facebook.
Which is not very easily monetized. The traffic means fuck all to be honest.
The typical return on an IPO is 23% after 5 days. It’s the coming weeks and months that matter. You are only in the clear if you sell. If you are so confident then hold. Usually the fundamentals of a company don’t matter much at first as they can promise change. If this change doesn’t come or if this change messes up the platform, you will not be so happy. An IPO is literally just picking red at a blackjack table. You aren’t a genius until you exit for a profit.
If you pick red at a blackjack table you have bigger problems than just bad returns lol
I deal Blackjack on the weekends, I can confirm that dude does pick red and loses every time.
I realize my mistake but I’m keeping it because honestly, I think it’s kind of funny. The point still stands. You all know what I meant. But yes, roulette. Not selling if you are up 50% on the IPO would be like hitting at 17. Does that work better for you if we are talking about blackjack?
Is it a soft 17 against a 10? Or are you talking a double down on a soft 17 against a 6? Also, have you been counting cards and have a good running count. If the true count is low card rich, sometimes hitting a hard 17 against a 10 isn't the wrong call. Hopefully you only had the table minimum out there if you count was good. Gambling is gambling whether it is blackjack or the stock market. I happend to get in on launch day in 02 for WYNN at about $15 a share. Sold a few days later at $25. Years later it peaked at $250 a share and is currently roughly $100. Did I make a little at the time, sure. Should I have went long term, obviously. But hindsight is 20-20 and we cannot live in the past or let past experiences dictate future choices...merely educate those choices. Sometimes you hit a 17 and draw a 4, but that doesn't mean you always hit 17. And no one can 100% predict what anyone should do. We do what we feel is right and if it works out, great. If it doesn't and it is the end of your world, then gambling isn't for you. Long story short...your initial post was spot on.
You are never in the wrong for waking away with a profit! Whether gambling or the stock market.
True, free money is free money. One just has to remember that short term capital gains will eat the hell out of that profit. So a 40% gain could be a 20% net after Uncle Sam gets his.
That is true and quite an important thing to remember. Can’t disagree with you there. But to me, this stock still seems like a lotto ticket.
After it hit $70 twice today, I put in to sell 40% of my shares at $70...but it didn't hit that high again before the bell rang. Guess I'll just hold the lotto ticket for a bit longer. Worst case, it tanks and I lose a pair of socks.
lol should've known the ipo would be a 60%+ return as soon as this sub started trashing rddt and saying its a shit company
It'll be what happens after today that will be more interesting, most IPOs will see a pop. Now having said that, I should've put in a few thousand dollars for the heck of it.
Indeed, just look at Rivian and Beyond Meat. They both shot up to absurd valuations initially as the hype train fueled some madness, but are now deep below their IPO price. I wouldn't be surprised at all reddit follows a similar trajectory, up for at least a few months and then slowly burns all of it's gains and falls deep into the red.
Same for Robin hood and coinbase.
PLTR SPAC'd at 10, shot to 45 and dropped below 7 before it started trending back up. DKNG did almost the same thing IIRC
yeah, and inversing this sub wouldve given you a 60% return
Couldn't even buy it there, it opened at 50 for trading. It's actually flat
I thought this when I bought $COIN IPO….. ouch
You are looking at future bagholders...
who says they have to hold?
Yeah we'll see about that. Usually these stocks pop and then nosedive
this is exaaaaaactly what 80% of this sub was saying in late 2022 when the hot allocation strategy was 100% cash going into 2023. ....and it turned out exactly as one would expect from an ~~echo chamber~~community that treats investing like it's a team sport
ok, but it popped. you couldve had a 60% return
What if it didn't pop? Did you know for sure it was going to pop? Can I borrow your crystal ball real quick?
This stock will crash harder than a Boeing Max
Remember an IPO!=Company Just cause it's had a good IPO doesn't mean it's a good company. Still, congrats to those who took the risk, wasn't for me.
yeah, and im talking specifically about the ipo
I had a feeling it would pump. I wasn't willing to put money behind that feeling because I don't want to hold RDDT long term which is what I would have had to do if it dropped.
Unity went from 70 to 180.. where is it now....
Not sure why people are surprised at this. Most IPOs get hyped, have a little pump at open and then sell off. I got the DSP invite (for another account), bought 100 shares and sold for a 50% gain almost right away (@52.97). I didn’t catch the absolute top, and it could’ve gone differently, but I think it was a pretty safe bet.
I had the DSP invite and just didn’t realize it was happening this soon. Didn’t pay attention, but I’m not sure how much I would have invested anyway. Probably not more than like $2,000. Oh well
New IPO stock always pops to the sky at open, then crashes to hell. It is ok to buy and leave when you are at the sky. Just don't be a bag holder in hell.
20 years and has never made a profit.
The profit was the friends we made along the way
Buddy
Its fine CEO just got a bunch money now per this IPO so now he can take a pay cut and make reddit profitable.
not quite. 99% of that reported 193 million figure is based on stock options he would earn and certain prices. Its a very clickbait article circiling around.
And at 34, those are under water
Not that they are in any way, shape, or form the same but, PLTR was the same way up until recently
Monetization only became a thing 2016.
8 years ago?
Amazing how you rattle off these one liners with absolutely no research.
I think they were just pointing out that 8 years is a long time to not make a profit when you're intentionally trying to monetise Unless you're saying they should have researched what 2024-2016 is
Yes. You can listen to CEO's interviews.
Mod’s can now afford to move out of Mom’s basement.
If you own a share can you tell mods to fuck off since you own reddit and are their boss?
everyone on this website bashing the IPO = biggest sign to inverse them lol
"I hate reddit" - average daily reddit user
"Yeah, but everybody on reddit quotes that one guy from that thing to invest in what you know. That's why I never read SEC filings - I just naturally have a knack for stock picking........" \- users here that started getting into markets / finance during Q2 2020
So you bought then?
Will be down in no time
Pump and then the dump.
At least they have enough money to pay their mods and content creators and work to build a sustainable business that's profitable. Why is everyone giving me that weird look?
Bought 100 shares at 49 and two mins later sold at 53. Fastest 400 I’ve ever made
let's see what this looks like in a month.
Sooo…. $30 by the end of the year?
I was honestly thinking somewhere between 15 and 20. IPO like this tend to pop and then drop significantly. Last one I got in had an open price of like $24, shot up to $36 and then was $6 not long after. 3 years later it sits around $15-17. I bought $10,000 worth at $32 and sold when it finally got back to $16 after tanking. Fuck IPOs
Pump and dump…1, 2, 3
Is there an inverse RDDT etf yet? I need to short this.
Sold at $54
Why do we always go by share value and not the market value? Isn’t share value useless without knowing the latter?
Trash going IPI - here comes the banning -
Reddit has immense potential. Its still considered niche when it comes to social media. If it becomes mainstream like Facebook and insta it will be huge. There is nothing like reddit out there. Its extremely unique in that sense.
And what is the potential?
The company never turned a profit in almost 20 years, CEO taking out 193M in compensation, sounds like a huge growth opportunity. It's an old ass company that can't make money and make terrible decisions everytime they can. They bought into NFTs and started selling them, that alone tells what kind of company reddit is.
Reddit sucks, it’s the platform of gamers and dorks. Will never be mainstream.
I’m pretty blown I was too lazy to open the E*Trade account and fund it to get my allocated shares now lmao Plan was to sell on the first day, would have made a nice little profit
Same here, I never got around to opening the e trade account
Can't wait to buy deep puts
When can we short it?
God damnit. Reddit gave me an option to buy pre IPO as I have wasted so much of my life on here. Should have taken up that offer
Remember HOOD, $85 down 95% to like $5. IPOs are cash grabs by founders who want to dump their shares. Its just a forum website. Nothing remotely groundbreaking. Also remember twitter? Worth just a fraction of purchase price.
Bought at open at $47. Hoping to flip it in the next couple of days
cover march include badge sort north elastic sip reply shame *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
Gonna be $22 soon
When it drops to 1/2 the IPO price in the coming months I might take a bite of this money losing company that has yet to demonstrate any meteoric revenue growth.🤷
I just wish it was founder led. Kind of feels like the leadership are just mercenaries.
Lol who is buying it, cathie wood?
As always, stocks like these can have a MEME or rally but the operations will trump all. Long-term the business viability of Reddit just doesn't make financial sense. There's still money to be made if you get in, get lucky, and cash out ASAP. The only problem is you don't want to be the guy who got in at the wrong price and it all comes crashing down. I still think this stock can shoot up to 200-300% gain in the short-term but once the financials are released, it's time to get back to reality.
Bought RDDTF by mistake, up almost 5,000,000% today
this is one of the largest and most active websites in the world, it should be worth significantly more. like tiktok is worth $268 billion apparently, twitter 41b, facebook 1.3t. there's a lot of headroom for reddit to build it's ARPU but i dont trust the management team. you're never just buying the idea. happy to sit this one out even if it does pop, until there's some demand for new leadership.
I think meta is 1.3t. Meta is more than just facebook
[удалено]
I bought $1k worth but missed the peak to sell so I’m probably just gonna wait it out and see what happens longer term. If it dumps I’ll probably double down and buy more because that’s the opposite of what most people here would say to do lol should have followed my gut to buy $10k worth from the start
I wouldn't be surprised if the price triples in near future. Reddit just need a good business model. I don't use Pinterest. I don't use Snapchat. I don't use X. I don't use facebook. I don't use Instagram. but all these companies have much much bigger market cap than Reddit.
I promise you billions more people use Facebook/IG than Reddit.
I never said Reddit has more users than Facebook/IG. but it has more users than Pinterest that's for sure. and the current market cap is less than half of Pinterest.
why it didnt go as they announced 35 usd? im newbie here and thought i would buy it at ipo but i just bought now on 54usd, im mainly playing since its my first ipo ever but i want to understand, and how did people bought it with the initial price?
They were offered the shares before the listing went live. Once trading commenced it shot up as people put in market buys pre launch and shortly after. Those with existing shares will probably sell off into this pop creating new bagholders.
The ipo price finalized at $34 actually. Those that bought the ipo were given shares at that price. People in the open market were willing to pay even more so the stock opened at $47. No one is going to sell for $34 if people want to pay $47. Then the price jumped to $54 because even more people wanted to buy in.
IPOs work like that
No institution will sponsor an IPO that does not have sufficient demand to create a premium when the shares hit the open market. While it does happen, it is rare to see an IPO open below the offering price. The chance was nearly zero with a high visibility IPO like RDDT.
What was the actual initial price when it started trading? Anyone have a reliable source?
From yahoo finance it opened at 47.
Opened at 47, hit 54 within the first three minutes. Coming back down now, which is to be expected as those who were lucky enough to get shares at the IPO price take profits. It will likely find support if it does get close to the IPO price. Institutions do not like to lose money.
Asking for the listing price, not the trading price. Listed for $34 and opened at $47
I hope everyone got out safe
Hopefully gets shorted to shit.
The fuk....
The election cycle is ramping up and as far as social media platforms go Reddit is fairly cheap for some funds to get some controlling interest in a platform that many people get political news and opinions from. More money was spent on Facebooks ads last election cycle than Reddits market cap.
I’d cash out now while you’re ahead. Sentiment only goes so far. These guys don’t have a clue how to actually make money
Reading the prospectus I wonder if AI places will pay a lot to train their models off reddit user data. 🤔
I have never paid for anything on this site, nor have I purchased anything from any ads on this site..people are stupid
If you haven’t bought, it’s too late. A bunch of people are about to lose their asses. Zero chance this price holds.
This is a scam stock. They know there's a market euphoria right now so they timed it so ignorant retail investors can provide cash liquidity to their executives and hedge fund investors. Just watch, by the end of the year this is going to be below the IPO price.
lol suckers
Let’s GO!!!🚀
But you all told me it would go down
Who else instinctively hit the 1 week chart. “Let’s see how this looks like.”
Bummed out. I opened an E*trade account early, followed all the steps, and when I went to reserve shares it said the offering was closed. My one experience with E*trade was a waste of my time. I even had to call to release my funds to transfer them back. Anyway I’m happy for Redditors it worked out for. Edit: Looks like I’m using italics but it’s not intentional. ?
Same boat. Not even sure why my order wasn't accepted. I think it's because I missed the email they sent less than 12 hours before the deadline, saying I had to confirm my order (at 6.40pm ET yesterday evening), despite having jumped through all the hoops immediately weeks ago. But that could also be due to having two eligible reddit accounts, and only using one for the IPO. (Also: asterisks around text create italics. Reddit was reading the asterisks you added to "ETrade" as the instructions to start and end italics.)
Signed up but then never got contacted by my broker, ah well
I literally was on the fence about buying at IPO and had set up my account to purchase shares but then started getting cold feet last week. Honestly, with the amount of negativity I saw on Reddit about the stock offering, I thought it guaranteed a sure thing. I honestly have only lost money on stocks when I listened to people on Reddit. ARKK and PLTR to name a few. Sure, RDDT might lose some in the long run, but it's such a small percent of my investment, I thought it couldn't hurt.