Reddit (RDDT) shares fell about 25% to $97.74 in morning trading, even after third-quarter results beat expectations, as CEO Steve Huffman warned that search referral traffic had fallen significantly. Revenue rose 53% to $895 million, above the $874.9 million analysts expected, and EPS of $1.40 topped the $1.33 forecast, but fourth-quarter revenue guidance of $1 billion to $1.03 billion fell below the $1.05 billion expected. Huffman blamed Google’s AI Overviews and AI Mode for answering queries without sending users to Reddit, and said daily active uniques could fall by a low-double-digit percentage in Q4 from 130.3 million. Reddit plans to test a logged-in-only experience in select markets outside the U.S., and Huffman said the company will likely be “trading reach for engagement.” Peers also fell: Snap dropped 5% to $5.37, Pinterest fell 4% to $19.12, and Meta slipped 1% to $615.42, while Reddit is down 57% year to date.
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Redditartificial intelligenceearningsMETA
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Related tickers and likely impact
GOOGL
• NeutralAlphabet Inc. (Class A)
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $4.0T |
| Close on 10/29/2026 | 283.75 |
| Change that session | -12.66% |
META
▼ Likely negativeMeta Platforms
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.7T |
| Close on 10/29/2026 | 624.54 |
| Change that session | +1.97% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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