No, subreddit wallstreetbets r

2
Comment
Favorite

No, subreddit wallstreetbets redditors are already planning to short it

Could Reddit Become the Next Meta Platforms?

The social news website still has a lot to prove.

Could Reddit Become the Next Meta Platforms?

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Report

Comment

Top
Latest

No comments yet

Most Discussed

Terms and Conditions·Privacy Policy

Company: TTMF Limited. Tech supported by Xiangshang Yixin.

Email：uservice@ttm.financial

{"i18n":{"language":"en_US"},"data":{"magic":2,"id":288453293064440,"tweetId":"288453293064440","gmtCreate":1711433545578,"gmtModify":1711433549362,"author":{"id":4095269946437450,"idStr":"4095269946437450","authorId":4095269946437450,"authorIdStr":"4095269946437450","name":"Dion N","avatar":"https://community-static.tradeup.com/news/cc22bc90d2dd039bb8d24cba0a4d72c8","vip":1,"userType":1,"introduction":"","boolIsFan":false,"boolIsHead":false,"crmLevel":2,"crmLevelSwitch":1,"currentWearingBadge":{"badgeId":"1026c425416b44e0aac28c11a0848493-2","templateUuid":"1026c425416b44e0aac28c11a0848493","name":"Senior Tiger","description":"Join the tiger community for 1000 days","bigImgUrl":"https://static.tigerbbs.com/0063fb68ea29c9ae6858c58630e182d5","smallImgUrl":"https://static.tigerbbs.com/96c699a93be4214d4b49aea6a5a5d1a4","grayImgUrl":"https://static.tigerbbs.com/35b0e542a9ff77046ed69ef602bc105d","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2024.06.17","individualDisplayEnabled":0},"individualDisplayBadges":[],"fanSize":3,"starInvestorFlag":false},"themes":[],"images":[],"coverImages":[],"html":"<html><head></head><body>No, subreddit wallstreetbets redditors are already planning to short it&nbsp;</body></html>","htmlText":"<html><head></head><body>No, subreddit wallstreetbets redditors are already planning to short it&nbsp;</body></html>","text":"No, subreddit wallstreetbets redditors are already planning to short it","highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/288453293064440","repostId":2422662105,"repostType":2,"repost":{"id":"2422662105","pubTimestamp":1711432169,"share":"https://www.laohu8.com/m/news/2422662105?lang=&edition=full","pubTime":"2024-03-26 13:49","market":"us","language":"en","title":"Could Reddit Become the Next Meta Platforms?","url":"https://stock-news.laohu8.com/highlight/detail?id=2422662105","media":"Motley Fool","summary":"The social news website still has a lot to prove.","content":"<html><head></head><body><ul style=\"\"><li><a href=\"https://laohu8.com/S/RDDT\">Reddit</a>&#39;s stock soared nearly 40% upon its public debut.</li><li>It&#39;s still gaining new users, but its average revenue per user is slipping.</li><li>It hasn&#39;t proven that it can expand beyond its niche market.</li></ul>Reddit went public at $34 per share on March 21. The social news platform provider&#39;s stock opened at $47 and ended its first day at $50.44. That gave it a market cap of $8 billion -- but it&#39;s still a lot smaller than larger social media companies like <a href=\"https://laohu8.com/S/META\">Meta Platforms</a>, Pinterest, and Snap.Will Reddit follow Meta&#39;s growth trajectory over the next few years and generate multibagger gains for its investors? Or will it fizzle out like Snap, which still trades at a steep discount to its initial public offering (IPO) price? <h2 id=\"id_3159084508\">How does Reddit make money?</h2>Reddit served 73.1 million daily active unique users (DAUq) in the fourth quarter of 2023. Roughly half of its users were in the U.S. The company splits that user base into two categories: logged-in users and logged-out users. Its main goal is to drive its logged-out users (who are merely browsing the site) to sign up and become logged-in users who actively post more content. The platform&#39;s year-over-year growth in DAUq users accelerated over the past three quarters, while its logged-in users have consistently accounted for about half its daily audience.<table style=\"border-collapse:collapse;\"><colgroup><col width=\"174\"/><col width=\"81\"/><col width=\"68\"/><col width=\"77\"/><col width=\"69\"/><col width=\"66\"/></colgroup><tbody><tr><th data-colwidth=\"174\" style=\"text-align:left;width:174px;\">Metric</th><th data-colwidth=\"81\" style=\"text-align:left;width:81px;\">Q4 2022</th><th data-colwidth=\"68\" style=\"text-align:left;width:68px;\">Q1 2023</th><th data-colwidth=\"77\" style=\"text-align:left;width:77px;\">Q2 2023</th><th data-colwidth=\"69\" style=\"text-align:left;width:69px;\">Q3 2023</th><th data-colwidth=\"66\" style=\"text-align:left;width:66px;\">Q4 2023</th></tr><tr><td data-colwidth=\"174\" style=\"text-align:left;width:174px;\">Total DAUq (millions)</td><td data-colwidth=\"81\" style=\"text-align:left;width:81px;\">57.5</td><td data-colwidth=\"68\" style=\"text-align:left;width:68px;\">60.3</td><td data-colwidth=\"77\" style=\"text-align:left;width:77px;\">60.4</td><td data-colwidth=\"69\" style=\"text-align:left;width:69px;\">66.0</td><td data-colwidth=\"66\" style=\"text-align:left;width:66px;\">73.1</td></tr><tr><td data-colwidth=\"174\" style=\"text-align:left;width:174px;\">DAUq growth (YOY)</td><td data-colwidth=\"81\" style=\"text-align:left;width:81px;\">7%</td><td data-colwidth=\"68\" style=\"text-align:left;width:68px;\">5%</td><td data-colwidth=\"77\" style=\"text-align:left;width:77px;\">7%</td><td data-colwidth=\"69\" style=\"text-align:left;width:69px;\">15%</td><td data-colwidth=\"66\" style=\"text-align:left;width:66px;\">27%</td></tr><tr><td data-colwidth=\"174\" style=\"text-align:left;width:174px;\">Percentage of logged-in DAUq</td><td data-colwidth=\"81\" style=\"text-align:left;width:81px;\">52%</td><td data-colwidth=\"68\" style=\"text-align:left;width:68px;\">52%</td><td data-colwidth=\"77\" style=\"text-align:left;width:77px;\">53%</td><td data-colwidth=\"69\" style=\"text-align:left;width:69px;\">53%</td><td data-colwidth=\"66\" style=\"text-align:left;width:66px;\">50%</td></tr></tbody></table>Data source: Reddit S-1 filing.Reddit&#39;s audience is growing, but it warns that its DAUq growth could still &#34;fluctuate or decrease&#34; due to certain events. For example, the COVID-19 pandemic, the WallStreetBets meme stock phenomenon, the outbreak of the Russo-Ukrainian War, and the launches of hit video games like Elden Ring all drove more users to its platform over the past several years -- but those temporary growth spurts set it up for tough year-over-year comparisons.Like Meta and Snap, Reddit generates most of its revenue from ads, and it gauges its monetization rates with its average revenue per user (ARPU). However, its year-over-year ARPU growth has decelerated significantly over the past two quarters.<table style=\"border-collapse:collapse;\"><colgroup><col width=\"224\"/><col width=\"62\"/><col width=\"62\"/><col width=\"62\"/><col width=\"63\"/><col width=\"62\"/></colgroup><tbody><tr><th data-colwidth=\"224\" style=\"text-align:left;width:224px;\">Metric</th><th data-colwidth=\"62\" style=\"text-align:left;width:62px;\">Q4 2022</th><th data-colwidth=\"62\" style=\"text-align:left;width:62px;\">Q1 2023</th><th data-colwidth=\"62\" style=\"text-align:left;width:62px;\">Q2 2023</th><th data-colwidth=\"63\" style=\"text-align:left;width:63px;\">Q3 2023</th><th data-colwidth=\"62\" style=\"text-align:left;width:62px;\">Q4 2023</th></tr><tr><td data-colwidth=\"224\" style=\"text-align:left;width:224px;\">U.S. ARPU browth (YOY)</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">5%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">5%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">15%</td><td data-colwidth=\"63\" style=\"text-align:left;width:63px;\">0%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">(7%)</td></tr><tr><td data-colwidth=\"224\" style=\"text-align:left;width:224px;\">Rest of world ARPU growth (YOY)</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">7%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">12%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">9%</td><td data-colwidth=\"63\" style=\"text-align:left;width:63px;\">16%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">3%</td></tr><tr><td data-colwidth=\"224\" style=\"text-align:left;width:224px;\">Global ARPU growth (YOY)</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">6%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">7%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">15%</td><td data-colwidth=\"63\" style=\"text-align:left;width:63px;\">5%</td><td data-colwidth=\"62\" style=\"text-align:left;width:62px;\">(2%)</td></tr></tbody></table>Data source: Reddit S-1 filing.That decline was driven by a downturn in its ARPU growth in the U.S., which offset its stronger ARPU growth in overseas markets. That&#39;s worrisome because Reddit&#39;s U.S. users still generated four to five times as much ARPU as its overseas users throughout 2023. It mainly blamed that slowdown on the macro headwinds for the advertising market.However, investors should recall that Meta&#39;s ARPU rose 21% year over year in the fourth quarter of 2023 and accelerated throughout every quarter of the past year. Therefore, some of Reddit&#39;s headwinds might be specific to its platform.<h2 id=\"id_2055269395\">Could Reddit become a social media giant?</h2>For the full year, Reddit&#39;s revenue rose 21% to $804 million. It narrowed its net loss from $159 million to $91 million, while its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) improved from negative $109 million to $69 million. Those numbers make Reddit look more like Snap -- which remains unprofitable on a generally accepted accounting principles (GAAP) basis -- than Meta, which has been firmly profitable on a GAAP basis since its IPO 10 years ago.Yet Reddit still can&#39;t be directly compared to Meta and Snap because it&#39;s not a traditional social network. It&#39;s more of a diversified news aggregator and discussion forum that simultaneously competes against social media platforms, search engines, and peer-to-peer commerce platforms. Reddit also faces competition from OpenAI&#39;s ChatGPT and other generative AI platforms that could answer questions more efficiently than the human responses on its subreddits.In terms of revenue, Reddit would be comparable to Meta -- which was then known as Facebook -- back in 2009. Facebook generated $777 million in revenue that year and served 360 million monthly active users (MAUs). But from 2009 to 2023, it grew its revenue at a compound annual growth rate (CAGR) of 44.5% to $134.9 billion. Meta&#39;s entire family of apps -- including Facebook, Messenger, Instagram, and WhatsApp -- now serves nearly 4 billion people on a monthly basis.<h2 id=\"id_689288120\">It could struggle to grow beyond its niche</h2>For 2024, Reddit aims to grow its revenue by at least 20% and achieve a breakeven adjusted EBITDA. Those might be steps in the right direction, but it still needs to find new ways to expand its ecosystem, gain more logged-in users, stay relevant as the AI market evolves, and prove its system of relying on unpaid moderators is sustainable.Unless it solves those issues and meaningfully expands beyond its niche, it won&#39;t grow into the next Meta over the next few decades. Instead, Reddit could suffer the same fate as Snap if it can&#39;t stabilize its sales growth and profits -- so investors should take a much closer look at its business model before chasing its post-IPO rally.</body></html>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Could Reddit Become the Next Meta Platforms?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCould Reddit Become the Next Meta Platforms?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-03-26 13:49 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com/investing/2024/03/25/could-reddit-become-the-next-meta-platforms/>Motley Fool</a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\nReddit's stock soared nearly 40% upon its public debut.It's still gaining new users, but its average revenue per user is slipping.It hasn't proven that it can expand beyond its niche market.Reddit ...\n\n<a href=\"https://www.fool.com/investing/2024/03/25/could-reddit-become-the-next-meta-platforms/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE0002270589.USD":"LEGG MASON CLEARBRIDGE VALUE \"A\" (USD) INC","LU0061475181.USD":"THREADNEEDLE (LUX) AMERICAN \"AU\" (USD) ACC","LU0648001328.SGD":"Natixis Harris Associates US Equity RA SGD","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","LU0211327993.USD":"TEMPLETON GLOBAL EQUITY INCOME \"A\" (USD) ACC","RDDT":"Reddit","BK4551":"寇图资本持仓","LU0256863811.USD":"ALLIANZ US EQUITY \"A\" INC","IE00BJTD4N35.SGD":"Neuberger Berman US Long Short Equity A1 Acc SGD-H","IE0009356076.USD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A2\" (USD) ACC","LU0211331839.USD":"FRANKLIN MUTUAL GLB DISCOVERY \"A\" (USD) ACC","IE00B7KXQ091.USD":"Janus Henderson Balanced A Inc USD","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU0433182093.SGD":"First Eagle Amundi International AS-C SGD","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","LU0234570918.USD":"高盛全球核心股票组合Acc Close","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","LU0068578508.USD":"First Eagle Amundi International Cl AU-C USD","LU0109391861.USD":"富兰克林美国机遇基金A Acc","LU0053666078.USD":"摩根大通基金-美国股票A（离岸）美元","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","IE00B19Z3581.USD":"Legg Mason ClearBridge - Value A Acc USD","IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","LU0082616367.USD":"摩根大通美国科技A（dist）","LU0208291251.USD":"FRANKLIN MUTUAL U.S. VALUE \"A\" (USD) INC","GB00B4QBRK32.GBP":"FUNDSMITH EQUITY \"R\" (GBP) INC","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0353189680.USD":"富国美国全盘成长基金Cl A Acc","IE00B19Z3B42.SGD":"Legg Mason ClearBridge - Value A Acc SGD","GB00B4LPDJ14.GBP":"FUNDSMITH EQUITY \"R\" (GBP) ACC","BK4554":"元宇宙及AR概念","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","META":"Meta Platforms, Inc.","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","LU0234572021.USD":"高盛美国核心股票组合Acc","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","BK4585":"ETF&股票定投概念","BK4507":"流媒体概念","BK4576":"AR","LU0353189763.USD":"ALLSPRING US ALL CAP GROWTH FUND \"I\" (USD) ACC","IE00B7SZLL34.SGD":"Legg Mason ClearBridge - Value A Acc SGD-H","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","LU0672654240.SGD":"FTIF - Franklin US Opportunities A Acc SGD-H1","LU0130102774.USD":"Natixis Harris Associates US Equity RA USD","LU0070302665.USD":"FRANKLIN MUTUAL U.S. VALUE \"A\" (USD) ACC","LU0320765059.SGD":"FTIF - Franklin US Opportunities A Acc SGD","BK4077":"互动媒体与服务"},"source_url":"https://www.fool.com/investing/2024/03/25/could-reddit-become-the-next-meta-platforms/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2422662105","content_text":"Reddit's stock soared nearly 40% upon its public debut.It's still gaining new users, but its average revenue per user is slipping.It hasn't proven that it can expand beyond its niche market.Reddit went public at $34 per share on March 21. The social news platform provider's stock opened at $47 and ended its first day at $50.44. That gave it a market cap of $8 billion -- but it's still a lot smaller than larger social media companies like Meta Platforms, Pinterest, and Snap.Will Reddit follow Meta's growth trajectory over the next few years and generate multibagger gains for its investors? Or will it fizzle out like Snap, which still trades at a steep discount to its initial public offering (IPO) price? How does Reddit make money?Reddit served 73.1 million daily active unique users (DAUq) in the fourth quarter of 2023. Roughly half of its users were in the U.S. The company splits that user base into two categories: logged-in users and logged-out users. Its main goal is to drive its logged-out users (who are merely browsing the site) to sign up and become logged-in users who actively post more content. The platform's year-over-year growth in DAUq users accelerated over the past three quarters, while its logged-in users have consistently accounted for about half its daily audience.MetricQ4 2022Q1 2023Q2 2023Q3 2023Q4 2023Total DAUq (millions)57.560.360.466.073.1DAUq growth (YOY)7%5%7%15%27%Percentage of logged-in DAUq52%52%53%53%50%Data source: Reddit S-1 filing.Reddit's audience is growing, but it warns that its DAUq growth could still \"fluctuate or decrease\" due to certain events. For example, the COVID-19 pandemic, the WallStreetBets meme stock phenomenon, the outbreak of the Russo-Ukrainian War, and the launches of hit video games like Elden Ring all drove more users to its platform over the past several years -- but those temporary growth spurts set it up for tough year-over-year comparisons.Like Meta and Snap, Reddit generates most of its revenue from ads, and it gauges its monetization rates with its average revenue per user (ARPU). However, its year-over-year ARPU growth has decelerated significantly over the past two quarters.MetricQ4 2022Q1 2023Q2 2023Q3 2023Q4 2023U.S. ARPU browth (YOY)5%5%15%0%(7%)Rest of world ARPU growth (YOY)7%12%9%16%3%Global ARPU growth (YOY)6%7%15%5%(2%)Data source: Reddit S-1 filing.That decline was driven by a downturn in its ARPU growth in the U.S., which offset its stronger ARPU growth in overseas markets. That's worrisome because Reddit's U.S. users still generated four to five times as much ARPU as its overseas users throughout 2023. It mainly blamed that slowdown on the macro headwinds for the advertising market.However, investors should recall that Meta's ARPU rose 21% year over year in the fourth quarter of 2023 and accelerated throughout every quarter of the past year. Therefore, some of Reddit's headwinds might be specific to its platform.Could Reddit become a social media giant?For the full year, Reddit's revenue rose 21% to $804 million. It narrowed its net loss from $159 million to $91 million, while its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) improved from negative $109 million to $69 million. Those numbers make Reddit look more like Snap -- which remains unprofitable on a generally accepted accounting principles (GAAP) basis -- than Meta, which has been firmly profitable on a GAAP basis since its IPO 10 years ago.Yet Reddit still can't be directly compared to Meta and Snap because it's not a traditional social network. It's more of a diversified news aggregator and discussion forum that simultaneously competes against social media platforms, search engines, and peer-to-peer commerce platforms. Reddit also faces competition from OpenAI's ChatGPT and other generative AI platforms that could answer questions more efficiently than the human responses on its subreddits.In terms of revenue, Reddit would be comparable to Meta -- which was then known as Facebook -- back in 2009. Facebook generated $777 million in revenue that year and served 360 million monthly active users (MAUs). But from 2009 to 2023, it grew its revenue at a compound annual growth rate (CAGR) of 44.5% to $134.9 billion. Meta's entire family of apps -- including Facebook, Messenger, Instagram, and WhatsApp -- now serves nearly 4 billion people on a monthly basis.It could struggle to grow beyond its nicheFor 2024, Reddit aims to grow its revenue by at least 20% and achieve a breakeven adjusted EBITDA. Those might be steps in the right direction, but it still needs to find new ways to expand its ecosystem, gain more logged-in users, stay relevant as the AI market evolves, and prove its system of relying on unpaid moderators is sustainable.Unless it solves those issues and meaningfully expands beyond its niche, it won't grow into the next Meta over the next few decades. Instead, Reddit could suffer the same fate as Snap if it can't stabilize its sales growth and profits -- so investors should take a much closer look at its business model before chasing its post-IPO rally.","news_type":1},"isVote":1,"tweetType":1,"viewCount":255,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":62,"xxTargetLangEnum":"ORIG"},"commentList":[],"hasMoreComment":false,"orderType":2}