Reddit shares fell 4.7% on April 21, 2026. New Form 4 filings disclosed additional insider selling by senior executives.
The slide occurred despite DA Davidson initiating coverage with a Buy rating. The firm established a $200 price target for the stock.
The insider transactions followed pre-arranged trading plans ahead of Reddit’s quarterly earnings report. DA Davidson analysts believe the platform is currently under-monetized.
The firm also highlighted the value of Reddit’s user-generated content for training large language models. These conflicting reports increased stock volatility.