Reddit Stock Slips on AI-Data Deals Doubt Amid Strong Revenue Outlook

Reddit shares slumped as much as 24% intraday after the company did not announce new data-licensing deals, despite expectations for AI-data licenses to diversify revenue beyond ads; executives said licensing opportunities are expanding beyond Google and OpenAI and talks are ongoing. The results showed a current-quarter revenue guide of $860–$870 million, above estimates, and Q2 sales of $805 million, up 61% on advertising. Reddit also highlighted 130 million daily active users and more than $1 billion in free cash flow over the past year, funds it plans to reinvest in growth, potential M&A, and talent, while the stock has fallen about 40% year-to-date.