Reddit Q1 rev. $83mln, up 45% YoY; stock down 2% post-earnings.

• Pomerantz LLP files a class action lawsuit against Reddit, Inc. • Lawsuit concerns potential securities fraud by Reddit and officers/directors • Lead plaintiff application deadline is August 18, 2025 • Class action concerns Reddit's financial results for Q1 2025 • Reddit's financial results reported on May 1, 2025 • Securities fraud allegations are pending

Pomerantz LLP has filed a class action lawsuit against Reddit, Inc. (NYSE: RDDT), alleging potential securities fraud by the company and its officers and directors [1]. The lawsuit, which was announced on August 11, 2025, is based on claims that Reddit made false and misleading statements or failed to disclose material information during the class period from October 29, 2024, to May 20, 2025 [1].

The class action concerns Reddit's financial results for the first quarter of 2025, which were reported on May 1, 2025 [1]. The lawsuit alleges that changes in Google Search's algorithm and features like AI Overview negatively impacted Reddit's traffic, leading to a decline in user growth and advertising revenues. Reddit's management was allegedly aware of these issues but failed to disclose them to the market, resulting in investors suffering damages [2].

The deadline to apply to be the lead plaintiff in the class action is August 18, 2025 [1]. Investors who purchased Reddit securities during the class period are encouraged to contact Danielle Peyton at Pomerantz LLP for more information [1]. The class action lawsuit is still pending, and no class has been certified yet [2].

Reddit's stock price has been volatile in recent months, with significant drops following analyst downgrades and concerns about Google Search's impact on user traffic [1]. On May 2, 2025, Reddit's stock price fell by 4.18% after reporting declining daily active user growth [1]. Wells Fargo and Baird analysts also downgraded Reddit's stock on May 19 and May 21, 2025, respectively, citing concerns about Google Search's AI capabilities [1].

Investors who wish to join the class action or seek legal advice are encouraged to contact Danielle Peyton at Pomerantz LLP or other legal firms representing investors in this case [1, 2, 3]. The Rosen Law Firm, The Schall Law Firm, and Pomerantz LLP are among the firms advising investors on this matter [1, 2, 3].

References:
[1] https://www.marketscreener.com/news/pomerantz-law-firm-reminds-investors-with-losses-on-their-investment-in-reddit-inc-of-class-action-ce7c5ed2d18dff20
[2] https://www.morningstar.com/news/globe-newswire/9511152/rddt-deadline-rosen-a-leading-investor-rights-law-firm-encourages-reddit-inc-investors-to-secure-counsel-before-important-august-18-deadline-in-securities-class-action-rddt
[3] https://www.morningstar.com/news/pr-newswire/20250810la48191/rddt-investors-have-opportunity-to-lead-reddit-inc-securities-fraud-lawsuit-with-the-schall-law-firm