Reddit Closes Up 6% as Piper Sandler Data Shows Fastest Monthly User Growth of the Year

RDDT closed up 6.1% at $155.34 on September 10 after Piper Sandler published its monthly Ads Manager audience tracking for August, which showed Reddit's average user base growing 8% month over month, the fastest monthly pace the platform has posted this year and a reversal of a roughly 2% decline in July. The move built through the session rather than gapping: shares were up about 1.5% in premarket and about 4% at midday before finishing near the highs.

The composition of the growth is what drew attention. Reddit's overall audience was up 18.0% year over year in August against 12.8% in July, but the acceleration was almost entirely offshore: international users grew 29.3% year over year, up from 19% the prior month, while US users grew just 5.2%. Within the mix, Feed users added roughly 79 million while Conversation users declined by about 1 million, a split that points to a more passive, scroll-driven audience rather than deeper community participation.

Two qualifications matter for reading this. First, Piper Sandler did not upgrade the stock or move a price target: this is third-party ad-platform measurement, not a research action, so the share move reflects investors repricing the data rather than following a call. Second, Piper flagged that Reddit is changing its Ads Manager measurement methodology, a change expected to reset reported audience size by roughly 20%, which means the next several months of month-over-month and year-over-year comparisons will not be like-for-like.

Context for the move: Reddit remains down about 33% year to date even after this session, and SentiSense's first-party analyst consensus shows a $130.00 to $300.00 price-target band with a $213.10 average across 33 analysts, split 22 buy, 11 hold and 1 sell. The gap between a depressed price and an intact consensus is the setup investors are weighing. What to watch next is whether the September audience print holds the pace once the methodology reset lands, and whether the international growth starts showing up in international ad revenue, where Reddit's monetization infrastructure is far less mature than it is in the US.