RDDT Stock: Wells Fargo Slashes Price Target by $47 as Reddit Shares Tumble Nearly 6%

April 9, 2026

By TrendSpider Editor

RDDT Stock: Wells Fargo Slashes Price Target by $47 as Reddit Shares Tumble Nearly 6%

Wells Fargo analyst Alec Brondolo confirmed a "hold" rating on Reddit today but dramatically cut the firm's price target from $196 to $149, a reduction of $47 per share. RDDT is trading at $136.65 as of today, April 9, 2026, down 5.75% on the session, putting the stock well below its 52-week high of $282.95 and uncomfortably close to the lower end of its 52-week range of $79.75 to $282.95. The revised price target of $149 now sits just 9% above the current price, a dramatically narrowed upside cushion that signals fading confidence from one of the stock's institutional watchers.

Key Drivers of the RDDT Stock Move

Main Catalyst: Wells Fargo analyst Alec Brondolo slashed his price target on RDDT from $196 to $149 while maintaining a "hold" rating, representing a 24% reduction in his price objective and removing a significant chunk of previously anticipated upside from the stock.
Bull Case: Even after the sharp target cut, Wells Fargo's revised $149 price target still sits above today's current price of $136.65, implying the analyst sees some residual upside from current levels rather than outright downside risk.
Bear Case: RDDT is now trading roughly 52% below its 52-week high of $282.95, and the steep 24% price target reduction from a firm that is not even willing to upgrade the stock suggests institutional sentiment has meaningfully deteriorated. The hold rating combined with a $149 target offers little incentive for new buyers to step in aggressively at current levels.

Today's move adds to what has been a difficult stretch for Reddit shares, which have shed enormous ground from their peak of $282.95 over the past year. The Wells Fargo action reflects a broader reassessment of growth expectations for the platform, and with the stock sitting at $136.65, it is now trading closer to its 52-week low of $79.75 than its high. The average analyst price target currently stands at $149, which, while above today's price, represents a far more modest premium than investors had grown accustomed to when the stock was trading at elevated levels. Until analysts begin revising targets higher or upgrading the name, the path of least resistance may remain downward, particularly in a risk-off environment where high-multiple growth stocks face additional headwinds.

RDDT Analyst Ratings and Price Targets

Wells Fargo, through analyst Alec Brondolo, confirmed a "hold" rating on Reddit today while cutting the firm's price target to $149 from a prior target of $196. The $47 reduction is notable in its magnitude and suggests a meaningful downward revision to the firm's financial model or growth assumptions for the company. The consensus average price target across analysts currently sits at $149, aligning precisely with the revised Wells Fargo target. There were no upgrades or additional downgrades reported today beyond this single action.

RDDT Seasonality

April has historically been a mixed month for technology and social media stocks, as first-quarter earnings season begins to ramp up and investors reprice growth expectations heading into mid-year. With Reddit's next earnings event on the horizon, today's analyst target reduction may be an early signal of tempered expectations for the Q1 report.

RDDT Relative Performance

RDDT's 5.75% decline today stands out as a significant underperformer relative to the broader market, earning it a "big loser" classification for the session. The stock's position at $136.65 places it roughly 52% off its 52-week high of $282.95, indicating that Reddit has experienced far steeper drawdown than many of its social media and digital advertising peers over the trailing year. The proximity to the lower half of its 52-week range of $79.75 to $282.95 raises the question of whether technical support levels near the annual low will come into play if selling pressure continues.