Top Wall St brokerages start Reddit coverage with doubts over user growth


FILE PHOTO: Reddit logo is seen in this illustration taken November 7, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

(Reuters) -Top Wall Street brokerages, whose investment banking units helped Reddit prepare for its public issue, started coverage of the social media company with doubts over its user growth, while staying bullish on ad revenue and its use of artificial intelligence (AI). Goldman Sachs and J.P.Morgan began with a "neutral" rating and a price target of $40 and $47, respectively, while Morgan Stanley had an "equal-weight" rating and a $45 price target.

Reddit shares were last trading at $40.66, below last month's debut price of $47.

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