Reddit is expected to make its stock market debut following its IPO

Reddit, a social media platform, is set to become a publicly traded corporation with a market valuation of $6.4 billion, set to begin trading on the New York Stock Exchange.

Reddit, a social media site, is set to become a publicly traded corporation with a market valuation of $6.4 billion. The IPO, priced at $34 per share, was revealed at the upper end of Reddit's goal range. The stock is set to start trading on the New York Stock Exchange on Thursday with the ticker code "RDDT," expected to generate a surge of comments on Reddit and other social networking platforms.

The popularity of Reddit is mostly due to the vast number of users who frequent the site on a daily basis to debate a wide range of topics, from absurd memes to existential concerns, and to receive suggestions from other like-minded individuals. Though it has been in business since 2005, Reddit is still incredibly small by the standards of the tech sector. With Facebook, its largest social media platform, launched just 18 months before Reddit, Meta Platforms is valued at over $1.2 trillion on the market. Reddit's revenue is still less than $1 billion, but Meta's is $135 billion annually.

Reddit raised $748 million in an IPO, with $228 million going to compensate stockholders. An additional $519 million is allocated, but Reddit still needs to pay commissions and expenses. Bankers have 30 days to sell additional shares.