Reddit Inc (NYSE:RDDT) is gearing up for its highly anticipated IPO. A recent post by user GuitarHero52 on r/stocks has ignited a flurry of discussions. These discussions revolve around the company’s financial outlook and potential risks for investors.
Reddit’s Valuation & Capital Structure In Focus
As Reddit aims for a lofty $6.4 billion valuation, concerns have surfaced regarding its negative shareholder’s equity of $412.9 million and a staggering net income loss of $90.8 million.
GuitarHero52’s analysis delves deeper into Reddit’s capital structure. It highlights the presence of convertible preferred stock with favorable ...