--- title: "Reddit Inc's Next Earnings Report on July 30 Could Send the Stock Soaring. Here's Why." type: "News" locale: "en" url: "https://longbridge.com/en/news/294008498.md" description: "Reddit (NYSE: RDDT) reports Q2 earnings on July 30, with analysts expecting revenue growth of 46.3% to $731 million and GAAP earnings doubling to $0.97. The stock's potential surge hinges on strong ad performance and progress in renegotiating its data licensing deal with Google. Investors are closely watching for updates on the standoff with Google over usage-based fees, which could significantly impact future cash flow and valuation." datetime: "2026-07-28T04:14:26.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/294008498.md) - [en](https://longbridge.com/en/news/294008498.md) - [zh-HK](https://longbridge.com/zh-HK/news/294008498.md) --- # Reddit Inc's Next Earnings Report on July 30 Could Send the Stock Soaring. Here's Why. **Reddit** (NYSE: RDDT) may be the most intriguing AI stock on the market. Unlike semiconductors, software companies, or hyperscalers, Reddit derives its value in AI from its “corpus,” or the body of content on its site, which may be the most valuable source material for generative AI training and inference. The vast majority of Reddit’s revenue still comes from advertising, but its potential in data licensing has helped expand the stock’s valuation and attracted AI investors. The social media company is due to report second-quarter earnings after the market closes on Thursday. Could the stock soar on the news? Let’s take a closer look at what to expect. ![Reddit logo in bold white text over an orange-tinted background with blurred office scene](https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2Nkbi5jb250ZW50LmZvb2xjZG4uY29tL2ltYWdlcy8xdW1uOXFlaC9wcm9kdWN0aW9uLzI3ZjU0NTc0NThlZDUzYjIzMWI1NjZhOWQ0MThhZjRlYTc3NmQwZDktMTIwMHg4MDAucG5nP3c9MTIwMCZoPTgwMCZxPTc1JmF1dG89Zm9ybWF0Jnc9Mzg0MA?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg) Image source: The Motley Fool. ## What to expect when Reddit reports Reddit has delivered phenomenal results since going public in 2024, and its shares are up more than 400% since then. However, the stock has been volatile over the last year, and is actually down 20% year-to-date as it fell sharply in January alongside the broader software sell-off, though it’s much different from a traditional software-as-a-service (SaaS) company. Additionally, its revenue growth has not dipped below 48% since it went public, and ad revenue growth has been driven by new ad tools and automated ad campaigns, interest in the platform in the AI era, and the high commercial intent of users, as many subreddits focus on product or experience purchases. After Reddit reported 69% growth in the first quarter, analysts are expecting another strong round of results in Q2, calling for 46.3% top-line growth to $731 million, and for generally accepted accounting principles (GAAP) earnings to more than double from $0.45 to $0.97. ## The biggest catalyst to watch The biggest issue facing Reddit right now is its standoff with Google over data licensing. The two companies have been renegotiating their $60 million-a-year deal as Reddit is wary of Google scraping its site and then using that information to direct users to Google’s AI Overviews, rather than to Reddit’s site. Reddit reportedly wants a usage-based fee from Google, unsatisfied with the current agreement. Reddit stock fell 9% in a single session last week after _The Wall Street Journal_ reported that the company had considered cutting off Google’s access to its content as part of its negotiations, suggesting investors are fearful of any fallout. Expect plenty of questions on the earnings call about the relationship with Google, as Reddit could bring in significantly more cash if it secures usage-based fees or a similarly favorable deal from Google. Google’s shift to AI summaries has cannibalized traffic for media partners like Reddit, so the current system may be untenable. Expand ![Reddit Stock Quote](https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2cuZm9vbGNkbi5jb20vYXJ0L2NvbXBhbnlsb2dvcy9tYXJrL1JERFQucG5nJnc9MTI4?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg) ## NYSE: RDDT Reddit Today's Change (6.22%) $10.50 Current Price $179.23 ### Key Data Points Market Cap $32BMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary. Day's Range $172.73 - $183.88 52wk Range $119.27 - $282.95 Volume 4.3M Avg Vol 5M Gross Margin 90.72% ## Why the stock could pop Digital advertising growth remains strong as Alphabet just reported 14% advertising growth in the second quarter. Reddit also has a history of lowballing guidance, meaning it could easily beat expectations in its second quarter. If it can do that, offer solid guidance, spin the Google news in a positive way, and signal more potential growth for the data licensing business, the stock could move significantly higher on Thursday. ### Related Stocks - [RDDT.US](https://longbridge.com/en/quote/RDDT.US.md) - [RDTL.US](https://longbridge.com/en/quote/RDTL.US.md) - [RDDC.US](https://longbridge.com/en/quote/RDDC.US.md) - [GOOGL.US](https://longbridge.com/en/quote/GOOGL.US.md) - [GOOG.US](https://longbridge.com/en/quote/GOOG.US.md) - [GOU.US](https://longbridge.com/en/quote/GOU.US.md) - [GOOW.US](https://longbridge.com/en/quote/GOOW.US.md) - [GGLL.US](https://longbridge.com/en/quote/GGLL.US.md) - [GGLS.US](https://longbridge.com/en/quote/GGLS.US.md) - [GOOX.US](https://longbridge.com/en/quote/GOOX.US.md) - [GOOY.US](https://longbridge.com/en/quote/GOOY.US.md) - [GOOP.US](https://longbridge.com/en/quote/GOOP.US.md) - [MAGX.US](https://longbridge.com/en/quote/MAGX.US.md) - [RDYY.US](https://longbridge.com/en/quote/RDYY.US.md) ## Related News & Research - [Reddit Reports Second Quarter 2026 Results | RDDT Stock News](https://longbridge.com/en/news/294409036.md) - [Reddit Stock Is Rising Ahead of Thursday Earnings: What Investors Need to Know](https://longbridge.com/en/news/294229178.md) - ["Reddit's Growth Story Is Just Starting," Says KeyBanc Analyst Ahead of Q2 Results](https://longbridge.com/en/news/294239735.md) - [RDDT Stock Heads Into Earnings with Huge Growth and One Big Google Question](https://longbridge.com/en/news/293978598.md) - [Senvest Management LLC Makes New Investment in Reddit Inc. $RDDT](https://longbridge.com/en/news/293819961.md)