Is Reddit's IPO Another 'Moon Right Away' Story Like Rivian, Beyond Meat?

Reddit Inc‘s RDDT upcoming initial public offering (IPO), expected on March 21, has investors bracing themselves for what could be a turbulent ride in the stock market.

What Happened: The news that Reddit’s IPO is between four and five times oversubscribed has stirred both excitement and skepticism among market participants. For example, some Reddit users are drawing parallels to past IPOs like Rivian Automotive Inc RIVN and Beyond Meat Inc BYND.

Both companies underperformed after their respective IPOs.

Reddit is aiming for a $6.5 billion valuation — $10 billion less than the valuation it achieved for its last fundraising round in August 2021.

Related: Reddit’s IPO Buzz – ‘Bullish On RDDT’ Vs. ‘Immediate Short’

While some see the oversubscription as a bullish sign, others remain cautious, citing the prevailing negativity surrounding the IPO within Reddit communities.

Despite concerns, there’s speculation that the social media platform could experience a surge in its stock price, fueled by the frenzy of retail investors eager to participate in a high-profile IPO.

We looked at responses as Redditors discussed the oversubscription and offered their insights on it.

Will Reddit Stock ‘Moon Right Away’?

One Redditor expressed confidence in Reddit’s potential, suggesting that the platform could defy expectations and soar in its market debut.