7.1% of Reddit stock's free share float was short-sold, causing a 12% value drop to $56.91.

Reddit stock's debut attracted significant short-selling activity, with at least 7.1% of its free share float sold short, equating to 2.15 million shares. Short sellers aim to profit by selling borrowed shares and purchasing them back at a lower price. The stock slipped 12% in value to $56.91, following a two-day gain. Analytics company Ortex's data indicates a negative view of the stock's future price.

March 27, 2024
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