Jim Cramer’s Thoughts on These 7 Stocks

3. Reddit, Inc. (NYSE:RDDT)

Number of Hedge Fund Holders: 87

When a caller asked about Reddit, Inc. (NYSE:RDDT) during the episode, Cramer said:

“Well… Oh man, Reddit. I think Reddit is a very good stock. It came down way too much because there were, it was a short squeeze, and then it evaporated. But I think management, Huff’s (CEO Steve Huffman) doing a great job. I would be a buyer.”

Reddit, Inc. (NYSE:RDDT) operates a popular platform where people post content, join conversations, and interact within topic-based communities. On March 14, Cramer stated:

“Just like with Cava, Reddit hasn’t done anything wrong. Last month, they reported a terrific quarter, revenue growth accelerated all the way to 71%. The problem here is that this is exactly the kind of stock that people dump whenever we get hit with the market-wide meltdown. It’s almost programmed. The only scenario in which I’d get more bearish on Reddit’s fundamentals would be if the current period of macro uncertainty turns into an outright recession, because a recession would really hurt their advertising business.

In a recession, anything that depends on ads does get crushed but I don’t think we’re headed for a recession, which means Reddit’s pretty darn enticing now that the stock’s practically being cut in half.

… Plus, based on the way that Reddit’s been beating the estimates, I wouldn’t be surprised if the stock ultimately proves to be much cheaper than it looks right now. If only because the future of earnings are likely to come in higher than expected. Again, as long as there’s no recession, as long as this thing continues to be able to spread and grow, not just from this nation, I should say all over the world, Reddit’s a winner, and I think it is going to be very big internationally.”