Reddit shares hit the public markets to tremendous fanfare — but even wilder trading sessions could lie ahead for the social media stock.
After pricing shares at $34 a piece — Reddit’s stock surged 48% to close above $50 a share. Investing app Public, which caters to younger investors, saw first-hand how the enthusiasm was rampant.
“Despite only trading for less than half a day … it was the most bought stock of the day,” Public.com CEO Jannick Malling told CNBC’s “Last Call” on Thursday. “You’ve also seen anticipation build in the past few weeks. You can see it in the search volume.”
Malling thinks a second catalyst — Nasdaq planning to list Reddit options on its exchange on Monday — could provide further impetus.
Options trading is a risky, yet popular tool in Reddit’s investing community r/Wallstreetbets.
“A lot of options traders on Public were asking about Reddit today — when might we be able to buy options on it,” Malling said. “Now whether they’re going to buy calls or puts; that’s the question on everyone’s mind.”
