Reddit surges on S&P 500 inclusion, set to replace AvalonBay

Aug 14 : Reddit shares jumped more than 11 per cent on Friday after the S&P Dow Jones Indices said the social media platform would join the benchmark S&P 500 index, replacing AvalonBay Communities.Analysts at J.P. Morgan estimate index funds tracking the S&P 500 would need to buy 16.7 million Reddit shares. That is nearly three times the stock's average daily trading volume of about 5.98 million shares since the company went public in March 2024, according to LSEG data.Reddit was trading at $175.69, with shares worth more than $201 million changing hands by 09:32 a.m. ET. The stock has fallen more than 31 per cent this year through Thursday's close and is down more than 42 per cent from its all-time high reached in September 2025.In its most recent earnings report, Reddit said choppy searc