Just as a note, losing 2% (and there’s a lot of different and more meaningful KPIs) is a really big deal if you’re supposed to be growing double digits. The ridiculous valuations built into tech companies is based on massive growth, not current numbers. If you’re expected to grow at 30% and instead you lose 2%, that’s a massive loss. Reddit, last I checked (before the rexit) had come down something like 66% in the estimated IPO valuation. That’s why they freaked out and basically banned third party apps in favor of controlling advertising and subscriptions. They said they want to emulate what Twitter is doing.
If they do go through with their going public, the short side is going to kill them. I think the appeal of Reddit is different than Facebook and that they’re going to do a slow run of Digg and MySpace.