Reddit shares rose 11% in extended trading on Thursday on the social media company's inclusion in the S&P 500.
The company will join the index on Aug 18, replacing AvalonBay Communities, according to a release from S&P Dow Jones Indices.
Companies often see their stocks climb when they're added to major indexes because fund managers who trace the benchmarks have to buy shares to match the changes.
Reddit, which hosts online forums on thousands of topics, becomes only the second pureplay social media company in the S&P 500. Meta, one of the world's most valuable companies is the other.
