Needham & Company LLC Reiterates “Buy” Rating for Reddit (NYSE:RDDT)

Reddit (NYSE:RDDT)‘s stock had its “buy” rating reissued by Needham & Company LLC in a note issued to investors on Tuesday, MarketBeat reports. They presently have a $300.00 price target on the stock. Needham & Company LLC’s target price indicates a potential upside of 32.65% from the stock’s previous close.

A number of other analysts have also recently issued reports on the stock. Robert W. Baird increased their price objective on shares of Reddit from $177.00 to $240.00 and gave the stock a “neutral” rating in a research note on Thursday, September 25th. Royal Bank Of Canada reaffirmed a “sector perform” rating on shares of Reddit in a report on Wednesday, October 1st. Jefferies Financial Group raised their target price on shares of Reddit from $300.00 to $325.00 and gave the company a “buy” rating in a report on Thursday, December 11th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Reddit in a research note on Monday, December 15th. Finally, Morgan Stanley reiterated an “overweight” rating and issued a $250.00 price target on shares of Reddit in a research report on Friday, October 31st. Three equities research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Reddit has a consensus rating of “Moderate Buy” and a consensus price target of $230.28.

Reddit Stock Performance

Shares of NYSE:RDDT opened at $226.16 on Tuesday. The firm has a fifty day moving average of $210.20 and a 200 day moving average of $198.02. Reddit has a 52-week low of $79.75 and a 52-week high of $282.95. The firm has a market capitalization of $42.86 billion, a PE ratio of 129.97, a price-to-earnings-growth ratio of 2.49 and a beta of 2.17.

Reddit (NYSE:RDDT) last announced its quarterly earnings results on Thursday, October 30th. The company reported $0.80 EPS for the quarter, topping analysts’ consensus estimates of $0.50 by $0.30. The business had revenue of $584.91 million for the quarter, compared to analysts’ expectations of $546.65 million. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The business’s quarterly revenue was up 67.9% on a year-over-year basis. During the same period in the previous year, the firm earned $0.16 EPS. On average, sell-side analysts forecast that Reddit will post 1.12 EPS for the current fiscal year.

Insider Activity

In related news, CAO Michelle Marie Reynolds sold 11,249 shares of the stock in a transaction that occurred on Tuesday, December 9th. The shares were sold at an average price of $232.95, for a total transaction of $2,620,454.55. Following the completion of the sale, the chief accounting officer owned 10,558 shares of the company’s stock, valued at $2,459,486.10. This represents a 51.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Benjamin Seong Lee sold 18,750 shares of the firm’s stock in a transaction on Thursday, December 18th. The stock was sold at an average price of $240.00, for a total value of $4,500,000.00. Following the completion of the sale, the insider directly owned 62,608 shares of the company’s stock, valued at $15,025,920. The trade was a 23.05% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 465,333 shares of company stock worth $97,164,104 over the last ninety days. 34.25% of the stock is currently owned by corporate insiders.

Institutional Trading of Reddit

Several large investors have recently made changes to their positions in the business. American Century Companies Inc. raised its position in Reddit by 35.0% during the first quarter. American Century Companies Inc. now owns 11,523 shares of the company’s stock worth $1,209,000 after acquiring an additional 2,987 shares during the period. Northern Trust Corp grew its holdings in Reddit by 10.8% in the 1st quarter. Northern Trust Corp now owns 296,086 shares of the company’s stock valued at $31,059,000 after buying an additional 28,960 shares in the last quarter. Allstate Corp acquired a new stake in shares of Reddit in the 1st quarter worth $311,000. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp acquired a new stake in shares of Reddit in the 1st quarter worth $1,325,000. Finally, Northwestern Mutual Wealth Management Co. raised its holdings in shares of Reddit by 12.5% during the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,323 shares of the company’s stock worth $139,000 after acquiring an additional 147 shares during the period.

Trending Headlines about Reddit

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Needham named RDDT a top pick for 2026, added it to its “Conviction Buy” list and set a $300 price target, citing ad-business acceleration and AI/content-licensing upside. This is a major positive catalyst for investor sentiment. Read More.
• Positive Sentiment: Barron’s bullish take highlights momentum after the stock’s strong post-IPO run and suggests further upside into next year, reinforcing the buy-side narrative. Read More.
• Positive Sentiment: Q3/2025 monetization trends look strong: ARPU rose ~41% driven by advertiser growth, better ad tools and higher engagement — supports revenue and EPS upside assumptions behind analyst upgrades. Read More.
• Positive Sentiment: Company initiatives to expand digital engagement and community-platform integrations could increase time-on-site and ad inventory, helping long-term ad revenue scaling. Read More.
• Neutral Sentiment: Options and flow commentary show traders are positioning for a 2026 run after Needham’s call; that can amplify intraday moves but doesn’t change fundamentals. Read More.
• Negative Sentiment: Insider selling: COO Jennifer L. Wong sold 39,167 shares (~$9.18M) on Dec. 19, trimming her position ~3.2% — a near-term negative signal for investor sentiment despite her large remaining stake. SEC filing: Read More.

Reddit Company Profile

Reddit is an online social news aggregation, discussion and content-sharing platform organized around user-created communities called “subreddits,” each focused on a particular topic or interest. Registered users submit links, text posts, images and video, and community members vote and comment to surface popular content. The site is accessed via its web platform and mobile apps for iOS and Android, and it supports live events such as Ask Me Anything (AMA) sessions and community-driven discussions.

Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit is headquartered in San Francisco and serves a global audience with particularly large user bases in the United States and other English-speaking markets.