Reddit Inc. (NYSE:RDDT) Receives Average Rating of “Moderate Buy” from Brokerages

Reddit Inc. (NYSE:RDDT) has received an average recommendation of “Moderate Buy” from the thirty ratings firms that are presently covering the firm, Marketbeat.com reports. Eleven equities research analysts have rated the stock with a hold rating, eighteen have given a buy rating and one has issued a strong buy rating on the company. The average twelve-month price objective among brokerages that have covered the stock in the last year is $228.6071.

RDDT has been the topic of several analyst reports. Oppenheimer restated an “outperform” rating and issued a $225.00 price target on shares of Reddit in a research note on Friday, May 1st. Weiss Ratings restated a “hold (c)” rating on shares of Reddit in a research note on Friday, May 8th. Bank of America dropped their price target on shares of Reddit from $205.00 to $175.00 and set a “neutral” rating on the stock in a research note on Thursday, April 2nd. Piper Sandler reissued an “overweight” rating and set a $215.00 target price (up from $205.00) on shares of Reddit in a research note on Friday, May 1st. Finally, Robert W. Baird set a $200.00 target price on shares of Reddit in a research note on Friday, February 6th.

Reddit Trading Up 5.2%

Shares of RDDT stock opened at $176.41 on Friday. The company has a market capitalization of $33.96 billion, a PE ratio of 50.40 and a beta of 1.85. The firm has a fifty day simple moving average of $149.56 and a 200-day simple moving average of $178.23. Reddit has a twelve month low of $106.34 and a twelve month high of $282.95.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Thursday, April 30th. The company reported $1.01 EPS for the quarter, beating analysts’ consensus estimates of $0.62 by $0.39. Reddit had a net margin of 28.60% and a return on equity of 25.48%. The firm had revenue of $663.41 million for the quarter, compared to the consensus estimate of $607.74 million. During the same period in the prior year, the firm posted $0.13 EPS. The firm’s revenue was up 69.1% compared to the same quarter last year. Equities research analysts predict that Reddit will post 4.83 EPS for the current year.

Insider Activity at Reddit

In related news, Director Sarah E. Farrell bought 10,500 shares of the stock in a transaction on Friday, March 13th. The shares were purchased at an average price of $132.26 per share, with a total value of $1,388,730.00. Following the purchase, the director owned 61,000 shares in the company, valued at approximately $8,067,860. This represents a 20.79% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $171.80, for a total transaction of $3,092,400.00. Following the transaction, the chief executive officer directly owned 411,195 shares in the company, valued at approximately $70,643,301. The trade was a 4.19% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 241,999 shares of company stock worth $36,678,168 in the last 90 days. Corporate insiders own 34.25% of the company’s stock.

Hedge Funds Weigh In On Reddit

Large investors have recently bought and sold shares of the stock. Huntington National Bank grew its stake in shares of Reddit by 25.6% in the 3rd quarter. Huntington National Bank now owns 270 shares of the company’s stock worth $62,000 after purchasing an additional 55 shares during the last quarter. Institute for Wealth Management LLC. grew its stake in shares of Reddit by 6.1% in the 4th quarter. Institute for Wealth Management LLC. now owns 1,071 shares of the company’s stock worth $246,000 after purchasing an additional 62 shares during the last quarter. Roxbury Financial LLC grew its stake in shares of Reddit by 7.4% in the 4th quarter. Roxbury Financial LLC now owns 929 shares of the company’s stock worth $214,000 after purchasing an additional 64 shares during the last quarter. Florida Financial Advisors LLC grew its stake in shares of Reddit by 6.7% in the 4th quarter. Florida Financial Advisors LLC now owns 1,087 shares of the company’s stock worth $250,000 after purchasing an additional 68 shares during the last quarter. Finally, Diversified Trust Co grew its stake in shares of Reddit by 2.1% in the 1st quarter. Diversified Trust Co now owns 3,271 shares of the company’s stock worth $440,000 after purchasing an additional 68 shares during the last quarter.

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.