Fifth Third Bancorp Increases Position in Reddit Inc. $RDDT

Fifth Third Bancorp raised its holdings in shares of Reddit Inc. (NYSE:RDDT) by 9,310.8% in the first quarter, Holdings Channel.com reports. The firm owned 8,752 shares of the company’s stock after purchasing an additional 8,659 shares during the period. Fifth Third Bancorp’s holdings in Reddit were worth $1,178,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also made changes to their positions in RDDT. Ascentis Independent Advisors bought a new position in Reddit during the 1st quarter valued at approximately $30,000. LOM Asset Management Ltd purchased a new stake in shares of Reddit in the fourth quarter worth $33,000. Geneos Wealth Management Inc. grew its stake in shares of Reddit by 344.6% in the first quarter. Geneos Wealth Management Inc. now owns 369 shares of the company’s stock worth $39,000 after acquiring an additional 286 shares during the last quarter. V Square Quantitative Management LLC bought a new position in shares of Reddit during the first quarter valued at $43,000. Finally, Summit Securities Group LLC bought a new position in shares of Reddit during the fourth quarter valued at $46,000.

Insider Buying and Selling

In related news, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $178.26, for a total value of $3,208,680.00. Following the transaction, the chief executive officer owned 373,814 shares of the company’s stock, valued at approximately $66,636,083.64. This trade represents a 4.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Michelle Marie Reynolds sold 808 shares of the business’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total transaction of $161,600.00. Following the sale, the chief accounting officer owned 15,060 shares of the company’s stock, valued at $3,012,000. This trade represents a 5.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 169,141 shares of company stock valued at $28,680,845. 28.48% of the stock is owned by insiders.

Key Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Reddit was added to Wedbush’s Best Ideas list ahead of Q2 results, and DA Davidson reiterated a Buy rating with a $200 price target, signaling Wall Street still sees meaningful upside. Reddit added to Wedbush Best Ideas List ahead of Q2 results
• Positive Sentiment: Several recent bullish notes say Reddit’s fundamentals remain strong, with rapid revenue growth, high margins, and ad-driven expansion supporting the stock despite valuation concerns. Reddit: Ignore The Potential Google Scuffle And Carry On
• Positive Sentiment: Investors are looking for a Q2 beat, with guidance pointing to roughly 43% to 45% year-over-year revenue growth and a strong EBITDA margin, which could reinforce the growth story if delivered. Reddit: Why I’m Staying Bullish Into The Q2 Print
• Neutral Sentiment: Analyst commentary this week has focused on Reddit alongside other communication-services names, but no major new company-specific catalyst was disclosed in the headline item. Analysts Offer Insights on Communication Services Companies
• Neutral Sentiment: Reddit’s upcoming earnings report is expected to show growth, but some screening models suggest the setup is not ideal for a clean earnings beat, keeping expectations mixed. Reddit Inc. (RDDT) Reports Next Week: Wall Street Expects Earnings Growth
• Negative Sentiment: The main overhang is renewed uncertainty around Reddit’s reported $60 million-per-year Google AI licensing deal, with some reports suggesting Reddit may rethink the agreement if renewal talks stall or content restrictions emerge. Reddit (RDDT) May Rethink $60 Million Google AI Deal As Renewal Talks Drag
• Negative Sentiment: Recent reports of a possible Google content restriction or AI feud triggered a sharp drop in the stock and pushed Reddit below key moving averages, signaling weaker momentum in the near term. Reddit stock plunges on report of possible Google content restrictions

Analyst Ratings Changes

RDDT has been the topic of a number of analyst reports. Citizens Jmp dropped their price target on shares of Reddit from $250.00 to $240.00 and set a “market outperform” rating on the stock in a research note on Friday, May 1st. Cantor Fitzgerald restated a “neutral” rating and set a $200.00 price objective on shares of Reddit in a research note on Monday, July 20th. Citigroup reaffirmed a “market outperform” rating on shares of Reddit in a report on Tuesday, May 26th. Wells Fargo & Company upped their target price on shares of Reddit from $176.00 to $187.00 and gave the stock an “equal weight” rating in a research note on Tuesday, July 7th. Finally, Truist Financial set a $265.00 price target on shares of Reddit in a report on Friday, May 1st. Nineteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $232.48.

Reddit Price Performance

Shares of RDDT opened at $168.75 on Friday. Reddit Inc. has a one year low of $119.27 and a one year high of $282.95. The business has a fifty day moving average of $174.67 and a 200 day moving average of $167.69. The firm has a market capitalization of $32.49 billion, a P/E ratio of 48.22 and a beta of 1.93.

Reddit (NYSE:RDDT) last released its quarterly earnings results on Thursday, April 30th. The company reported $1.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.62 by $0.39. Reddit had a return on equity of 25.48% and a net margin of 28.60%.The business had revenue of $663.41 million during the quarter, compared to the consensus estimate of $607.74 million. During the same period in the previous year, the company posted $0.13 EPS. The business’s quarterly revenue was up 69.1% compared to the same quarter last year. Analysts expect that Reddit Inc. will post 4.85 EPS for the current fiscal year.

Reddit 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.