Erste Asset Management GmbH Takes $15.25 Million Position in Reddit Inc. $RDDT

Erste Asset Management GmbH acquired a new stake in shares of Reddit Inc. (NYSE:RDDT) during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 65,000 shares of the company’s stock, valued at approximately $15,252,000.

A number of other hedge funds have also made changes to their positions in the stock. Deepwater Asset Management LLC acquired a new stake in Reddit in the 4th quarter valued at approximately $16,126,000. O Shaughnessy Asset Management LLC grew its holdings in Reddit by 26.4% in the 4th quarter. O Shaughnessy Asset Management LLC now owns 4,892 shares of the company’s stock valued at $1,125,000 after buying an additional 1,022 shares during the last quarter. CenterBook Partners LP acquired a new stake in Reddit in the 4th quarter valued at approximately $1,039,000. Krane Funds Advisors LLC acquired a new stake in Reddit in the 4th quarter valued at approximately $1,516,000. Finally, Capital World Investors acquired a new stake in Reddit in the 4th quarter valued at approximately $1,293,258,000.

Reddit Trading Down 1.3%

Shares of NYSE:RDDT opened at $171.18 on Tuesday. Reddit Inc. has a 1-year low of $110.85 and a 1-year high of $282.95. The firm has a market capitalization of $32.95 billion, a PE ratio of 48.91 and a beta of 1.91. The business’s 50 day moving average is $153.99 and its 200-day moving average is $177.19.

Reddit (NYSE:RDDT) last posted its earnings results on Thursday, April 30th. The company reported $1.01 EPS for the quarter, topping the consensus estimate of $0.62 by $0.39. The business had revenue of $663.41 million during the quarter, compared to the consensus estimate of $607.74 million. Reddit had a return on equity of 25.48% and a net margin of 28.60%.Reddit’s revenue was up 69.1% on a year-over-year basis. During the same quarter last year, the company earned $0.13 EPS. On average, sell-side analysts predict that Reddit Inc. will post 4.83 EPS for the current year.

Insider Buying and Selling

In related news, COO Jennifer L. Wong sold 39,167 shares of the firm’s stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $161.47, for a total transaction of $6,324,295.49. Following the completion of the transaction, the chief operating officer owned 1,088,451 shares in the company, valued at $175,752,182.97. This trade represents a 3.47% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Ladd Huffman sold 18,000 shares of Reddit stock in a transaction on Tuesday, March 31st. The shares were sold at an average price of $132.77, for a total value of $2,389,860.00. Following the completion of the transaction, the chief executive officer owned 411,195 shares of the company’s stock, valued at approximately $54,594,360.15. 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 250,499 shares of company stock worth $38,515,283 in the last 90 days. 28.48% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

RDDT has been the topic of a number of research analyst reports. Rothschild & Co Redburn set a $110.00 target price on Reddit in a report on Monday, April 27th. Piper Sandler reaffirmed an “overweight” rating and issued a $215.00 target price (up from $205.00) on shares of Reddit in a report on Friday, May 1st. Bank of America lowered their target price on Reddit from $205.00 to $175.00 and set a “neutral” rating on the stock in a report on Thursday, April 2nd. Truist Financial set a $265.00 target price on Reddit in a report on Friday, May 1st. Finally, Raymond James Financial set a $180.00 price objective on Reddit and gave the stock a “market perform” rating in a report on Friday, May 1st. Eighteen analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $230.75.

About Reddit

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.