Reddit Inc. (NYSE:RDDT) Receives $230.28 Consensus Price Target from Analysts

Reddit Inc. (NYSE:RDDT) has been assigned an average recommendation of “Moderate Buy” from the twenty-nine brokerages that are currently covering the firm, MarketBeat reports. Two analysts have rated the stock with a sell rating, ten have issued a hold rating, fifteen have assigned a buy rating and two have given a strong buy rating to the company. The average 1-year target price among brokerages that have issued a report on the stock in the last year is $230.28.

Several research analysts have recently commented on RDDT shares. Citigroup lifted their price target on shares of Reddit from $250.00 to $265.00 and gave the company a “buy” rating in a report on Monday, November 3rd. Raymond James Financial reissued a “strong-buy” rating and issued a $250.00 target price (up previously from $225.00) on shares of Reddit in a report on Monday, October 20th. Wall Street Zen raised Reddit from a “hold” rating to a “buy” rating in a report on Sunday, December 14th. Bank of America increased their price target on Reddit from $180.00 to $210.00 and gave the stock a “neutral” rating in a research report on Friday, October 31st. Finally, Zacks Research downgraded Reddit from a “strong-buy” rating to a “hold” rating in a report on Friday, December 26th.

Reddit Trading Up 5.2%

Shares of NYSE RDDT opened at $241.81 on Wednesday. Reddit has a twelve month low of $79.75 and a twelve month high of $282.95. The company has a market capitalization of $45.82 billion, a price-to-earnings ratio of 138.97, a price-to-earnings-growth ratio of 1.62 and a beta of 2.17. The business has a 50 day simple moving average of $214.35 and a 200-day simple moving average of $203.89.

Reddit (NYSE:RDDT) last announced its quarterly earnings data on Thursday, October 30th. The company reported $0.80 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.50 by $0.30. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The firm had revenue of $584.91 million for the quarter, compared to analysts’ expectations of $546.65 million. During the same period last year, the business posted $0.16 earnings per share. The firm’s revenue for the quarter was up 67.9% on a year-over-year basis. As a group, equities analysts predict that Reddit will post 1.12 earnings per share for the current year.

Insider Buying and Selling

In other news, COO Jennifer L. Wong sold 39,167 shares of the business’s stock in a transaction on Friday, December 19th. The shares were sold at an average price of $234.37, for a total transaction of $9,179,569.79. Following the completion of the transaction, the chief operating officer owned 1,184,528 shares of the company’s stock, valued at approximately $277,617,827.36. The trade was a 3.20% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CAO Michelle Marie Reynolds sold 11,249 shares of the stock in a transaction dated Tuesday, December 9th. The stock was 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 directly owned 10,558 shares in the company, valued at approximately $2,459,486.10. This trade represents a 51.58% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 461,333 shares of company stock valued at $96,309,724 in the last three months. 34.25% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Reddit

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Raiffeisen Bank International AG acquired a new stake in Reddit in the 3rd quarter valued at approximately $25,000. GW&K Investment Management LLC acquired a new position in Reddit during the 3rd quarter worth $30,000. Cornerstone Planning Group LLC grew its stake in shares of Reddit by 13,500.0% in the third quarter. Cornerstone Planning Group LLC now owns 136 shares of the company’s stock worth $31,000 after purchasing an additional 135 shares in the last quarter. GAMMA Investing LLC increased its holdings in shares of Reddit by 8,650.0% during the third quarter. GAMMA Investing LLC now owns 175 shares of the company’s stock valued at $40,000 after purchasing an additional 173 shares during the period. Finally, Cloud Capital Management LLC acquired a new position in shares of Reddit during the third quarter valued at $47,000.

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.