Reddit (NYSE:RDDT) Trading Up 7.5% – What’s Next?

Reddit, Inc. (NYSE:RDDT)’s stock price was up 7.5% during trading on Tuesday . The company traded as high as $117.67 and last traded at $117.16. Approximately 3,519,763 shares changed hands during trading, a decline of 27% from the average daily volume of 4,807,594 shares. The stock had previously closed at $109.03.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on RDDT shares. Cannonball Research started coverage on shares of Reddit in a report on Tuesday, August 6th. They set a “buy” rating and a $67.00 price objective on the stock. Piper Sandler reissued an “overweight” rating and set a $115.00 price objective (up previously from $70.00) on shares of Reddit in a report on Wednesday, October 30th. Loop Capital raised their target price on shares of Reddit from $80.00 to $90.00 and gave the company a “buy” rating in a research note on Friday, October 25th. Bank of America raised their target price on shares of Reddit from $84.00 to $99.00 and gave the company a “neutral” rating in a research note on Wednesday, October 30th. Finally, JPMorgan Chase & Co. raised their target price on shares of Reddit from $59.00 to $77.00 and gave the company a “neutral” rating in a research note on Monday, October 7th. One equities research analyst has rated the stock with a sell rating, six have assigned a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Reddit presently has an average rating of “Moderate Buy” and a consensus target price of $89.72.

Reddit Stock Performance

The firm’s fifty day simple moving average is $71.14 and its 200 day simple moving average is $62.90.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Tuesday, October 29th. The company reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.23. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. The company had revenue of $348.40 million for the quarter, compared to the consensus estimate of $313.61 million. The firm’s revenue for the quarter was up 67.9% compared to the same quarter last year. Equities analysts anticipate that Reddit, Inc. will post -4.05 earnings per share for the current fiscal year.

Insider Activity

In related news, COO Jennifer L. Wong sold 50,000 shares of the firm’s stock in a transaction on Thursday, September 19th. The shares were sold at an average price of $65.01, for a total value of $3,250,500.00. Following the completion of the transaction, the chief operating officer now directly owns 1,542,457 shares of the company’s stock, valued at approximately $100,275,129.57. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, COO Jennifer L. Wong sold 50,000 shares of the firm’s stock in a transaction on Thursday, September 19th. The shares were sold at an average price of $65.01, for a total value of $3,250,500.00. Following the completion of the transaction, the chief operating officer now directly owns 1,542,457 shares of the company’s stock, valued at approximately $100,275,129.57. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Steve Ladd Huffman sold 14,000 shares of the firm’s stock in a transaction on Tuesday, August 20th. The shares were sold at an average price of $53.98, for a total transaction of $755,720.00. Following the completion of the transaction, the chief executive officer now directly owns 672,352 shares of the company’s stock, valued at $36,293,560.96. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 390,327 shares of company stock worth $23,503,224 over the last ninety days.

Hedge Funds Weigh In On Reddit

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RDDT. BNP Paribas Financial Markets bought a new position in Reddit during the first quarter worth $37,000. Whittier Trust Co. bought a new position in Reddit during the third quarter worth $42,000. ANTIPODES PARTNERS Ltd bought a new position in Reddit during the first quarter worth $63,000. SOA Wealth Advisors LLC. bought a new position in Reddit during the second quarter worth $78,000. Finally, Sandia Investment Management LP bought a new position in Reddit during the first quarter worth $79,000.

About Reddit

Reddit, Inc operates a website that organizes digital communities. It organizes communities based on specific interests that enable users to engage in conversations by sharing experiences, submitting links, uploading images and videos, and replying to one another. The company was founded in 2005 and is headquartered in San Francisco, California.