Morgan Stanley Has Lowered Expectations for Reddit (NYSE:RDDT) Stock Price

Reddit (NYSE:RDDT) had its price objective dropped by analysts at Morgan Stanley from $210.00 to $140.00 in a report released on Thursday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Morgan Stanley’s price objective points to a potential upside of 45.77% from the company’s previous close.

Other analysts have also issued research reports about the company. B. Riley upped their target price on Reddit from $112.00 to $187.00 and gave the stock a “buy” rating in a research note on Tuesday, January 14th. Piper Sandler decreased their target price on shares of Reddit from $220.00 to $140.00 and set an “overweight” rating on the stock in a research report on Thursday, April 10th. Wells Fargo & Company lowered their price target on shares of Reddit from $215.00 to $158.00 and set an “overweight” rating for the company in a research note on Monday, March 31st. Bank of America reduced their price objective on Reddit from $190.00 to $110.00 and set a “neutral” rating on the stock in a research note on Wednesday, April 9th. Finally, Guggenheim lowered their target price on Reddit from $210.00 to $170.00 and set a “buy” rating for the company in a research note on Thursday, March 20th. Two analysts have rated the stock with a sell rating, seven have issued a hold rating, fourteen have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $142.22.

Reddit Price Performance

Shares of Reddit stock opened at $96.04 on Thursday. Reddit has a 1 year low of $40.17 and a 1 year high of $230.41. The firm has a market cap of $17.37 billion and a PE ratio of -12.42. The company has a 50 day simple moving average of $131.49 and a two-hundred day simple moving average of $140.37.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Wednesday, February 12th. The company reported $0.36 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%. As a group, research analysts anticipate that Reddit will post 1.12 earnings per share for the current year.

Insider Activity

In other Reddit news, CEO Steve Ladd Huffman sold 14,000 shares of the business’s stock in a transaction on Friday, January 31st. The stock was sold at an average price of $201.96, for a total value of $2,827,440.00. Following the sale, the chief executive officer now directly owns 614,394 shares of the company’s stock, valued at approximately $124,083,012.24. The trade was a 2.23 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Andrew Vollero sold 48,122 shares of the firm’s stock in a transaction on Monday, February 24th. The shares were sold at an average price of $162.80, for a total value of $7,834,261.60. Following the transaction, the chief financial officer now owns 599,295 shares of the company’s stock, valued at $97,565,226. The trade was a 7.43 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 714,202 shares of company stock worth $96,326,958.

Institutional Investors Weigh In On Reddit

A number of institutional investors have recently made changes to their positions in RDDT. HighTower Advisors LLC lifted its position in Reddit by 154.0% in the 3rd quarter. HighTower Advisors LLC now owns 11,699 shares of the company’s stock valued at $770,000 after acquiring an additional 7,094 shares in the last quarter. State Street Corp raised its stake in shares of Reddit by 189.3% in the third quarter. State Street Corp now owns 322,321 shares of the company’s stock worth $21,247,000 after purchasing an additional 210,921 shares during the last quarter. MML Investors Services LLC lifted its holdings in shares of Reddit by 12.0% during the third quarter. MML Investors Services LLC now owns 7,085 shares of the company’s stock valued at $467,000 after purchasing an additional 757 shares in the last quarter. Geode Capital Management LLC boosted its position in shares of Reddit by 176.0% during the third quarter. Geode Capital Management LLC now owns 824,200 shares of the company’s stock valued at $54,355,000 after buying an additional 525,619 shares during the last quarter. Finally, SOA Wealth Advisors LLC. increased its holdings in Reddit by 56.3% in the 3rd quarter. SOA Wealth Advisors LLC. now owns 1,919 shares of the company’s stock worth $126,000 after buying an additional 691 shares in the last quarter.

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.