Reddit (NYSE:RDDT) Shares Gap Down – Here’s What Happened

Reddit, Inc. (NYSE:RDDT) gapped down before the market opened on Friday . The stock had previously closed at $119.30, but opened at $114.00. Reddit shares last traded at $113.43, with a volume of 2,697,599 shares traded.

Analyst Upgrades and Downgrades

RDDT has been the subject of several analyst reports. Sanford C. Bernstein raised their price objective on Reddit from $65.00 to $85.00 and gave the company an “underperform” rating in a research note on Wednesday. The Goldman Sachs Group raised their price target on Reddit from $60.00 to $68.00 and gave the stock a “neutral” rating in a research report on Monday, October 14th. Loop Capital boosted their price objective on shares of Reddit from $80.00 to $90.00 and gave the company a “buy” rating in a research report on Friday, October 25th. Cannonball Research initiated coverage on shares of Reddit in a research note on Tuesday, August 6th. They issued a “buy” rating and a $67.00 target price on the stock. Finally, Bank of America lifted their price target on shares of Reddit from $84.00 to $99.00 and gave the stock a “neutral” rating in a research note on Wednesday. One analyst has rated the stock with a sell rating, six have assigned a hold rating, eleven have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $89.72.

Reddit Stock Performance

The business has a 50-day moving average price of $70.13 and a 200-day moving average price of $62.27.

Reddit (NYSE:RDDT) last posted its earnings results on Tuesday, October 29th. The company reported $0.16 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 business had revenue of $348.40 million for the quarter, compared to the consensus estimate of $313.61 million. The company’s revenue for the quarter was up 67.9% compared to the same quarter last year. On average, research analysts forecast that Reddit, Inc. will post -4.05 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CAO Michelle Marie Reynolds sold 12,000 shares of the company’s stock in a transaction on Tuesday, August 20th. The stock was sold at an average price of $54.00, for a total transaction of $648,000.00. Following the completion of the sale, the chief accounting officer now directly owns 71,162 shares in the company, valued at $3,842,748. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. In related news, CTO Christopher Brian Slowe sold 5,000 shares of the stock in a transaction that occurred on Tuesday, October 22nd. The shares were sold at an average price of $77.48, for a total transaction of $387,400.00. Following the completion of the sale, the chief technology officer now owns 30,068 shares of the company’s stock, valued at $2,329,668.64. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CAO Michelle Marie Reynolds sold 12,000 shares of Reddit stock in a transaction on Tuesday, August 20th. The stock was sold at an average price of $54.00, for a total transaction of $648,000.00. Following the completion of the transaction, the chief accounting officer now directly owns 71,162 shares in the company, valued at $3,842,748. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 390,327 shares of company stock valued at $23,503,224 over the last 90 days.

Hedge Funds Weigh In On Reddit

Several institutional investors and hedge funds have recently bought and sold shares of RDDT. Commonwealth Equity Services LLC purchased a new position in Reddit in the first quarter worth $1,111,000. BNP Paribas Financial Markets purchased a new position in Reddit in the first quarter worth $37,000. SG Americas Securities LLC purchased a new position in Reddit in the first quarter worth $265,000. ANTIPODES PARTNERS Ltd purchased a new position in Reddit in the first quarter worth $63,000. Finally, Vanguard Group Inc. purchased a new position in Reddit in the first quarter worth $82,167,000.

Reddit Company Profile

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.