Donoghue Forlines LLC Purchases Shares of 8,384 Reddit Inc. $RDDT

Donoghue Forlines LLC purchased a new position in shares of Reddit Inc. (NYSE:RDDT) during the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 8,384 shares of the company’s stock, valued at approximately $1,928,000.

Several other institutional investors and hedge funds have also recently modified their holdings of RDDT. Harel Insurance Investments & Financial Services Ltd. acquired a new position in shares of Reddit in the third quarter valued at approximately $2,990,000. Sequoia Financial Advisors LLC purchased a new position in Reddit in the 3rd quarter valued at approximately $304,000. ASR Vermogensbeheer N.V. boosted its position in Reddit by 2.1% in the 3rd quarter. ASR Vermogensbeheer N.V. now owns 7,648 shares of the company’s stock valued at $1,759,000 after buying an additional 160 shares during the period. Cannon Global Investment Management LLC acquired a new position in shares of Reddit in the third quarter worth $410,000. Finally, Wilmington Savings Fund Society FSB increased its position in shares of Reddit by 22.3% during the third quarter. Wilmington Savings Fund Society FSB now owns 1,856 shares of the company’s stock worth $427,000 after acquiring an additional 339 shares during the period.

Reddit Stock Up 1.1%

Shares of Reddit stock opened at $231.33 on Friday. Reddit Inc. has a 52 week low of $79.75 and a 52 week high of $282.95. The firm’s 50 day moving average is $223.41 and its two-hundred day moving average is $210.72. The firm has a market capitalization of $43.84 billion, a P/E ratio of 132.95, a P/E/G ratio of 1.55 and a beta of 2.17.

Reddit (NYSE:RDDT) last issued its quarterly earnings data on Thursday, October 30th. The company reported $0.80 earnings per share for the quarter, topping the consensus estimate of $0.50 by $0.30. The business had revenue of $584.91 million during the quarter, compared to the consensus estimate of $546.65 million. Reddit had a net margin of 18.33% and a return on equity of 14.94%. The company’s revenue was up 67.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.16 EPS. As a group, research analysts expect that Reddit Inc. will post 1.12 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on RDDT shares. Sanford C. Bernstein lifted their target price on Reddit from $190.00 to $210.00 and gave the company a “market perform” rating in a report on Friday, October 31st. Cannonball Research reaffirmed a “buy” rating on shares of Reddit in a research report on Tuesday, September 23rd. Wall Street Zen downgraded Reddit from a “buy” rating to a “hold” rating in a research report on Saturday, January 10th. Wells Fargo & Company raised their target price on shares of Reddit from $186.00 to $207.00 and gave the company an “equal weight” rating in a report on Monday, January 12th. Finally, Piper Sandler reiterated an “overweight” rating on shares of Reddit in a research note on Monday, December 1st. Three analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, twelve have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $238.57.

Reddit News Roundup

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Strategic partnership: Emplifi integrated Reddit’s Enterprise API, positioning Reddit as a signal in a large marketing platform — this supports enterprise monetization and data-product adoption. Read More.
• Positive Sentiment: Analyst momentum: Wells Fargo raised its target price and Reddit’s momentum metrics surged into a high percentile, which likely attracted momentum and quant buyers. Read More.
• Neutral Sentiment: Earnings date set: Reddit will release Q4 and FY2025 results on Feb 5, giving investors a clear near‑term catalyst for revenue/ads guidance and SMB traction. Read More.
• Neutral Sentiment: Stock is widely watched: Zacks highlights RDDT as a stock drawing investor attention, which can amplify moves around news and analyst notes. Read More.
• Neutral Sentiment: Minor insider sale: Director Andrew Vollero sold 300 shares — a small, likely immaterial transaction. Read More.
• Negative Sentiment: Large insider sale: Reddit’s CFO sold nearly $960k of stock — sizable insider selling can spook investors and raise questions about near‑term conviction. Read More.
• Negative Sentiment: Analyst concerns on SMB ad checks: RBC flagged challenges with small‑business ad checks and mixed ad feedback, pressuring sentiment around ad revenue sustainability. Read More.
• Negative Sentiment: Mixed ad feedback: Multiple outlets report analysts warning of uneven advertiser feedback, which feeds worries about near‑term ad monetization and growth. Read More.
• Negative Sentiment: Recent price weakness: Coverage notes a sharp intraday drop recently and commentary calling the move a significant selloff, reflecting heightened volatility. Read More.
• Negative Sentiment: Broader market trigger: News that shook growth stocks (FDA delay for a major weight‑loss drug) contributed to a stumble in Reddit shares as risk‑on sentiment softened. Read More.
• Negative Sentiment: Retail investor mixed view: After a recent sharp down day, retail traders flagged trouble but some remain bullish — an indicator of potential short‑term volatility as sentiment rebalances. Read More.
• Negative Sentiment: Explanatory coverage: Multiple outlets ran pieces titled that Reddit is “nosediving”—the tone can amplify selling pressure among momentum traders. Read More.

Insider Transactions at Reddit

In related news, COO Jennifer L. Wong sold 63,427 shares of the company’s stock in a transaction dated Monday, November 24th. The stock was sold at an average price of $192.72, for a total value of $12,223,651.44. Following the completion of the sale, the chief operating officer directly owned 1,184,528 shares of the company’s stock, valued at $228,282,236.16. This represents a 5.08% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CTO Christopher Brian Slowe sold 24,000 shares of Reddit stock in a transaction that occurred on Monday, November 24th. The stock was sold at an average price of $192.72, for a total value of $4,625,280.00. Following the transaction, the chief technology officer directly owned 175,694 shares in the company, valued at approximately $33,859,747.68. This trade represents a 12.02% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 505,470 shares of company stock worth $109,018,861. 34.25% of the stock is owned by company insiders.

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.