Reddit Inc. (NYSE:RDDT) Receives Consensus Rating of “Moderate Buy” from Brokerages

Reddit Inc. (NYSE:RDDT) has been given a consensus recommendation of “Moderate Buy” by the thirty brokerages that are currently covering the firm, Marketbeat reports. One analyst has rated the stock with a sell recommendation, eleven have given a hold recommendation, seventeen have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month target price among brokerages that have covered the stock in the last year is $236.00.

RDDT has been the subject of several recent analyst reports. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Reddit in a research note on Monday, December 29th. UBS Group set a $265.00 target price on shares of Reddit in a report on Tuesday, January 13th. Zacks Research cut shares of Reddit from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 26th. Needham & Company LLC reiterated a “buy” rating and set a $300.00 price target on shares of Reddit in a report on Friday, February 6th. Finally, Oppenheimer reduced their price objective on shares of Reddit from $300.00 to $250.00 and set an “outperform” rating on the stock in a research report on Friday, February 6th.

Insider Activity

In other news, CTO Christopher Brian Slowe sold 19,036 shares of the stock in a transaction that occurred on Monday, February 23rd. The stock was sold at an average price of $144.05, for a total value of $2,742,135.80. Following the sale, the chief technology officer directly owned 185,057 shares in the company, valued at approximately $26,657,460.85. This represents a 9.33% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, COO Jennifer L. Wong sold 39,167 shares of the firm’s stock in a transaction that occurred on Friday, December 19th. The stock was sold at an average price of $234.37, for a total value of $9,179,569.79. Following the sale, the chief operating officer directly owned 1,184,528 shares of the company’s stock, valued at $277,617,827.36. This represents a 3.20% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 415,335 shares of company stock valued at $85,174,319. 34.25% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Raiffeisen Bank International AG purchased a new stake in Reddit in the 3rd quarter valued at about $25,000. GW&K Investment Management LLC purchased a new position in shares of Reddit during the third quarter worth approximately $30,000. Cornerstone Planning Group LLC increased its position in shares of Reddit by 13,500.0% during the third quarter. Cornerstone Planning Group LLC now owns 136 shares of the company’s stock worth $31,000 after acquiring an additional 135 shares during the period. LOM Asset Management Ltd bought a new stake in shares of Reddit during the fourth quarter valued at approximately $33,000. Finally, Noble Wealth Management PBC bought a new stake in shares of Reddit during the fourth quarter valued at approximately $34,000.

Reddit Trading Down 0.0%

Shares of Reddit stock opened at $132.21 on Monday. The firm has a market capitalization of $25.26 billion, a P/E ratio of 50.46, a P/E/G ratio of 0.96 and a beta of 2.41. The business has a fifty day simple moving average of $177.60 and a two-hundred day simple moving average of $204.88. Reddit has a 12 month low of $79.75 and a 12 month high of $282.95.

Reddit (NYSE:RDDT) last released its earnings results on Thursday, February 5th. The company reported $1.24 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.28. Reddit had a net margin of 24.05% and a return on equity of 20.89%. The firm had revenue of $725.61 million for the quarter, compared to the consensus estimate of $665.80 million. During the same period in the prior year, the firm earned $0.36 EPS. The company’s revenue was up 69.7% compared to the same quarter last year. Analysts predict that Reddit will post 1.12 earnings per share for the current year.

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.