Reddit (NYSE:RDDT) Reaches New 12-Month High – Still a Buy?

Reddit, Inc. (NYSE:RDDT)’s stock price hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $187.48 and last traded at $187.01, with a volume of 863235 shares changing hands. The stock had previously closed at $177.74.

Analyst Ratings Changes

A number of analysts have recently issued reports on RDDT shares. Piper Sandler restated an “overweight” rating and issued a $150.00 target price (up previously from $115.00) on shares of Reddit in a report on Tuesday, November 19th. Bank of America raised their price objective on Reddit from $84.00 to $99.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 30th. Needham & Company LLC upped their target price on Reddit from $120.00 to $190.00 and gave the company a “buy” rating in a report on Wednesday, December 11th. Guggenheim initiated coverage on shares of Reddit in a research report on Friday, December 20th. They issued a “buy” rating and a $210.00 price target for the company. Finally, Jefferies Financial Group boosted their price objective on shares of Reddit from $120.00 to $175.00 and gave the company a “buy” rating in a research report on Monday, November 25th. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating, fourteen have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $132.70.

Reddit Trading Down 0.1 %

The business has a 50-day simple moving average of $146.37 and a 200-day simple moving average of $93.23.

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, topping the consensus estimate of ($0.07) by $0.23. The business had revenue of $348.40 million during the quarter, compared to the consensus estimate of $313.61 million. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. Reddit’s quarterly revenue was up 67.9% on a year-over-year basis. On average, equities analysts forecast that Reddit, Inc. will post -3.46 EPS for the current fiscal year.

Insider Transactions at Reddit

In other Reddit news, CEO Steve Ladd Huffman sold 14,000 shares of the stock in a transaction on Tuesday, December 31st. The shares were sold at an average price of $165.33, for a total value of $2,314,620.00. Following the completion of the sale, the chief executive officer now directly owns 614,394 shares of the company’s stock, valued at $101,577,760.02. This represents a 2.23 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Benjamin Seong Lee sold 18,519 shares of the business’s stock in a transaction dated Friday, November 22nd. The stock was sold at an average price of $146.06, for a total transaction of $2,704,885.14. Following the transaction, the insider now owns 138,401 shares in the company, valued at approximately $20,214,850.06. The trade was a 11.80 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 264,357 shares of company stock worth $35,297,700.

Institutional Investors Weigh In On Reddit

Several hedge funds have recently made changes to their positions in RDDT. FMR LLC raised its holdings in Reddit by 302.8% in the 3rd quarter. FMR LLC now owns 12,157,591 shares of the company’s stock valued at $801,428,000 after acquiring an additional 9,139,196 shares in the last quarter. VY Capital Management Co. Ltd. acquired a new position in shares of Reddit in the third quarter valued at $474,403,000. Holocene Advisors LP lifted its position in Reddit by 177.6% in the third quarter. Holocene Advisors LP now owns 3,005,977 shares of the company’s stock worth $198,154,000 after purchasing an additional 1,923,109 shares during the period. Point72 Asset Management L.P. lifted its position in Reddit by 3,172.0% in the third quarter. Point72 Asset Management L.P. now owns 2,296,068 shares of the company’s stock worth $151,357,000 after purchasing an additional 2,225,895 shares during the period. Finally, Lord Abbett & CO. LLC boosted its stake in Reddit by 1,519.4% during the third quarter. Lord Abbett & CO. LLC now owns 1,650,362 shares of the company’s stock worth $108,792,000 after buying an additional 1,548,450 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.