Reddit’s (RDDT) “Buy” Rating Reaffirmed at Needham & Company LLC

Reddit (NYSE:RDDT)‘s stock had its “buy” rating reaffirmed by equities research analysts at Needham & Company LLC in a research note issued to investors on Tuesday,Benzinga reports. They currently have a $300.00 price objective on the stock. Needham & Company LLC’s price objective indicates a potential upside of 28.75% from the stock’s previous close.

Several other analysts have also commented on RDDT. JPMorgan Chase & Co. increased their target price on shares of Reddit from $190.00 to $227.00 and gave the company a “neutral” rating in a research note on Friday, October 31st. Zacks Research upgraded Reddit from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, October 29th. The Goldman Sachs Group reissued a “neutral” rating and set a $236.00 price objective on shares of Reddit in a research note on Tuesday, October 14th. Wells Fargo & Company lifted their target price on Reddit from $155.00 to $174.00 and gave the stock a “cautious” rating in a report on Tuesday, October 7th. Finally, Roth Capital set a $210.00 target price on Reddit in a report on Friday, October 31st. Three research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $230.28.

Reddit Stock Down 0.1%

Shares of Reddit stock opened at $233.01 on Tuesday. The business has a fifty day simple moving average of $209.12 and a 200-day simple moving average of $197.08. Reddit has a fifty-two week low of $79.75 and a fifty-two week high of $282.95. The firm has a market cap of $44.16 billion, a price-to-earnings ratio of 133.92, a price-to-earnings-growth ratio of 2.57 and a beta of 2.17.

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

Insiders Place Their Bets

In related news, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 30th. The shares were sold at an average price of $229.10, for a total transaction of $4,123,800.00. Following the completion of the sale, the chief executive officer directly owned 494,104 shares in the company, valued at approximately $113,199,226.40. This trade represents a 3.51% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, COO Jennifer L. Wong sold 63,427 shares of the company’s stock in a transaction that occurred on Monday, November 24th. The shares were sold at an average price of $192.72, for a total transaction of $12,223,651.44. Following the completion of the transaction, the chief operating officer owned 1,184,528 shares in the company, valued at approximately $228,282,236.16. This represents a 5.08% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 426,166 shares of company stock worth $87,984,534 over the last quarter. Company insiders own 34.25% of the company’s stock.

Institutional Trading of Reddit

A number of institutional investors have recently bought and sold shares of the company. American Century Companies Inc. grew its stake in Reddit by 35.0% in the first quarter. American Century Companies Inc. now owns 11,523 shares of the company’s stock valued at $1,209,000 after purchasing an additional 2,987 shares in the last quarter. Northern Trust Corp grew its stake in shares of Reddit by 10.8% in the 1st quarter. Northern Trust Corp now owns 296,086 shares of the company’s stock valued at $31,059,000 after buying an additional 28,960 shares in the last quarter. Allstate Corp acquired a new position in Reddit in the first quarter worth approximately $311,000. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp bought a new position in Reddit during the first quarter valued at approximately $1,325,000. Finally, Northwestern Mutual Wealth Management Co. lifted its stake in Reddit by 12.5% in the first quarter. Northwestern Mutual Wealth Management Co. now owns 1,323 shares of the company’s stock valued at $139,000 after acquiring an additional 147 shares during the last quarter.

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.