Reddit (NYSE:RDDT) Stock Price Up 7.4% – Here’s What Happened

Reddit Inc. (NYSE:RDDT) traded up 7.4% during trading on Tuesday . The stock traded as high as $262.00 and last traded at $262.1480. 3,166,759 shares were traded during mid-day trading, a decline of 10% from the average session volume of 3,524,540 shares. The stock had previously closed at $244.02.

Analyst Upgrades and Downgrades

RDDT has been the topic of a number of research analyst reports. Piper Sandler reiterated an “overweight” rating on shares of Reddit in a research report on Monday, December 1st. Weiss Ratings restated a “hold (c-)” rating on shares of Reddit in a research note on Monday, December 29th. Needham & Company LLC restated a “buy” rating and set a $300.00 price target on shares of Reddit in a research note on Monday, December 29th. UBS Group set a $265.00 target price on Reddit in a research note on Tuesday. Finally, Bank of America upped their price objective on shares of Reddit from $180.00 to $210.00 and gave the company a “neutral” rating in a report on Friday, October 31st. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Reddit currently has a consensus rating of “Moderate Buy” and a consensus target price of $238.57.

Reddit Price Performance

The company has a market capitalization of $49.06 billion, a price-to-earnings ratio of 148.80, a PEG ratio of 1.64 and a beta of 2.17. The business has a 50 day simple moving average of $219.20 and a 200 day simple moving average of $208.50.

Reddit (NYSE:RDDT) last posted its quarterly earnings results on Thursday, October 30th. The company reported $0.80 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.50 by $0.30. The company had revenue of $584.91 million for the quarter, compared to analyst estimates of $546.65 million. Reddit had a return on equity of 14.94% and a net margin of 18.33%.Reddit’s revenue for the quarter was up 67.9% compared to the same quarter last year. During the same quarter last year, the company earned $0.16 EPS. On average, equities research analysts predict that Reddit Inc. will post 1.12 EPS for the current year.

Insider Buying and Selling at Reddit

In other news, COO Jennifer L. Wong sold 39,167 shares of Reddit stock in a transaction on Friday, December 19th. The stock was sold at an average price of $234.37, for a total transaction of $9,179,569.79. Following the completion of the transaction, the chief operating officer owned 1,184,528 shares of the company’s stock, valued at $277,617,827.36. The trade was a 3.20% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Benjamin Seong Lee sold 3,320 shares of Reddit stock in a transaction that occurred on Friday, January 9th. The stock was sold at an average price of $260.22, for a total value of $863,930.40. Following the transaction, the insider owned 62,608 shares of the company’s stock, valued at $16,291,853.76. This represents a 5.04% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 519,496 shares of company stock valued at $111,590,512. Corporate insiders own 34.25% of the company’s stock.

Institutional Investors Weigh In On Reddit

A number of institutional investors have recently bought and sold shares of the stock. Teacher Retirement System of Texas raised its holdings in shares of Reddit by 880.5% in the 2nd quarter. Teacher Retirement System of Texas now owns 94,676 shares of the company’s stock worth $14,255,000 after purchasing an additional 85,020 shares during the period. Union Bancaire Privee UBP SA purchased a new stake in shares of Reddit during the second quarter valued at approximately $2,078,000. J. Safra Sarasin Holding AG purchased a new stake in shares of Reddit during the second quarter worth about $226,000. Plato Investment Management Ltd boosted its stake in shares of Reddit by 120.2% during the 2nd quarter. Plato Investment Management Ltd now owns 2,970 shares of the company’s stock valued at $446,000 after buying an additional 1,621 shares during the last quarter. Finally, Police & Firemen s Retirement System of New Jersey bought a new stake in shares of Reddit in the 2nd quarter worth about $2,666,000.

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.