October Effect Ltd Sells 17,311 Shares of Reddit Inc. $RDDT

October Effect Ltd reduced its position in Reddit Inc. (NYSE:RDDT) by 67.6% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 8,303 shares of the company’s stock after selling 17,311 shares during the quarter. Reddit accounts for approximately 2.1% of October Effect Ltd’s investment portfolio, making the stock its 15th largest holding. October Effect Ltd’s holdings in Reddit were worth $1,910,000 at the end of the most recent quarter.

Other institutional investors have also added to or reduced their stakes in the company. NewEdge Advisors LLC lifted its position in shares of Reddit by 143.3% in the 1st quarter. NewEdge Advisors LLC now owns 7,982 shares of the company’s stock worth $837,000 after purchasing an additional 4,701 shares during the period. Empowered Funds LLC bought a new position in Reddit in the first quarter worth approximately $213,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Reddit by 106.3% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 216,960 shares of the company’s stock worth $22,759,000 after buying an additional 111,780 shares in the last quarter. Focus Partners Wealth lifted its holdings in Reddit by 40.8% during the first quarter. Focus Partners Wealth now owns 10,224 shares of the company’s stock worth $1,073,000 after buying an additional 2,965 shares during the period. Finally, Geneos Wealth Management Inc. boosted its position in Reddit by 344.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 369 shares of the company’s stock valued at $39,000 after acquiring an additional 286 shares in the last quarter.

Insider Activity at Reddit

In other Reddit news, insider Benjamin Seong Lee sold 55,005 shares of the firm’s stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $221.21, for a total value of $12,167,656.05. Following the completion of the transaction, the insider owned 62,608 shares of the company’s stock, valued at approximately $13,849,515.68. This trade represents a 46.77% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, COO Jennifer L. Wong sold 63,427 shares of Reddit stock in a transaction on Monday, November 24th. The stock was sold at an average price of $192.72, for a total transaction of $12,223,651.44. Following the sale, the chief operating officer owned 1,184,528 shares of the company’s stock, valued at $228,282,236.16. The trade was a 5.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 509,511 shares of company stock worth $111,394,344. 34.25% of the stock is owned by company insiders.

Analyst Ratings Changes

Several research analysts have recently commented on RDDT shares. Weiss Ratings reissued a “hold (c-)” rating on shares of Reddit in a research report on Monday, December 29th. Wells Fargo & Company lifted their target price on Reddit from $186.00 to $207.00 and gave the company an “equal weight” rating in a research note on Monday, January 12th. Cantor Fitzgerald began coverage on shares of Reddit in a report on Thursday, January 8th. They issued a “neutral” rating and a $240.00 target price for the company. Guggenheim restated a “buy” rating and issued a $245.00 price target on shares of Reddit in a report on Friday. Finally, Argus set a $300.00 price objective on shares of Reddit in a research report on Friday, January 9th. Two equities research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Reddit currently has a consensus rating of “Moderate Buy” and an average price target of $245.18.

Reddit Stock Performance

Shares of NYSE RDDT opened at $218.47 on Friday. Reddit Inc. has a fifty-two week low of $79.75 and a fifty-two week high of $282.95. The company has a market cap of $41.40 billion, a PE ratio of 125.56, a P/E/G ratio of 1.49 and a beta of 2.17. The business has a 50-day simple moving average of $225.46 and a two-hundred day simple moving average of $213.00.

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

Reddit News Roundup

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Guggenheim reaffirmed a “buy” and set a $245 price target, implying meaningful upside from current levels and providing concrete analyst support for the rally. Guggenheim Buy Rating / Benzinga
• Positive Sentiment: A bullish Seeking Alpha note draws parallels between Reddit’s current monetization and early-2012 Facebook, projecting large upside if user and ARPU trends persist — a narrative that fuels long-term growth expectations. Reddit: Parallels To 2012 Facebook
• Positive Sentiment: High-visibility endorsements — notably Jim Cramer saying he “likes the company right here” and articles highlighting reasons investors favor Reddit — are lifting sentiment among retail investors. Jim Cramer Likes Reddit
• Neutral Sentiment: Analyst commentary is shifting: some pieces describe a rewriting of the price-target narrative as new estimates and multipliers are debated — this limits volatility but keeps the stock sensitive to upgrades/downgrades. Shifting Price Target Narrative / Yahoo Finance
• Neutral Sentiment: Valuation checks after recent share swings highlight high P/E and expected EPS growth; these analyses frame upside scenarios but also underline sensitivity to execution and ARPU trajectory. Valuation Check / Yahoo Finance
• Negative Sentiment: Insider selling by COO Jennifer L. Wong (multiple filings showing sizable share disposals) has weighed on sentiment and was cited as a driver of earlier price weakness; investors watch whether sales continue. COO Insider Sale / SEC Filing
• Negative Sentiment: Coverage noting a pullback tied to insider selling (reported ~4.4% drop) underscores short-term downside risk if sentiment flips or if growth guidance disappoints. Stock Down on Insider Selling / American Banking News
• Negative Sentiment: Critical analysis warns Reddit must grow at Meta-like scale to justify rich multiples and notes tougher competitive/monetization challenges, keeping execution risk top of mind for investors. Growth Challenges / Seeking Alpha

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.