Reddit (NYSE:RDDT) Upgraded by Zacks Research to Strong-Buy Rating

Zacks Research upgraded shares of Reddit (NYSE:RDDT) from a hold rating to a strong-buy rating in a research report released on Monday,Zacks.com reports.

A number of other brokerages have also commented on RDDT. Jefferies Financial Group set a $250.00 price objective on shares of Reddit in a research report on Friday, July 10th. Truist Financial set a $265.00 target price on shares of Reddit in a research report on Friday, May 1st. Cantor Fitzgerald reiterated a “neutral” rating and issued a $200.00 price target on shares of Reddit in a research note on Monday, July 20th. Wedbush reissued an “outperform” rating on shares of Reddit in a research report on Thursday, July 23rd. Finally, Raymond James Financial set a $180.00 price objective on shares of Reddit and gave the stock a “market perform” rating in a research note on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and eleven have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $232.23.

Reddit Stock Performance

Shares of Reddit stock opened at $178.73 on Monday. The firm has a market cap of $34.41 billion, a PE ratio of 51.07 and a beta of 1.93. The business’s 50 day simple moving average is $175.55 and its 200 day simple moving average is $166.09. Reddit has a 52-week low of $119.27 and a 52-week high of $282.95.

Reddit (NYSE:RDDT) last released its quarterly earnings results on Thursday, April 30th. The company reported $1.01 earnings per share for the quarter, topping analysts’ consensus estimates of $0.62 by $0.39. The firm had revenue of $663.41 million during the quarter, compared to the consensus estimate of $607.74 million. Reddit had a return on equity of 25.48% and a net margin of 28.60%.The business’s revenue was up 69.1% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.13 EPS. As a group, equities research analysts predict that Reddit will post 4.85 EPS for the current year.

Insider Activity

In related news, CAO Michelle Marie Reynolds sold 808 shares of the business’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total transaction of $161,600.00. Following the transaction, the chief accounting officer directly owned 15,060 shares in the company, valued at approximately $3,012,000. The trade was a 5.09% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Ladd Huffman sold 18,000 shares of the stock in a transaction on Tuesday, June 30th. The shares were sold at an average price of $173.13, for a total transaction of $3,116,340.00. Following the completion of the sale, the chief executive officer owned 373,814 shares of the company’s stock, valued at approximately $64,718,417.82. This represents a 4.59% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 169,141 shares of company stock valued at $28,680,845. 28.48% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the company. NewEdge Advisors LLC grew its holdings in Reddit by 143.3% during the first 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 acquired a new stake in shares of Reddit in the first quarter valued at approximately $213,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in shares of Reddit by 106.3% during the 1st 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 acquiring an additional 111,780 shares during the period. Focus Partners Wealth boosted its stake in shares of Reddit by 40.8% during the 1st quarter. Focus Partners Wealth now owns 10,224 shares of the company’s stock worth $1,073,000 after acquiring an additional 2,965 shares during the period. Finally, Geneos Wealth Management Inc. increased its holdings in shares of Reddit by 344.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 369 shares of the company’s stock worth $39,000 after acquiring an additional 286 shares during the last quarter.

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.