Roth Capital Has Positive Outlook for Reddit FY2024 Earnings

Reddit, Inc. (NYSE:RDDT) – Roth Capital increased their FY2024 earnings per share estimates for Reddit in a report released on Wednesday, January 22nd. Roth Capital analyst R. Kulkarni now forecasts that the company will post earnings of ($3.48) per share for the year, up from their prior forecast of ($3.60). Roth Capital currently has a “Hold” rating on the stock. The consensus estimate for Reddit’s current full-year earnings is ($3.48) per share. Roth Capital also issued estimates for Reddit’s Q4 2024 earnings at $0.31 EPS, Q1 2025 earnings at ($0.02) EPS, Q2 2025 earnings at $0.08 EPS, Q3 2025 earnings at $0.29 EPS, Q4 2025 earnings at $0.57 EPS, FY2025 earnings at $0.94 EPS and FY2026 earnings at $2.22 EPS.

A number of other analysts also recently commented on the company. Raymond James raised their price objective on Reddit from $150.00 to $200.00 and gave the stock a “strong-buy” rating in a research report on Tuesday. Wells Fargo & Company assumed coverage on shares of Reddit in a research note on Wednesday, December 11th. They set an “overweight” rating and a $206.00 price target on the stock. The Goldman Sachs Group increased their price objective on shares of Reddit from $105.00 to $176.00 and gave the company a “neutral” rating in a research note on Tuesday, January 14th. Guggenheim assumed coverage on shares of Reddit in a report on Friday, December 20th. They set a “buy” rating and a $210.00 price objective for the company. Finally, Robert W. Baird upped their target price on shares of Reddit from $100.00 to $160.00 and gave the company a “neutral” rating in a research note on Wednesday, December 11th. One research analyst has rated the stock with a sell rating, seven have given a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $158.20.

Reddit Trading Down 1.2 %

NYSE RDDT opened at $181.55 on Friday. Reddit has a twelve month low of $37.35 and a twelve month high of $191.00. The firm has a 50-day simple moving average of $161.24 and a 200 day simple moving average of $102.91.

Reddit (NYSE:RDDT) last issued its quarterly earnings results on Tuesday, October 29th. The company reported $0.16 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.23. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. The firm had revenue of $348.40 million during the quarter, compared to the consensus estimate of $313.61 million. The firm’s revenue for the quarter was up 67.9% on a year-over-year basis.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Ridgewood Investments LLC raised its stake in shares of Reddit by 100.0% during the fourth quarter. Ridgewood Investments LLC now owns 200 shares of the company’s stock worth $33,000 after buying an additional 100 shares during the last quarter. Whittier Trust Co. acquired a new position in shares of Reddit in the 3rd quarter valued at $42,000. Blue Trust Inc. bought a new position in shares of Reddit in the 4th quarter worth $59,000. New Wave Wealth Advisors LLC acquired a new stake in shares of Reddit during the fourth quarter worth $69,000. Finally, Daiwa Securities Group Inc. bought a new stake in Reddit in the third quarter valued at about $85,000.

Insiders Place Their Bets

In other news, COO Jennifer L. Wong sold 33,333 shares of the company’s stock in a transaction on Monday, December 16th. The stock was sold at an average price of $176.23, for a total transaction of $5,874,274.59. Following the transaction, the chief operating officer now owns 1,504,297 shares of the company’s stock, valued at $265,102,260.31. This represents a 2.17 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Mary Porter Gale sold 5,000 shares of the firm’s stock in a transaction dated Friday, November 1st. The shares were sold at an average price of $114.40, for a total value of $572,000.00. Following the completion of the transaction, the director now owns 46,459 shares in the company, valued at approximately $5,314,909.60. This represents a 9.72 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 259,357 shares of company stock valued at $39,528,738 in the last 90 days.

Reddit Company Profile

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.