Reddit (NYSE:RDDT) Price Target Cut to $175.00 by Analysts at Bank of America

Reddit (NYSE:RDDT) had its target price lowered by Bank of America from $205.00 to $175.00 in a note issued to investors on Thursday,Benzinga reports. The firm currently has a “neutral” rating on the stock. Bank of America‘s price target would indicate a potential upside of 28.29% from the stock’s current price.

Several other research firms have also commented on RDDT. Jefferies Financial Group decreased their price objective on shares of Reddit from $285.00 to $250.00 and set a “buy” rating for the company in a research note on Tuesday, March 10th. The Goldman Sachs Group dropped their price objective on shares of Reddit from $236.00 to $206.00 and set a “neutral” rating on the stock in a report on Friday, February 6th. Robert W. Baird set a $200.00 target price on Reddit in a research report on Friday, February 6th. Morgan Stanley set a $240.00 price objective on Reddit in a research note on Friday, February 6th. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of Reddit in a research note on Monday, December 29th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and eleven have issued a Hold rating to the stock. According to data from MarketBeat.com, Reddit has an average rating of “Moderate Buy” and a consensus target price of $240.85.

Reddit Stock Performance

Shares of RDDT opened at $136.41 on Thursday. The business’s 50 day moving average price is $150.24 and its two-hundred day moving average price is $195.96. The firm has a market cap of $26.06 billion, a PE ratio of 52.07, a price-to-earnings-growth ratio of 0.98 and a beta of 2.39. Reddit has a 52-week low of $79.75 and a 52-week high of $282.95.

Reddit (NYSE:RDDT) last issued its earnings results on Thursday, February 5th. The company reported $1.24 EPS for the quarter, beating analysts’ consensus estimates of $0.96 by $0.28. Reddit had a return on equity of 20.89% and a net margin of 24.05%.The business had revenue of $725.61 million during the quarter, compared to analyst estimates of $665.80 million. During the same period in the previous year, the company posted $0.36 EPS. The firm’s revenue was up 69.7% compared to the same quarter last year. Research analysts predict that Reddit will post 1.12 EPS for the current fiscal year.

Insider Buying and Selling at Reddit

In other news, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction dated Thursday, January 15th. The shares were sold at an average price of $232.78, for a total value of $4,190,040.00. Following the completion of the sale, the chief executive officer directly owned 448,576 shares of the company’s stock, valued at approximately $104,419,521.28. This trade represents a 3.86% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Benjamin Seong Lee sold 27,930 shares of the company’s stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $260.08, for a total value of $7,264,034.40. Following the completion of the sale, the insider directly owned 62,608 shares in the company, valued at approximately $16,283,088.64. The trade was a 30.85% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders purchased 61,000 shares of company stock worth $8,870,815 and sold 337,078 shares worth $61,254,343. 34.25% of the stock is owned by insiders.

Institutional Trading of Reddit

A number of institutional investors and hedge funds have recently bought and sold shares of RDDT. Vanguard Group Inc. increased its holdings in Reddit by 8.9% in the 4th quarter. Vanguard Group Inc. now owns 13,322,048 shares of the company’s stock worth $3,062,339,000 after buying an additional 1,083,540 shares in the last quarter. Capital World Investors bought a new position in Reddit in the fourth quarter worth approximately $1,293,258,000. State Street Corp increased its stake in shares of Reddit by 6.0% in the 4th quarter. State Street Corp now owns 2,631,332 shares of the company’s stock worth $604,864,000 after purchasing an additional 149,401 shares in the last quarter. Geode Capital Management LLC raised its stake in shares of Reddit by 4.7% in the fourth quarter. Geode Capital Management LLC now owns 2,382,712 shares of the company’s stock worth $546,789,000 after buying an additional 106,821 shares during the period. Finally, Morgan Stanley raised its stake in Reddit by 11.4% during the 4th quarter. Morgan Stanley now owns 2,372,443 shares of the company’s stock worth $545,354,000 after acquiring an additional 242,709 shares during the period.

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.