Reddit (NYSE:RDDT) Raised to Strong-Buy at Zacks Research

Reddit (NYSE:RDDT) was upgraded by investment analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued on Monday,Zacks.com reports.

RDDT has been the topic of several other reports. Jefferies Financial Group set a $250.00 price objective on Reddit in a research note on Friday, July 10th. Cantor Fitzgerald reaffirmed a “neutral” rating and issued a $200.00 price target on shares of Reddit in a research note on Monday, July 20th. Loop Capital reiterated a “buy” rating and issued a $260.00 price target on shares of Reddit in a research report on Thursday, June 4th. Citigroup reiterated a “market outperform” rating on shares of Reddit in a research note on Tuesday, May 26th. Finally, Wells Fargo & Company lifted their price objective on Reddit from $176.00 to $187.00 and gave the company an “equal weight” rating in a report on Tuesday, July 7th. One investment analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and eleven have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $232.23.

Reddit Trading Down 0.3%

Shares of NYSE RDDT opened at $178.73 on Monday. The firm has a market capitalization of $34.41 billion, a price-to-earnings ratio of 51.07 and a beta of 1.93. Reddit has a one year low of $119.27 and a one year high of $282.95. The business has a fifty day simple moving average of $175.55 and a 200 day simple moving average of $166.09.

Reddit (NYSE:RDDT) last posted 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. Reddit had a net margin of 28.60% and a return on equity of 25.48%. The firm had revenue of $663.41 million for the quarter, compared to the consensus estimate of $607.74 million. During the same quarter in the previous year, the company earned $0.13 earnings per share. The business’s revenue was up 69.1% compared to the same quarter last year. On average, research analysts anticipate that Reddit will post 4.85 earnings per share for the current fiscal year.

Insider Activity at Reddit

In other Reddit news, CAO Michelle Marie Reynolds sold 808 shares of the stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total transaction of $161,600.00. Following the sale, the chief accounting officer owned 15,060 shares of the company’s stock, valued at $3,012,000. This represents a 5.09% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed 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 firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $178.26, for a total transaction of $3,208,680.00. Following the completion of the sale, the chief executive officer owned 373,814 shares of the company’s stock, valued at $66,636,083.64. The trade was 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. Insiders sold 169,141 shares of company stock valued at $28,680,845 over the last ninety days. 28.48% of the stock is owned by insiders.

Institutional Investors Weigh In On Reddit

A number of institutional investors and hedge funds have recently made changes to their positions in RDDT. Truist Financial Corp grew its stake in shares of Reddit by 67.7% during the fourth quarter. Truist Financial Corp now owns 15,659 shares of the company’s stock worth $3,600,000 after purchasing an additional 6,321 shares during the period. Swiss Life Asset Management Ltd boosted its holdings in Reddit by 63.2% during the fourth quarter. Swiss Life Asset Management Ltd now owns 32,003 shares of the company’s stock worth $7,357,000 after buying an additional 12,398 shares during the last quarter. Calamos Advisors LLC acquired a new position in shares of Reddit during the 4th quarter worth about $2,299,000. Handelsbanken Fonder AB increased its stake in shares of Reddit by 22.9% in the 4th quarter. Handelsbanken Fonder AB now owns 37,000 shares of the company’s stock valued at $8,505,000 after acquiring an additional 6,900 shares during the last quarter. Finally, Berkshire Capital Holdings Inc. raised its position in shares of Reddit by 326,400.0% in the 4th quarter. Berkshire Capital Holdings Inc. now owns 32,650 shares of the company’s stock valued at $7,505,000 after acquiring an additional 32,640 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.