Reddit (NYSE:RDDT) Trading 4.5% Higher - Here's Why

Reddit, Inc. (NYSE:RDDT - Get Free Report) shares rose 4.5% on Monday . The stock traded as high as $97.00 and last traded at $90.82. Approximately 6,829,827 shares changed hands during mid-day trading, an increase of 27% from the average daily volume of 5,382,656 shares. The stock had previously closed at $86.91.

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on RDDT shares. JMP Securities set a $155.00 price objective on shares of Reddit in a report on Friday, March 28th. Morgan Stanley upped their price target on shares of Reddit from $200.00 to $210.00 and gave the company an "overweight" rating in a research note on Thursday, February 13th. B. Riley lifted their price objective on shares of Reddit from $112.00 to $187.00 and gave the company a "buy" rating in a research note on Tuesday, January 14th. Truist Financial assumed coverage on Reddit in a research report on Monday. They set a "buy" rating and a $150.00 target price on the stock. Finally, Piper Sandler reduced their price target on Reddit from $220.00 to $140.00 and set an "overweight" rating for the company in a research report on Thursday. Two analysts have rated the stock with a sell rating, seven have given a hold rating, thirteen have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, Reddit presently has an average rating of "Moderate Buy" and a consensus target price of $151.73.

Reddit Price Performance

The stock has a 50 day simple moving average of $143.88 and a 200-day simple moving average of $139.85. The firm has a market cap of $18.27 billion and a PE ratio of -13.07.

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Reddit (NYSE:RDDT - Get Free Report) last posted its quarterly earnings results on Wednesday, February 12th. The company reported $0.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.24 by $0.12. Reddit had a negative return on equity of 24.71% and a negative net margin of 37.25%. As a group, equities analysts predict that Reddit, Inc. will post 1.12 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, COO Jennifer L. Wong sold 33,334 shares of the stock in a transaction on Thursday, January 16th. The stock was sold at an average price of $173.93, for a total transaction of $5,797,782.62. Following the sale, the chief operating officer now directly owns 1,504,297 shares of the company's stock, valued at $261,642,377.21. This trade represents a 2.17 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Steve Ladd Huffman sold 14,000 shares of Reddit stock in a transaction dated Monday, March 31st. The stock was sold at an average price of $103.28, for a total value of $1,445,920.00. Following the completion of the sale, the chief executive officer now owns 577,013 shares of the company's stock, valued at $59,593,902.64. The trade was a 2.37 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 603,794 shares of company stock valued at $89,386,704.

Institutional Trading of Reddit

A number of institutional investors have recently made changes to their positions in RDDT. Renaissance Capital LLC raised its holdings in shares of Reddit by 10.9% during the first quarter. Renaissance Capital LLC now owns 34,636 shares of the company's stock valued at $3,633,000 after purchasing an additional 3,400 shares during the last quarter. SeaCrest Wealth Management LLC lifted its holdings in shares of Reddit by 16.7% during the 1st quarter. SeaCrest Wealth Management LLC now owns 2,475 shares of the company's stock valued at $260,000 after buying an additional 354 shares during the period. Boltwood Capital Management purchased a new position in shares of Reddit in the 1st quarter worth $1,256,000. Rhumbline Advisers grew its holdings in shares of Reddit by 202.7% in the first quarter. Rhumbline Advisers now owns 13,682 shares of the company's stock worth $1,435,000 after acquiring an additional 9,162 shares during the period. Finally, AdvisorNet Financial Inc increased its position in Reddit by 94.0% during the first quarter. AdvisorNet Financial Inc now owns 1,321 shares of the company's stock valued at $139,000 after acquiring an additional 640 shares during the last quarter.

About Reddit

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.