Reddit (NYSE:RDDT) Trading Up 4.7% - Should You Buy?

Reddit, Inc. (NYSE:RDDT - Get Free Report) shares rose 4.7% on Friday . The stock traded as high as $113.88 and last traded at $113.84. Approximately 2,302,489 shares changed hands during mid-day trading, a decline of 60% from the average daily volume of 5,711,939 shares. The stock had previously closed at $108.75.

Analyst Ratings Changes

A number of research firms have recently issued reports on RDDT. JPMorgan Chase & Co. increased their price objective on shares of Reddit from $142.00 to $185.00 and gave the stock a "neutral" rating in a research report on Thursday, February 13th. Bank of America increased their price target on Reddit from $180.00 to $190.00 and gave the stock a "neutral" rating in a report on Thursday, February 13th. Morgan Stanley boosted their price objective on Reddit from $200.00 to $210.00 and gave the company an "overweight" rating in a report on Thursday, February 13th. Piper Sandler increased their target price on Reddit from $210.00 to $220.00 and gave the stock an "overweight" rating in a report on Friday, February 21st. Finally, The Goldman Sachs Group lifted their price target on shares of Reddit from $105.00 to $176.00 and gave the company a "neutral" rating in a research report on Tuesday, January 14th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating, eleven have given a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $162.68.

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Reddit Stock Down 2.0 %

The company has a market cap of $22.14 billion and a P/E ratio of -15.86. The company's 50-day moving average is $170.39 and its two-hundred day moving average is $136.18.

Reddit (NYSE:RDDT - Get Free Report) last released its earnings results on Wednesday, February 12th. The company reported $0.36 earnings per share for the quarter, beating analysts' consensus estimates of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%. On average, analysts anticipate that Reddit, Inc. will post 1.12 EPS for the current fiscal year.

Insider Transactions at Reddit

In related news, COO Jennifer L. Wong sold 33,333 shares of the business's stock in a transaction on Monday, March 17th. The stock was sold at an average price of $125.22, for a total transaction of $4,173,958.26. Following the sale, the chief operating officer now directly owns 1,466,119 shares in the company, valued at approximately $183,587,421.18. The trade was a 2.22 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director David C. Habiger bought 774 shares of the business's stock in a transaction on Wednesday, March 12th. The stock was bought at an average price of $130.36 per share, with a total value of $100,898.64. Following the purchase, the director now owns 30,808 shares in the company, valued at $4,016,130.88. This trade represents a 2.58 % increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last 90 days, insiders sold 492,794 shares of company stock worth $76,482,524.

Hedge Funds Weigh In On Reddit

Several hedge funds have recently bought and sold shares of RDDT. FMR LLC boosted its stake in Reddit by 302.8% during the third quarter. FMR LLC now owns 12,157,591 shares of the company's stock valued at $801,428,000 after buying an additional 9,139,196 shares during the period. Vanguard Group Inc. boosted its position in shares of Reddit by 184.2% during the 4th quarter. Vanguard Group Inc. now owns 9,181,390 shares of the company's stock valued at $1,500,606,000 after acquiring an additional 5,950,909 shares during the last quarter. Jennison Associates LLC bought a new position in shares of Reddit in the fourth quarter worth approximately $494,861,000. Alliancebernstein L.P. raised its stake in Reddit by 1,011.1% in the fourth quarter. Alliancebernstein L.P. now owns 2,788,758 shares of the company's stock valued at $455,795,000 after purchasing an additional 2,537,768 shares in the last quarter. Finally, Point72 Asset Management L.P. lifted its position in Reddit by 3,172.0% during the third quarter. Point72 Asset Management L.P. now owns 2,296,068 shares of the company's stock valued at $151,357,000 after purchasing an additional 2,225,895 shares during the last quarter.

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.