Reddit (NYSE:RDDT) Trading Down 8.6% – Here’s What Happened

Reddit, Inc. (NYSE:RDDT)’s stock price was down 8.6% during mid-day trading on Thursday . The company traded as low as $172.20 and last traded at $173.43. Approximately 5,745,156 shares traded hands during mid-day trading, a decline of 0% from the average daily volume of 5,750,339 shares. The stock had previously closed at $189.66.

Analysts Set New Price Targets

A number of research analysts recently weighed in on the company. Roth Mkm downgraded Reddit from a “buy” rating to a “neutral” rating and raised their price objective for the company from $116.00 to $195.00 in a research note on Wednesday, January 22nd. Jefferies Financial Group upped their target price on shares of Reddit from $120.00 to $175.00 and gave the stock a “buy” rating in a report on Monday, November 25th. Wells Fargo & Company boosted their price objective on shares of Reddit from $206.00 to $215.00 and gave the stock an “overweight” rating in a research report on Thursday, February 13th. The Goldman Sachs Group increased their price target on Reddit from $105.00 to $176.00 and gave the company a “neutral” rating in a research note on Tuesday, January 14th. Finally, JPMorgan Chase & Co. lifted their price target 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. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $175.45.

Reddit Stock Down 9.6 %

The firm has a fifty day moving average of $184.02 and a 200-day moving average of $122.04. The firm has a market cap of $30.09 billion and a P/E ratio of -22.22.

Reddit (NYSE:RDDT) last announced its quarterly earnings data on Wednesday, February 12th. The company reported $0.36 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.12. Reddit had a negative return on equity of 24.71% and a negative net margin of 37.25%. On average, equities analysts forecast that Reddit, Inc. will post 1.12 EPS for the current year.

Insider Buying and Selling at Reddit

In other news, CEO Steve Ladd Huffman sold 14,000 shares of the stock in a transaction dated Friday, January 31st. The stock was sold at an average price of $201.96, for a total value of $2,827,440.00. Following the completion of the sale, the chief executive officer now owns 614,394 shares of the company’s stock, valued at approximately $124,083,012.24. This represents a 2.23 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CFO Andrew Vollero sold 19,838 shares of Reddit stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $143.22, for a total value of $2,841,198.36. Following the completion of the transaction, the chief financial officer now directly owns 703,615 shares in the company, valued at approximately $100,771,740.30. This represents a 2.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 212,024 shares of company stock worth $35,086,431.

Hedge Funds Weigh In On Reddit

A number of hedge funds have recently bought and sold shares of the company. Plato Investment Management Ltd acquired a new stake in Reddit during the 4th quarter worth about $27,000. EverSource Wealth Advisors LLC acquired a new stake in Reddit during the fourth quarter worth approximately $28,000. Ridgewood Investments LLC increased its holdings in Reddit by 100.0% in the fourth quarter. Ridgewood Investments LLC now owns 200 shares of the company’s stock worth $33,000 after purchasing an additional 100 shares in the last quarter. Farmers & Merchants Investments Inc. acquired a new position in Reddit in the fourth quarter valued at approximately $33,000. Finally, Bogart Wealth LLC bought a new position in shares of Reddit during the 4th quarter worth approximately $33,000.

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.