Reddit (NYSE:RDDT) Hits New 12-Month High – Time to Buy?

Reddit, Inc. (NYSE:RDDT)’s stock price reached a new 52-week high during trading on Wednesday . The company traded as high as $196.83 and last traded at $194.05, with a volume of 5392908 shares trading hands. The stock had previously closed at $180.83.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on RDDT. Bank of America increased their price objective on shares of Reddit from $99.00 to $180.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 8th. JPMorgan Chase & Co. lifted their price objective on Reddit from $59.00 to $77.00 and gave the stock a “neutral” rating in a research report on Monday, October 7th. Morgan Stanley raised Reddit from an “equal weight” rating to an “overweight” rating and raised their target price for the stock from $70.00 to $200.00 in a research note on Monday, December 9th. Roth Capital downgraded Reddit from a “strong-buy” rating to a “hold” rating in a report on Wednesday, January 22nd. Finally, Robert W. Baird raised their price objective on shares of Reddit from $100.00 to $160.00 and gave the stock a “neutral” rating in a research report on Wednesday, December 11th. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $159.70.

Reddit Price Performance

The business has a 50-day moving average of $166.86 and a 200 day moving average of $106.99.

Reddit (NYSE:RDDT) last posted its earnings results on Tuesday, October 29th. The company reported $0.16 EPS for the quarter, topping the consensus estimate of ($0.07) by $0.23. The firm had revenue of $348.40 million for the quarter, compared to analysts’ expectations of $313.61 million. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. The business’s quarterly revenue was up 67.9% on a year-over-year basis. As a group, equities analysts anticipate that Reddit, Inc. will post -3.48 earnings per share for the current fiscal year.

Insider Activity at Reddit

In related news, CEO Steve Ladd Huffman sold 14,000 shares of the stock in a transaction dated Friday, November 15th. The stock was sold at an average price of $125.98, for a total transaction of $1,763,720.00. Following the sale, the chief executive officer now owns 651,775 shares of the company’s stock, valued at approximately $82,110,614.50. This represents a 2.10 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Benjamin Seong Lee sold 18,519 shares of Reddit stock in a transaction dated Friday, November 22nd. The shares were sold at an average price of $146.06, for a total value of $2,704,885.14. Following the transaction, the insider now directly owns 138,401 shares of the company’s stock, valued at $20,214,850.06. The trade was a 11.80 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 245,357 shares of company stock worth $38,293,668.

Hedge Funds Weigh In On Reddit

Large investors have recently modified their holdings of the company. Ridgewood Investments LLC lifted its stake in Reddit by 100.0% in the 4th 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. purchased a new stake in shares of Reddit in the fourth quarter worth $33,000. Bogart Wealth LLC bought a new stake in Reddit during the fourth quarter valued at $33,000. Allworth Financial LP grew its position in Reddit by 970.0% during the fourth quarter. Allworth Financial LP now owns 214 shares of the company’s stock worth $35,000 after buying an additional 194 shares in the last quarter. Finally, Spire Wealth Management bought a new position in Reddit in the 4th quarter worth about $35,000.

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.