Reddit (NYSE:RDDT) Stock Rating Reaffirmed as "Buy" by Needham & Company LLC

Reddit (NYSE:RDDT - Get Free Report)'s stock had its "buy" rating reaffirmed by research analysts at Needham & Company LLC in a research report issued to clients and investors on Friday, Benzinga reports. They presently have a $300.00 price target on the stock. Needham & Company LLC's price target would indicate a potential upside of 86.31% from the stock's current price.

A number of other research analysts have also recently weighed in on the stock. Wedbush reduced their price target on shares of Reddit from $250.00 to $221.00 and set an "outperform" rating on the stock in a research report on Friday, July 31st. Deutsche Bank Aktiengesellschaft set a $200.00 price objective on shares of Reddit in a research note on Friday, July 31st. Raymond James Financial reissued a "strong-buy" rating and set a $205.00 price objective on shares of Reddit in a report on Monday, August 17th. Zacks Research lowered Reddit from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 25th. Finally, KeyCorp started coverage on Reddit in a research note on Wednesday, July 29th. They issued an "overweight" rating and a $225.00 target price on the stock. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and ten have given a Hold rating to the stock. According to MarketBeat, Reddit presently has a consensus rating of "Moderate Buy" and a consensus price target of $219.29.

Reddit Stock Performance

Shares of NYSE:RDDT opened at $161.03 on Friday. The firm has a market cap of $30.98 billion, a PE ratio of 37.53, a price-to-earnings-growth ratio of 0.71 and a beta of 2.05. Reddit has a one year low of $119.27 and a one year high of $263.50. The firm's 50 day simple moving average is $153.93 and its 200-day simple moving average is $160.61.

Reddit (NYSE:RDDT - Get Free Report) last announced its earnings results on Thursday, July 30th. The company reported $1.25 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.95 by $0.30. Reddit had a return on equity of 29.02% and a net margin of 31.35%.The firm had revenue of $804.91 million for the quarter, compared to analyst estimates of $731.00 million. During the same quarter last year, the firm posted $0.45 EPS. The business's revenue was up 61.0% on a year-over-year basis. Equities research analysts predict that Reddit will post 5.27 EPS for the current fiscal year.

Insider Transactions at Reddit

In related news, Director Robert A. Sauerberg sold 5,128 shares of the stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $159.92, for a total value of $820,069.76. Following the transaction, the director owned 27,087 shares of the company's stock, valued at $4,331,753.04. This represents a 15.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Jennifer L. Wong sold 75,000 shares of the firm's stock in a transaction on Friday, August 14th. The stock was sold at an average price of $178.55, for a total value of $13,391,250.00. Following the completion of the transaction, the chief operating officer owned 1,050,339 shares of the company's stock, valued at $187,538,028.45. This trade represents a 6.66% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 228,744 shares of company stock valued at $37,976,994. Corporate insiders own 28.48% of the company's stock.

Hedge Funds Weigh In On Reddit

Several large investors have recently bought and sold shares of the stock. Evansbrook LLC boosted its holdings in Reddit by 2.2% in the 1st quarter. Evansbrook LLC now owns 2,736 shares of the company's stock valued at $368,000 after purchasing an additional 59 shares during the period. Signaturefd LLC lifted its position in shares of Reddit by 7.6% in the second quarter. Signaturefd LLC now owns 878 shares of the company's stock worth $152,000 after purchasing an additional 62 shares in the last quarter. EverSource Wealth Advisors LLC increased its holdings in Reddit by 48.1% during the second quarter. EverSource Wealth Advisors LLC now owns 197 shares of the company's stock worth $34,000 after buying an additional 64 shares during the last quarter. Diversified Trust Co boosted its position in shares of Reddit by 2.1% in the first quarter. Diversified Trust Co now owns 3,271 shares of the company's stock valued at $440,000 after acquiring an additional 68 shares during the period. Finally, Versant Capital Management Inc lifted its position in Reddit by 31.1% during the second quarter. Versant Capital Management Inc now owns 291 shares of the company's stock worth $51,000 after purchasing an additional 69 shares during the period.

About Reddit

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and experiences. Registered users can submit posts, images, videos and links, while other users can comment, vote on content and engage in discussions. The platform comprises thousands of independently moderated communities, commonly known as subreddits.

Reddit generates revenue primarily through digital advertising and other commercial offerings for businesses.