B. Riley Issues Optimistic Estimate for Reddit Earnings

Reddit, Inc. (NYSE:RDDT - Free Report) - Investment analysts at B. Riley increased their Q2 2025 EPS estimates for Reddit in a research note issued to investors on Thursday, February 13th. B. Riley analyst N. Khan now expects that the company will post earnings per share of $0.18 for the quarter, up from their previous estimate of $0.12. B. Riley currently has a "Buy" rating and a $187.00 target price on the stock. The consensus estimate for Reddit's current full-year earnings is ($3.45) per share. B. Riley also issued estimates for Reddit's Q4 2025 earnings at $0.52 EPS and FY2026 earnings at $1.74 EPS.

Several other research firms have also recently weighed in on RDDT. Guggenheim initiated coverage on Reddit in a research note on Friday, December 20th. They issued a "buy" rating and a $210.00 price target for the company. Roth Capital cut shares of Reddit from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, January 22nd. Morgan Stanley raised their price target on shares of Reddit from $200.00 to $210.00 and gave the company an "overweight" rating in a report on Thursday. Raymond James boosted their price objective on shares of Reddit from $200.00 to $250.00 and gave the company a "strong-buy" rating in a report on Monday, February 10th. Finally, The Goldman Sachs Group raised their target price on shares of Reddit from $105.00 to $176.00 and gave the stock a "neutral" rating in a report on Tuesday, January 14th. One research analyst has rated the stock with a sell rating, eight have given a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, Reddit currently has an average rating of "Moderate Buy" and an average price target of $175.45.

Reddit Stock Performance

RDDT stock traded down $8.58 during midday trading on Friday, hitting $196.37. The company's stock had a trading volume of 8,409,200 shares, compared to its average volume of 4,349,991. The firm's 50-day moving average is $182.33 and its 200-day moving average is $119.69. Reddit has a 12 month low of $37.35 and a 12 month high of $230.41.

Reddit (NYSE:RDDT - Get Free Report) last issued its 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 net margin of 47.83% and a negative return on equity of 40.54%.

Insider Activity at Reddit

In other Reddit news, COO Jennifer L. Wong sold 33,333 shares of the business's stock in a transaction on Monday, December 16th. The shares were sold at an average price of $176.23, for a total transaction of $5,874,274.59. Following the transaction, the chief operating officer now owns 1,504,297 shares in the company, valued at $265,102,260.31. The trade was a 2.17 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Steve Ladd Huffman sold 14,000 shares of the firm's stock in a transaction dated Friday, November 29th. The stock was sold at an average price of $141.79, for a total transaction of $1,985,060.00. Following the completion of the sale, the chief executive officer now owns 634,971 shares of the company's stock, valued at $90,032,538.09. This trade represents a 2.16 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 212,024 shares of company stock worth $35,086,431.

Hedge Funds Weigh In On Reddit

Hedge funds have recently added to or reduced their stakes in the company. FMR LLC boosted its position in shares of Reddit by 7.5% during the fourth quarter. FMR LLC now owns 13,070,780 shares of the company's stock valued at $2,136,288,000 after buying an additional 913,189 shares during the period. Vanguard Group Inc. lifted its stake 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 worth $1,500,606,000 after acquiring an additional 5,950,909 shares during the last quarter. Jennison Associates LLC purchased a new position in Reddit during the 4th quarter valued at $494,861,000. Holocene Advisors LP grew its position in Reddit by 177.6% in the 3rd quarter. Holocene Advisors LP now owns 3,005,977 shares of the company's stock valued at $198,154,000 after acquiring an additional 1,923,109 shares during the last quarter. Finally, Alliancebernstein L.P. increased 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 worth $455,795,000 after purchasing an additional 2,537,768 shares during the period.

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.