Andra AP fonden Sells 89,600 Shares of Reddit Inc. $RDDT

Key Points

• Andra AP fonden cut its Reddit stake by 52.1% in the second quarter, selling 89,600 shares and retaining 82,500 shares valued at approximately $14.32 million.
• Reddit reported stronger-than-expected quarterly results, with EPS of $1.25 versus the $0.95 consensus and revenue of $804.91 million, up 61% year over year.
• RDDT shares opened at $155.46, while analysts maintained a broadly positive outlook: the stock carries a consensus “Moderate Buy” rating and an average price target of $219.29. CEO Steve Huffman and other insiders have also sold shares under pre-arranged trading plans.

Andra AP fonden trimmed its position in shares of Reddit Inc. (NYSE:RDDT - Free Report) by 52.1% during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 82,500 shares of the company's stock after selling 89,600 shares during the quarter. Andra AP fonden's holdings in Reddit were worth $14,320,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also recently modified their holdings of RDDT. Sunbelt Securities Inc. raised its stake in shares of Reddit by 87.5% in the first quarter. Sunbelt Securities Inc. now owns 195 shares of the company's stock worth $26,000 after buying an additional 91 shares during the period. Ascentis Independent Advisors purchased a new position in Reddit during the first quarter valued at approximately $30,000. EverSource Wealth Advisors LLC boosted its position in shares of Reddit by 48.1% in the second quarter. EverSource Wealth Advisors LLC now owns 197 shares of the company's stock worth $34,000 after purchasing an additional 64 shares during the period. Beacon Investment Advisory Services Inc. bought a new position in shares of Reddit in the second quarter worth approximately $35,000. Finally, V Square Quantitative Management LLC purchased a new stake in shares of Reddit in the first quarter worth $43,000.

Reddit Trading Down 2.1%

Shares of NYSE:RDDT opened at $155.46 on Wednesday. Reddit Inc. has a 12 month low of $119.27 and a 12 month high of $263.50. The company has a 50-day moving average price of $161.20 and a 200 day moving average price of $159.69. The company has a market cap of $29.91 billion, a price-to-earnings ratio of 36.15, a PEG ratio of 0.73 and a beta of 2.02.

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

Insiders Place Their Bets

In related news, CEO Steve Huffman sold 17,308 shares of the firm's stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $160.11, for a total value of $2,771,183.88. Following the transaction, the chief executive officer owned 336,432 shares of the company's stock, valued at $53,866,127.52. This trade represents a 4.89% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Michelle Reynolds sold 808 shares of Reddit stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total transaction of $161,600.00. Following the sale, the chief accounting officer owned 15,060 shares of the company's stock, valued at $3,012,000. The trade was a 5.09% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 230,244 shares of company stock valued at $38,747,524 in the last three months. 28.48% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on the company. Sanford C. Bernstein reiterated a "market perform" rating and issued a $180.00 price target on shares of Reddit in a research note on Friday, July 31st. Truist Financial boosted their price objective on Reddit from $265.00 to $275.00 and gave the company a "buy" rating in a research report on Friday, July 31st. Robert W. Baird set a $185.00 price objective on Reddit in a research note on Friday, July 31st. JPMorgan Chase & Co. cut their target price on Reddit from $200.00 to $185.00 and set a "neutral" rating for the company in a research report on Friday, July 31st. Finally, Jefferies Financial Group set a $250.00 target price on Reddit in a research note on Friday, July 10th. Two analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and twelve have assigned a Hold rating to the company. According to data from MarketBeat.com, Reddit presently has a consensus rating of "Moderate Buy" and an average price target of $219.29.

About Reddit

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and discussions. Users can submit posts, links, images and videos, while community members can comment, vote and interact through publicly accessible forums known as subreddits.

The company generates revenue primarily through digital advertising and also offers premium memberships and other paid products. Reddit additionally provides data licensing and developer-related services that support the use of its platform content and technology.

Founded in 2005 by Steve Huffman, Alexis Ohanian and Aaron Swartz, Reddit serves users worldwide across a broad range of communities.

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