Ardmore Road Asset Management LP Invests $18.88 Million in Reddit Inc. $RDDT

Key Points

• Ardmore Road Asset Management LP acquired a new stake in Reddit Inc., purchasing 180,000 shares valued at approximately $18.88 million, making Reddit 1.9% of their portfolio.
• Insider sales at Reddit included CEO Steve Ladd Huffman selling 14,000 shares at $244.70 each, resulting in a 2.57% decrease in his ownership of the company.
• Wall Street analysts have positively rated Reddit's stock, with target prices ranging from $165 to $225 and a consensus rating of "Moderate Buy."

Ardmore Road Asset Management LP purchased a new position in Reddit Inc. (NYSE:RDDT - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 180,000 shares of the company's stock, valued at approximately $18,882,000. Reddit comprises about 1.9% of Ardmore Road Asset Management LP's holdings, making the stock its 23rd largest holding. Ardmore Road Asset Management LP owned about 0.10% of Reddit at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently made changes to their positions in the business. Magnetar Financial LLC bought a new position in shares of Reddit during the 1st quarter valued at $204,000. Canada Pension Plan Investment Board bought a new position in shares of Reddit during the 1st quarter valued at $17,529,000. WPG Advisers LLC bought a new position in shares of Reddit during the 1st quarter valued at $74,000. Siren L.L.C. bought a new position in shares of Reddit during the 1st quarter valued at $2,465,000. Finally, OMERS ADMINISTRATION Corp grew its holdings in shares of Reddit by 90.9% during the 1st quarter. OMERS ADMINISTRATION Corp now owns 4,200 shares of the company's stock valued at $441,000 after purchasing an additional 2,000 shares during the last quarter.

Wall Street Analysts Forecast Growth

RDDT has been the topic of several recent research reports. Wolfe Research raised shares of Reddit to an "outperform" rating in a report on Sunday, August 3rd. Bank of America increased their price target on shares of Reddit from $130.00 to $150.00 and gave the company a "neutral" rating in a research report on Wednesday, July 30th. Needham & Company LLC increased their price target on shares of Reddit from $165.00 to $215.00 and gave the company a "buy" rating in a research report on Friday, August 1st. Royal Bank Of Canada reissued a "sector perform" rating and set a $210.00 price target on shares of Reddit in a research report on Friday, August 22nd. Finally, Roth Capital increased their price target on shares of Reddit from $130.00 to $145.00 and gave the company a "neutral" rating in a research report on Monday, July 21st. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Reddit presently has an average rating of "Moderate Buy" and a consensus price target of $175.38.

Reddit Stock Up 1.5%

Shares of NYSE:RDDT traded up $3.19 on Wednesday, hitting $223.25. The company had a trading volume of 8,348,362 shares, compared to its average volume of 7,796,848. The firm's 50-day simple moving average is $181.62 and its two-hundred day simple moving average is $141.96. The firm has a market capitalization of $41.78 billion, a price-to-earnings ratio of 202.96, a P/E/G ratio of 3.57 and a beta of 2.40. Reddit Inc. has a 1 year low of $55.25 and a 1 year high of $253.14.

Reddit (NYSE:RDDT - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The company reported $0.45 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.20 by $0.25. The company had revenue of $499.63 million during the quarter, compared to analyst estimates of $424.07 million. Reddit had a net margin of 12.97% and a return on equity of 9.93%. Reddit's quarterly revenue was up 77.9% compared to the same quarter last year. During the same period last year, the business earned ($0.06) EPS. Reddit has set its Q3 2025 guidance at EPS. Equities research analysts anticipate that Reddit Inc. will post 1.12 EPS for the current year.

Insider Buying and Selling at Reddit

In other Reddit news, CAO Michelle Marie Reynolds sold 3,214 shares of the firm's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $217.69, for a total transaction of $699,655.66. Following the completion of the sale, the chief accounting officer directly owned 28,088 shares in the company, valued at approximately $6,114,476.72. This trade represents a 10.27% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CTO Christopher Brian Slowe sold 10,000 shares of the firm's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $220.25, for a total transaction of $2,202,500.00. Following the sale, the chief technology officer owned 212,534 shares of the company's stock, valued at approximately $46,810,613.50. This represents a 4.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 468,777 shares of company stock worth $78,225,996 in the last 90 days. Insiders own 34.25% of the company's stock.

Reddit 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.