Bienville Capital Management LLC Buys 79,867 Shares of Reddit Inc. $RDDT

Key Points

• Bienville Capital Management increased its Reddit stake by 494.4% in the second quarter, purchasing 79,867 additional shares for a total of 96,020 shares valued at approximately $16.7 million.
• Analyst sentiment remains positive overall, with Reddit holding a consensus “Moderate Buy” rating and an average price target of $221.10, despite several analysts recently lowering their targets.
• Reddit exceeded quarterly expectations, reporting $1.25 in earnings per share and $804.91 million in revenue, up 61% year over year. However, company insiders sold 210,102 shares worth approximately $36.4 million during the last quarter.

Bienville Capital Management LLC raised its stake in shares of Reddit Inc. (NYSE:RDDT - Free Report) by 494.4% in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 96,020 shares of the company's stock after buying an additional 79,867 shares during the quarter. Reddit comprises 2.2% of Bienville Capital Management LLC's portfolio, making the stock its 13th largest holding. Bienville Capital Management LLC's holdings in Reddit were worth $16,667,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. NewEdge Advisors LLC grew its stake in Reddit by 143.3% during the first quarter. NewEdge Advisors LLC now owns 7,982 shares of the company's stock valued at $837,000 after acquiring an additional 4,701 shares in the last quarter. Empowered Funds LLC purchased a new stake in Reddit in the 1st quarter worth approximately $213,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Reddit by 106.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 216,960 shares of the company's stock worth $22,759,000 after purchasing an additional 111,780 shares in the last quarter. Focus Partners Wealth boosted its holdings in Reddit by 40.8% in the 1st quarter. Focus Partners Wealth now owns 10,224 shares of the company's stock valued at $1,073,000 after purchasing an additional 2,965 shares during the period. Finally, Geneos Wealth Management Inc. boosted its holdings in Reddit by 344.6% in the 1st quarter. Geneos Wealth Management Inc. now owns 369 shares of the company's stock valued at $39,000 after purchasing an additional 286 shares during the period.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on RDDT shares. Wells Fargo & Company reduced their price target on shares of Reddit from $187.00 to $142.00 and set an "equal weight" rating for the company in a research report on Friday, July 31st. Evercore reissued an "outperform" rating and set a $265.00 price objective on shares of Reddit in a research note on Friday, July 31st. KeyCorp assumed coverage on Reddit in a research report on Wednesday, July 29th. They set an "overweight" rating and a $225.00 target price for the company. Cantor Fitzgerald decreased their target price on Reddit from $200.00 to $170.00 and set a "neutral" rating on the stock in a research note on Friday, July 31st. Finally, Raymond James Financial reaffirmed a "strong-buy" rating and issued a $205.00 price target on shares of Reddit in a report on Monday, August 17th. Two analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and eleven have assigned a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $221.10.

Insider Buying and Selling at Reddit

In other Reddit news, CAO Michelle Reynolds sold 808 shares of the business's stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total value of $161,600.00. Following the completion of the sale, the chief accounting officer directly owned 15,060 shares of the company's stock, valued at $3,012,000. The trade was a 5.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Huffman sold 18,000 shares of the firm's stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $173.13, for a total value of $3,116,340.00. Following the transaction, the chief executive officer directly owned 373,814 shares in the company, valued at $64,718,417.82. This trade represents a 4.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 210,102 shares of company stock worth $36,375,252 in the last quarter. 28.48% of the stock is currently owned by company insiders.

Reddit Stock Performance

Shares of NYSE:RDDT opened at $146.80 on Thursday. The firm has a market capitalization of $28.25 billion, a PE ratio of 34.14, a price-to-earnings-growth ratio of 0.69 and a beta of 2.02. Reddit Inc. has a 52-week low of $119.27 and a 52-week high of $282.95. The firm has a fifty day moving average of $168.67 and a 200 day moving average of $159.06.

Reddit (NYSE:RDDT - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The company reported $1.25 EPS for the quarter, topping the consensus estimate of $0.95 by $0.30. The firm 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 was up 61.0% compared to the same quarter last year. During the same period last year, the firm posted $0.45 earnings per share. On average, sell-side analysts forecast that Reddit Inc. will post 5.27 EPS for the current fiscal year.

Reddit Company Profile

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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