Boltwood Capital Management Sells 5,382 Shares of Reddit Inc. $RDDT

Key Points

• Boltwood Capital Management reduced its stake in Reddit Inc. by 45%, selling 5,382 shares and holding 6,590 shares valued at approximately $992,000 at the end of the last quarter.
• Analysts are generally optimistic about Reddit, with target price increases from firms like JMP Securities and Morgan Stanley, indicating a potential for growth and a general consensus rating of "Moderate Buy."
• Recent insider trading activity includes significant share sales by the CFO and CEO, with a combined total of over $10 million in stock sold, representing decreases in their respective holdings.

Boltwood Capital Management decreased its position in Reddit Inc. (NYSE:RDDT - Free Report) by 45.0% during the second quarter, according to the company in its most recent disclosure with the SEC. The firm owned 6,590 shares of the company's stock after selling 5,382 shares during the quarter. Boltwood Capital Management's holdings in Reddit were worth $992,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in the stock. Signaturefd LLC raised its stake in shares of Reddit by 3.5% in the first quarter. Signaturefd LLC now owns 2,859 shares of the company's stock worth $300,000 after buying an additional 97 shares during the period. CWM LLC raised its stake in shares of Reddit by 100.0% in the first quarter. CWM LLC now owns 256 shares of the company's stock worth $27,000 after buying an additional 128 shares during the period. Northwestern Mutual Wealth Management Co. raised its stake in shares of Reddit by 12.5% in the first quarter. Northwestern Mutual Wealth Management Co. now owns 1,323 shares of the company's stock worth $139,000 after buying an additional 147 shares during the period. Morling Financial Advisors LLC raised its stake in shares of Reddit by 3.8% in the first quarter. Morling Financial Advisors LLC now owns 5,487 shares of the company's stock worth $576,000 after buying an additional 202 shares during the period. Finally, Wedbush Securities Inc. raised its stake in shares of Reddit by 10.3% in the first quarter. Wedbush Securities Inc. now owns 2,487 shares of the company's stock worth $261,000 after buying an additional 233 shares during the period.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on RDDT shares. JMP Securities raised their price objective on Reddit from $180.00 to $225.00 and gave the stock a "market outperform" rating in a research note on Friday, August 1st. Argus began coverage on Reddit in a research note on Monday, August 18th. They issued a "buy" rating and a $250.00 price objective on the stock. Loop Capital cut their target price on Reddit from $210.00 to $200.00 and set a "buy" rating for the company in a research report on Thursday, June 12th. Roth Capital increased their target price on Reddit from $130.00 to $145.00 and gave the stock a "neutral" rating in a research report on Monday, July 21st. Finally, Morgan Stanley increased their target price on Reddit from $170.00 to $230.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $180.58.

Reddit Price Performance

NYSE RDDT opened at $254.44 on Monday. The stock has a market capitalization of $47.62 billion, a PE ratio of 231.31, a P/E/G ratio of 4.03 and a beta of 2.38. The business has a 50 day simple moving average of $196.30 and a two-hundred day simple moving average of $145.56. Reddit Inc. has a 1-year low of $57.22 and a 1-year high of $266.64.

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

Insider Buying and Selling

In other news, CFO Andrew Vollero sold 30,000 shares of Reddit stock in a transaction that occurred on Tuesday, September 2nd. The stock was sold at an average price of $218.09, for a total value of $6,542,700.00. Following the completion of the transaction, the chief financial officer owned 284,168 shares in the company, valued at approximately $61,974,199.12. The trade was a 9.55% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Steve Ladd Huffman sold 18,000 shares of Reddit stock in a transaction that occurred on Friday, August 29th. The stock was sold at an average price of $223.41, for a total value of $4,021,380.00. Following the completion of the transaction, the chief executive officer owned 494,104 shares of the company's stock, valued at approximately $110,387,774.64. This trade represents a 3.51% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 342,126 shares of company stock worth $68,827,399 in the last 90 days. Company insiders own 34.25% of the company's stock.

About Reddit

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.

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