Night Squared LP Makes New $547,000 Investment in Reddit Inc. $RDDT

Key Points

• Night Squared LP acquired a new position in Reddit Inc., purchasing 5,212 shares valued at approximately $547,000 in the first quarter.
• Reddit's stock price is currently around $225.28, with a market cap of $42.16 billion and a twelve-month range between $55.25 and $253.14.
• Reddit reported a 77.9% year-over-year increase in quarterly revenue, reaching $499.63 million, and exceeded consensus EPS estimates by $0.25.

Night Squared LP purchased a new stake in shares of Reddit Inc. (NYSE:RDDT - Free Report) in the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 5,212 shares of the company's stock, valued at approximately $547,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of the business. Signaturefd LLC raised its position in Reddit by 3.5% during the 1st quarter. Signaturefd LLC now owns 2,859 shares of the company's stock valued at $300,000 after purchasing an additional 97 shares during the last quarter. CWM LLC raised its position in Reddit by 100.0% during the 1st quarter. CWM LLC now owns 256 shares of the company's stock valued at $27,000 after purchasing an additional 128 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its position in Reddit by 12.5% during the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,323 shares of the company's stock valued at $139,000 after purchasing an additional 147 shares during the last quarter. Morling Financial Advisors LLC raised its position in Reddit by 3.8% during the 1st quarter. Morling Financial Advisors LLC now owns 5,487 shares of the company's stock valued at $576,000 after purchasing an additional 202 shares during the last quarter. Finally, Wedbush Securities Inc. raised its position in Reddit by 10.3% during the 1st quarter. Wedbush Securities Inc. now owns 2,487 shares of the company's stock valued at $261,000 after purchasing an additional 233 shares during the last quarter.

Insider Activity at Reddit

In other news, CAO Michelle Marie Reynolds sold 3,214 shares of the company'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 owned 28,088 shares of the company's stock, valued at $6,114,476.72. This represents a 10.27% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Steve Ladd Huffman sold 14,000 shares of the stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $244.70, for a total transaction of $3,425,800.00. Following the completion of the transaction, the chief executive officer owned 531,485 shares in the company, valued at $130,054,379.50. This trade represents a 2.57% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 468,777 shares of company stock valued at $78,225,996 in the last 90 days. 34.25% of the stock is owned by company insiders.

Analyst Ratings Changes

RDDT has been the subject of several research reports. The Goldman Sachs Group reissued a "neutral" rating and issued a $212.00 target price on shares of Reddit in a research report on Friday, August 1st. Piper Sandler increased their target price on Reddit from $150.00 to $210.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Wells Fargo & Company increased their target price on Reddit from $115.00 to $118.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 1st. Robert W. Baird increased their target price on Reddit from $120.00 to $151.00 and gave the stock a "neutral" rating in a research report on Tuesday, July 8th. Finally, Wolfe Research raised Reddit to an "outperform" rating in a research report on Sunday, August 3rd. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Reddit currently has a consensus rating of "Moderate Buy" and a consensus target price of $175.38.

Reddit Stock Performance

Shares of Reddit stock traded down $5.01 during midday trading on Tuesday, hitting $220.07. The company had a trading volume of 4,568,921 shares, compared to its average volume of 6,284,561. The company has a 50 day moving average of $180.03 and a 200 day moving average of $141.41. Reddit Inc. has a 52-week low of $55.25 and a 52-week high of $253.14. The stock has a market capitalization of $41.19 billion, a P/E ratio of 204.62, a P/E/G ratio of 3.57 and a beta of 2.40.

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

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.