Petrus Trust Company LTA Acquires Shares of 4,510 Reddit Inc. $RDDT

Key Points

• Petrus Trust Company LTA has acquired 4,510 shares of Reddit Inc., valued at approximately $473,000, marking a notable new investment in the company's stock during the first quarter.
• Reddit's stock has received multiple upgrades from analysts, with JMP Securities raising its target price from $180 to $225 and maintaining a "market outperform" rating.
• Insider trading activity has been significant, including the sale of 30,000 shares by CFO Andrew Vollero, amounting to over $6.5 million, alongside other executive sales totaling 516,777 shares in the last ninety days.

Petrus Trust Company LTA acquired a new position in shares of Reddit Inc. (NYSE:RDDT - Free Report) in the first quarter, according to its most recent Form 13F filing with the SEC. The firm acquired 4,510 shares of the company's stock, valued at approximately $473,000.

A number of other institutional investors have also recently made changes to their positions in RDDT. JPMorgan Chase & Co. grew its stake in shares of Reddit by 98.2% during the first quarter. JPMorgan Chase & Co. now owns 1,907,495 shares of the company's stock worth $200,096,000 after purchasing an additional 944,847 shares in the last quarter. Greycroft LP boosted its holdings in Reddit by 109.1% during the first quarter. Greycroft LP now owns 11,500 shares of the company's stock worth $1,206,000 after buying an additional 6,000 shares in the last quarter. Ogborne Capital Management LLC purchased a new stake in Reddit during the fourth quarter worth $11,539,000. Voloridge Investment Management LLC increased its stake in shares of Reddit by 46.3% during the 4th quarter. Voloridge Investment Management LLC now owns 963,516 shares of the company's stock worth $157,477,000 after purchasing an additional 304,773 shares in the last quarter. Finally, Renaissance Capital LLC lifted its holdings in Reddit by 10.9% in the 1st quarter. Renaissance Capital LLC now owns 34,636 shares of the company's stock valued at $3,633,000 after purchasing an additional 3,400 shares in the last quarter.

Reddit Price Performance

Shares of NYSE RDDT traded up $9.83 during midday trading on Tuesday, hitting $239.81. The stock had a trading volume of 3,633,517 shares, compared to its average volume of 5,965,775. The company's 50-day simple moving average is $190.30 and its 200 day simple moving average is $143.71. The firm has a market cap of $44.88 billion, a P/E ratio of 218.01, a price-to-earnings-growth ratio of 3.65 and a beta of 2.40. Reddit Inc. has a fifty-two week low of $55.48 and a fifty-two week 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, beating the consensus estimate of $0.20 by $0.25. Reddit had a net margin of 12.97% and a return on equity of 9.93%. The firm had revenue of $499.63 million for the quarter, compared to analyst estimates of $424.07 million. During the same period in the previous year, the business earned ($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 analysts expect that Reddit Inc. will post 1.12 EPS for the current fiscal year.

Insider Buying and Selling

In other Reddit news, CFO Andrew Vollero sold 30,000 shares of the business's stock in a transaction that occurred on Friday, June 13th. The shares were sold at an average price of $117.64, for a total transaction of $3,529,200.00. Following the sale, the chief financial officer directly owned 333,806 shares of the company's stock, valued at $39,268,937.84. The trade was a 8.25% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, COO Jennifer L. Wong sold 40,967 shares of Reddit stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $220.38, for a total value of $9,028,307.46. Following the completion of the transaction, the chief operating officer directly owned 120,033 shares in the company, valued at approximately $26,452,872.54. This represents a 25.45% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 516,777 shares of company stock valued at $88,790,076 over the last 90 days. 34.25% of the stock is currently owned by insiders.

Analysts Set New Price Targets

A number of equities analysts have recently commented on the stock. Loop Capital cut their target price on shares of Reddit from $210.00 to $200.00 and set a "buy" rating on the stock in a research note on Thursday, June 12th. JPMorgan Chase & Co. upped their price target on shares of Reddit from $145.00 to $190.00 and gave the stock a "neutral" rating in a research report on Friday, August 1st. Bank of America raised their price objective on shares of Reddit from $130.00 to $150.00 and gave the company a "neutral" rating in a research note on Wednesday, July 30th. Royal Bank Of Canada reaffirmed a "sector perform" rating and set a $210.00 target price on shares of Reddit in a report on Friday, August 22nd. Finally, Guggenheim upped their price target on Reddit from $165.00 to $215.00 and gave the company a "buy" rating in a research report on Friday, August 1st. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Reddit currently has a consensus rating of "Moderate Buy" and an average target price of $175.38.

Reddit Company 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.