Reddit Inc. $RDDT Shares Newly Purchased by CenterBook Partners LP

Key Points

• CenterBook Partners opened a position in Reddit, buying 15,229 shares in the third quarter, valued at approximately $2.17 million.
• Analyst views are mixed but lean positive: MarketBeat lists a “Moderate Buy” consensus and an average price target of $180.91, while several firms recently cut their targets and Loop Capital downgraded the stock to Hold.
• Reddit beat quarterly earnings and revenue estimates, reporting EPS of $1.40 and revenue of $894.96 million, up 53% year over year.

CenterBook Partners LP bought a new stake in shares of Reddit Inc. (NYSE:RDDT - Free Report) during the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 15,229 shares of the company's stock, valued at approximately $2,169,000.

Several other large investors have also added to or reduced their stakes in the business. State Street Corp increased its holdings in Reddit by 8.7% in the second quarter. State Street Corp now owns 2,979,587 shares of the company's stock worth $517,197,000 after purchasing an additional 237,523 shares in the last quarter. Wellington Management Group LLP boosted its holdings in shares of Reddit by 21.8% during the 2nd quarter. Wellington Management Group LLP now owns 1,564,535 shares of the company's stock worth $271,572,000 after buying an additional 280,030 shares in the last quarter. Robeco Institutional Asset Management B.V. boosted its holdings in shares of Reddit by 74.6% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 809,063 shares of the company's stock worth $115,243,000 after buying an additional 345,735 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in shares of Reddit by 8.9% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 481,893 shares of the company's stock worth $83,647,000 after buying an additional 39,540 shares in the last quarter. Finally, Bessemer Group Inc. boosted its holdings in shares of Reddit by 2.4% during the 1st quarter. Bessemer Group Inc. now owns 469,907 shares of the company's stock worth $63,273,000 after buying an additional 10,996 shares in the last quarter.

Wall Street Analysts Forecast Growth

RDDT has been the subject of several research analyst reports. Guggenheim lowered their price objective on shares of Reddit from $255.00 to $170.00 and set a "buy" rating for the company in a research note on Friday, October 30th. BNP Paribas Exane dropped their target price on shares of Reddit from $180.00 to $110.00 in a research report on Friday, October 30th. Loop Capital lowered shares of Reddit from a "buy" rating to a "hold" rating and set a $100.00 target price on the stock. in a research note on Monday, November 2nd. Raymond James Financial restated a "strong-buy" rating and issued a $205.00 price target on shares of Reddit in a report on Monday, August 17th. Finally, Needham & Company LLC decreased their price target on shares of Reddit from $300.00 to $150.00 and set a "buy" rating for the company in a research note on Friday, October 30th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and fifteen have given a Hold rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $180.91.

Insider Transactions at Reddit

In related news, COO Jennifer Wong sold 75,000 shares of Reddit stock in a transaction on Friday, August 14th. The shares were sold at an average price of $178.55, for a total value of $13,391,250.00. Following the completion of the sale, the chief operating officer owned 1,050,339 shares of the company's stock, valued at approximately $187,538,028.45. This trade represents a 6.66% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Robert Sauerberg sold 5,128 shares of the business's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $159.92, for a total transaction of $820,069.76. Following the sale, the director owned 27,087 shares of the company's stock, valued at $4,331,753.04. This trade represents a 15.92% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 291,052 shares of company stock valued at $47,166,483 in the last 90 days. 28.48% of the stock is currently owned by company insiders.

Reddit Stock Performance

Shares of Reddit stock opened at $95.12 on Monday. Reddit Inc. has a 52 week low of $89.28 and a 52 week high of $263.50. The stock has a 50 day moving average price of $144.38 and a two-hundred day moving average price of $156.66. The stock has a market capitalization of $18.37 billion, a PE ratio of 19.41, a price-to-earnings-growth ratio of 0.39 and a beta of 2.28.

Reddit (NYSE:RDDT - Get Free Report) last released its quarterly earnings data on Thursday, October 29th. The company reported $1.40 EPS for the quarter, beating the consensus estimate of $1.33 by $0.07. Reddit had a return on equity of 30.57% and a net margin of 32.10%. The firm had revenue of $894.96 million during the quarter, compared to the consensus estimate of $874.91 million. During the same quarter in the previous year, the company posted $0.80 earnings per share. The company's quarterly revenue was up 53.0% on a year-over-year basis. Research analysts forecast that Reddit Inc. will post 5.42 EPS for the current year.

About Reddit

Reddit, Inc operates Reddit, an online platform where users share posts, discuss topics and participate in communities known as subreddits. Members can submit text, images, videos and links, comment on posts, and vote on content, helping shape what appears in each community.

The company generates revenue primarily through advertising and also offers paid subscriptions and other products. Reddit serves users and advertisers around the world through its website and mobile applications.

Reddit was founded in 2005 by Steve Huffman, Alexis Ohanian and Aaron Swartz.

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