Acadian Asset Management LLC Lowers Position in Reddit Inc. $RDDT

Key Points

• Acadian Asset Management LLC reduced its stake in Reddit Inc. shares by 0.7%, retaining approximately 0.40% ownership, valued at $77 million.
• Wall Street analysts have increased their target prices for Reddit, with Raymond James setting a new target of $225, and the overall consensus reflecting a Moderate Buy rating.
• Reddit recently reported quarterly earnings of $0.45 per share, exceeding estimates and generating revenue of $499.63 million, up 77.9% year-over-year.

Acadian Asset Management LLC trimmed its stake in Reddit Inc. (NYSE:RDDT - Free Report) by 0.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 734,385 shares of the company's stock after selling 5,121 shares during the period. Acadian Asset Management LLC owned approximately 0.40% of Reddit worth $77,017,000 as of its most recent SEC filing.

Other institutional investors also recently modified their holdings of the company. CWM LLC increased its position 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 purchasing an additional 128 shares during the last quarter. Fourth Dimension Wealth LLC purchased a new stake in Reddit in the fourth quarter worth approximately $49,000. Chelsea Counsel Co. purchased a new stake in Reddit in the fourth quarter worth approximately $49,000. Stone House Investment Management LLC purchased a new stake in Reddit in the first quarter worth approximately $31,000. Finally, CoreCap Advisors LLC boosted its stake in Reddit by 3,500.0% in the fourth quarter. CoreCap Advisors LLC now owns 360 shares of the company's stock worth $59,000 after buying an additional 350 shares in the last quarter.

Insider Buying and Selling

In related news, CEO Steve Ladd Huffman sold 18,000 shares of the firm's stock in a transaction 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 sale, the chief executive officer owned 494,104 shares of the company's stock, valued at $110,387,774.64. This trade represents a 3.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Benjamin Seong Lee sold 6,426 shares of the firm's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $220.28, for a total value of $1,415,519.28. Following the completion of the sale, the insider directly owned 83,445 shares of the company's stock, valued at $18,381,264.60. The trade was a 7.15% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 500,777 shares of company stock valued at $88,572,016 over the last three months. Insiders own 34.25% of the company's stock.

Wall Street Analysts Forecast Growth

RDDT has been the subject of several research reports. Wells Fargo & Company upped their target price on Reddit from $115.00 to $118.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 1st. JPMorgan Chase & Co. upped their target price on Reddit from $145.00 to $190.00 and gave the stock a "neutral" rating in a research note on Friday, August 1st. Guggenheim upped their target price on Reddit from $165.00 to $215.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Roth Capital raised their price target on Reddit from $130.00 to $145.00 and gave the stock a "neutral" rating in a research report on Monday, July 21st. Finally, Wall Street Zen upgraded Reddit from a "hold" rating to a "buy" rating in a research report on Sunday, September 7th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Reddit presently has a consensus rating of "Moderate Buy" and an average price target of $180.58.

Reddit Trading Down 2.3%

Shares of NYSE:RDDT traded down $6.10 during trading on Friday, reaching $254.44. 3,677,329 shares of the company traded hands, compared to its average volume of 5,714,706. The firm has a market capitalization of $47.62 billion, a price-to-earnings ratio of 231.31, a P/E/G ratio of 4.13 and a beta of 2.40. Reddit Inc. has a 52-week low of $57.22 and a 52-week high of $266.64. The business's fifty day moving average is $196.30 and its 200-day moving average is $145.81.

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