Reddit Inc. $RDDT Stock Position Boosted by Independence Bank of Kentucky

Key Points

• Independence Bank of Kentucky boosted its Reddit stake by 120% in the first quarter, ending with 10,628 shares valued at about $1.43 million.
• Wall Street sentiment remains mostly positive, with 18 analysts rating Reddit a Buy and the stock carrying a Moderate Buy average rating and $231.14 average price target.
• Despite strong quarterly results — including EPS of $1.01 and revenue up 69.1% year over year — insiders have been selling shares, including CEO Steve Huffman and COO Jennifer Wong.

Independence Bank of Kentucky raised its stake in shares of Reddit Inc. (NYSE:RDDT - Free Report) by 120.0% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 10,628 shares of the company's stock after buying an additional 5,797 shares during the period. Independence Bank of Kentucky's holdings in Reddit were worth $1,431,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the stock. Ascentis Independent Advisors bought a new position in shares of Reddit in the first quarter valued at approximately $30,000. LOM Asset Management Ltd bought a new stake in Reddit during the fourth quarter worth approximately $33,000. Noble Wealth Management PBC acquired a new stake in Reddit in the fourth quarter worth approximately $34,000. Geneos Wealth Management Inc. lifted its position in Reddit by 344.6% in the first quarter. Geneos Wealth Management Inc. now owns 369 shares of the company's stock worth $39,000 after purchasing an additional 286 shares during the period. Finally, V Square Quantitative Management LLC bought a new position in Reddit during the 1st quarter valued at $43,000.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Loop Capital reiterated a "buy" rating and set a $260.00 price target on shares of Reddit in a research report on Thursday, June 4th. Raymond James Financial set a $180.00 price objective on Reddit and gave the company a "market perform" rating in a report on Friday, May 1st. Piper Sandler reaffirmed an "overweight" rating and set a $215.00 target price on shares of Reddit in a report on Thursday. Jefferies Financial Group set a $250.00 price target on shares of Reddit in a research report on Friday. Finally, Cantor Fitzgerald upped their price target on shares of Reddit from $170.00 to $180.00 and gave the company a "neutral" rating in a report on Friday, May 1st. Eighteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $231.14.

Insiders Place Their Bets

In other news, CEO Steve Ladd Huffman sold 18,000 shares of Reddit stock in a transaction on Friday, May 15th. The stock was sold at an average price of $157.15, for a total transaction of $2,828,700.00. Following the transaction, the chief executive officer owned 411,195 shares in the company, valued at approximately $64,619,294.25. The trade was a 4.19% decrease in their ownership of the stock. The sale was disclosed in a filing 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, COO Jennifer L. Wong sold 39,167 shares of the company's stock in a transaction dated Thursday, April 16th. The shares were sold at an average price of $161.47, for a total value of $6,324,295.49. Following the completion of the transaction, the chief operating officer owned 1,088,451 shares in the company, valued at $175,752,182.97. This represents a 3.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 226,308 shares of company stock worth $37,856,340. Corporate insiders own 28.48% of the company's stock.

Reddit Price Performance

NYSE RDDT traded down $5.22 on Friday, hitting $195.09. 3,746,228 shares of the company were exchanged, compared to its average volume of 3,928,101. Reddit Inc. has a twelve month low of $119.27 and a twelve month high of $282.95. The firm has a market capitalization of $37.56 billion, a P/E ratio of 55.74 and a beta of 1.93. The company's 50 day moving average price is $169.48 and its 200-day moving average price is $170.92.

Reddit (NYSE:RDDT - Get Free Report) last announced its earnings results on Thursday, April 30th. The company reported $1.01 EPS for the quarter, topping the consensus estimate of $0.62 by $0.39. Reddit had a net margin of 28.60% and a return on equity of 25.48%. The company had revenue of $663.41 million during the quarter, compared to analysts' expectations of $607.74 million. During the same period last year, the company posted $0.13 earnings per share. The business's revenue for the quarter was up 69.1% on a year-over-year basis. As a group, equities analysts expect that Reddit Inc. will post 4.83 EPS for the current year.

Reddit Profile

Reddit is an online social news aggregation, discussion and content-sharing platform organized around user-created communities called "subreddits," each focused on a particular topic or interest. Registered users submit links, text posts, images and video, and community members vote and comment to surface popular content. The site is accessed via its web platform and mobile apps for iOS and Android, and it supports live events such as Ask Me Anything (AMA) sessions and community-driven discussions.

Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit is headquartered in San Francisco and serves a global audience with particularly large user bases in the United States and other English-speaking markets.

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