Signal Advisors Wealth LLC Takes $1.63 Million Position in Reddit Inc. $RDDT

Key Points

• Signal Advisors Wealth LLC acquired a new stake in Reddit Inc. (NYSE: RDDT), purchasing 10,822 shares worth approximately $1.63 million during the second quarter.
• Analysts have been optimistic about Reddit, with Jefferies Financial Group and Needham & Company both raising their price targets to $300 and rating the stock a "buy".
• Insider selling was notable, with CFO Andrew Vollero and CTO Christopher Brian Slowe selling large amounts of stock, indicating a 9.55% and 11.18% decrease in their holdings, respectively.

Signal Advisors Wealth LLC bought a new stake in Reddit Inc. (NYSE:RDDT - Free Report) in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 10,822 shares of the company's stock, valued at approximately $1,629,000.

A number of other institutional investors have also recently added to or reduced their stakes in the business. Alliancebernstein L.P. grew its position in shares of Reddit by 103.0% in the first quarter. Alliancebernstein L.P. now owns 5,659,990 shares of the company's stock valued at $593,733,000 after purchasing an additional 2,871,232 shares during the last quarter. Vanguard Group Inc. raised its position in Reddit by 11.1% in the 1st quarter. Vanguard Group Inc. now owns 10,198,552 shares of the company's stock worth $1,069,828,000 after purchasing an additional 1,017,162 shares during the last quarter. JPMorgan Chase & Co. grew its holdings in Reddit by 98.2% during the 1st quarter. JPMorgan Chase & Co. now owns 1,907,495 shares of the company's stock worth $200,096,000 after acquiring an additional 944,847 shares during the period. Scge Management L.P. boosted its stake in Reddit by 121.1% during the 1st quarter. Scge Management L.P. now owns 1,612,000 shares of the company's stock worth $169,099,000 after acquiring an additional 883,000 shares during the last quarter. Finally, Baillie Gifford & Co. bought a new stake in Reddit in the first quarter valued at approximately $78,675,000.

Reddit Trading Down 2.6%

NYSE RDDT traded down $6.96 on Monday, hitting $257.52. The company's stock had a trading volume of 5,271,494 shares, compared to its average volume of 5,397,610. The company's 50-day simple moving average is $210.50 and its 200 day simple moving average is $150.13. The firm has a market cap of $48.20 billion, a P/E ratio of 234.11, a PEG ratio of 4.16 and a beta of 2.38. Reddit Inc. has a 52-week low of $63.60 and a 52-week high of $282.95.

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

Insiders Place Their Bets

In other news, insider Benjamin Seong Lee sold 6,426 shares of Reddit stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $220.28, for a total transaction of $1,415,519.28. Following the completion of the sale, the insider directly owned 83,445 shares in the company, valued at approximately $18,381,264.60. This trade represents a 7.15% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Steve Ladd Huffman sold 18,000 shares of the company's stock in a transaction that occurred on Monday, September 15th. The stock was sold at an average price of $261.22, for a total transaction of $4,701,960.00. Following the completion of the sale, the chief executive officer directly owned 494,104 shares of the company's stock, valued at $129,069,846.88. The trade was a 3.51% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 344,126 shares of company stock worth $71,345,839. 34.25% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on RDDT shares. Oppenheimer boosted their target price on Reddit from $215.00 to $300.00 and gave the company an "outperform" rating in a research note on Tuesday, September 16th. Wells Fargo & Company upped their price objective on shares of Reddit from $115.00 to $118.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 1st. Guggenheim boosted their target price on shares of Reddit from $165.00 to $215.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Royal Bank Of Canada reissued a "sector perform" rating and issued a $210.00 price target on shares of Reddit in a research note on Friday, August 22nd. Finally, Needham & Company LLC increased their price target on Reddit from $215.00 to $300.00 and gave the stock a "buy" rating in a report on Monday, September 15th. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, Reddit has an average rating of "Moderate Buy" and a consensus target price of $197.88.

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.