Somerset Trust Co Takes Position in Reddit Inc. $RDDT

Key Points

• Somerset Trust Co has acquired a stake in Reddit Inc. ($RDDT), purchasing 5,000 shares valued at around $753,000.
• Several institutional investors, including AllianceBernstein L.P. and Vanguard Group Inc., have substantially increased their holdings in Reddit, reflecting growing confidence in the company.
• Reddit's recent performance showed a significant 77.9% revenue growth year-over-year, with earnings per share (EPS) beating estimates at $0.45 for the quarter.

Somerset Trust Co bought a new stake in Reddit Inc. (NYSE:RDDT - Free Report) in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 5,000 shares of the company's stock, valued at approximately $753,000.

A number of other institutional investors also recently modified their holdings of RDDT. Alliancebernstein L.P. raised its stake 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 acquiring an additional 2,871,232 shares during the last quarter. Whale Rock Capital Management LLC acquired a new stake in shares of Reddit in the fourth quarter valued at approximately $204,054,000. Vanguard Group Inc. increased its holdings in shares of Reddit by 11.1% in the first quarter. Vanguard Group Inc. now owns 10,198,552 shares of the company's stock valued at $1,069,828,000 after purchasing an additional 1,017,162 shares in the last quarter. JPMorgan Chase & Co. increased its holdings in shares of Reddit by 98.2% in the first quarter. JPMorgan Chase & Co. now owns 1,907,495 shares of the company's stock valued at $200,096,000 after purchasing an additional 944,847 shares in the last quarter. Finally, Scge Management L.P. increased its holdings in shares of Reddit by 121.1% in the first quarter. Scge Management L.P. now owns 1,612,000 shares of the company's stock valued at $169,099,000 after purchasing an additional 883,000 shares in the last quarter.

Insider Activity

In other news, insider Benjamin Seong Lee sold 6,426 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $220.28, for a total value of $1,415,519.28. Following the completion of the transaction, the insider 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 sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Steve Ladd Huffman sold 18,000 shares of the business's stock in a transaction on Friday, August 29th. The shares were sold at an average price of $223.41, for a total transaction of $4,021,380.00. Following the completion of the transaction, the chief executive officer directly owned 494,104 shares of the company's stock, valued at $110,387,774.64. This trade represents a 3.51% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 500,777 shares of company stock worth $88,572,016. Corporate insiders own 34.25% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on RDDT shares. Needham & Company LLC raised their price target on shares of Reddit from $165.00 to $215.00 and gave the company a "buy" rating in a report on Friday, August 1st. Argus started coverage on shares of Reddit in a report on Monday, August 18th. They issued a "buy" rating and a $250.00 price target for the company. The Goldman Sachs Group reissued a "neutral" rating and issued a $212.00 price target on shares of Reddit in a report 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 report on Friday, August 22nd. Finally, Wells Fargo & Company raised their price target on shares of Reddit from $115.00 to $118.00 and gave the company an "equal weight" rating in a report on Tuesday, July 1st. Two research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $180.58.

Reddit Stock Performance

RDDT opened at $254.44 on Friday. The company has a fifty day moving average price of $196.30 and a two-hundred day moving average price of $145.66. Reddit Inc. has a 52 week low of $57.22 and a 52 week high of $266.64. The firm has a market capitalization of $47.62 billion, a PE ratio of 231.31, a P/E/G ratio of 4.13 and a beta of 2.40.

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 net margin of 12.97% and a return on equity of 9.93%. The firm had revenue of $499.63 million during the quarter, compared to analyst estimates of $424.07 million. During the same quarter in the previous year, the business earned ($0.06) EPS. The business's quarterly revenue was up 77.9% compared to the same quarter last year. Reddit has set its Q3 2025 guidance at EPS. Equities analysts forecast that Reddit Inc. will post 1.12 EPS for the current year.

Reddit 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.

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