Sumitomo Mitsui DS Asset Management Company Ltd Buys 10,397 Shares of Reddit Inc. $RDDT

Key Points

• Sumitomo Mitsui DS Asset Management Company Ltd increased its stake in Reddit Inc. by 166.1%, acquiring an additional 10,397 shares, raising its total holdings to 16,657 shares worth $2,508,000.
• Reddit reported impressive quarterly earnings, with earnings per share (EPS) of $0.45, exceeding expectations by $0.25, and revenue of $499.63 million, up 77.9% year-over-year.
• Insider activity included CEO Steve Huffman selling 18,000 shares for over $4 million, decreasing his direct ownership by 3.51%, while CFO Andrew Vollero sold 30,000 shares valued at about $6.5 million.

Sumitomo Mitsui DS Asset Management Company Ltd raised its stake in shares of Reddit Inc. (NYSE:RDDT - Free Report) by 166.1% in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 16,657 shares of the company's stock after purchasing an additional 10,397 shares during the period. Sumitomo Mitsui DS Asset Management Company Ltd's holdings in Reddit were worth $2,508,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors have also recently made changes to their positions in the company. 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 period. Alliancebernstein L.P. increased its holdings in Reddit by 103.0% during the first quarter. Alliancebernstein L.P. now owns 5,659,990 shares of the company's stock valued at $593,733,000 after buying an additional 2,871,232 shares during the period. T. Rowe Price Investment Management Inc. grew its holdings in Reddit by 10.6% in the first quarter. T. Rowe Price Investment Management Inc. now owns 4,073,939 shares of the company's stock worth $427,357,000 after purchasing an additional 389,761 shares during the last quarter. JPMorgan Chase & Co. grew its holdings in Reddit by 98.2% in the first quarter. JPMorgan Chase & Co. now owns 1,907,495 shares of the company's stock worth $200,096,000 after purchasing an additional 944,847 shares during the last quarter. Finally, Scge Management L.P. lifted its stake in shares of Reddit by 121.1% during the first quarter. Scge Management L.P. now owns 1,612,000 shares of the company's stock worth $169,099,000 after buying an additional 883,000 shares during the period.

Reddit Trading Down 1.8%

Shares of NYSE RDDT opened at $265.75 on Monday. Reddit Inc. has a 12-month low of $63.60 and a 12-month high of $282.95. The stock has a market cap of $49.74 billion, a PE ratio of 241.59, a P/E/G ratio of 4.16 and a beta of 2.38. The company has a 50-day moving average of $208.28 and a 200 day moving average of $149.27.

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

Analyst Ratings Changes

RDDT has been the subject of a number of research reports. Raymond James Financial restated a "strong-buy" rating and set a $225.00 target price (up from $175.00) on shares of Reddit in a research report on Friday, August 1st. Citigroup restated an "outperform" rating on shares of Reddit in a research report on Thursday. Oppenheimer boosted their target price on shares of Reddit from $215.00 to $300.00 and gave the company an "outperform" rating in a research report on Tuesday, September 16th. JPMorgan Chase & Co. upped their price objective on shares of Reddit from $145.00 to $190.00 and gave the stock a "neutral" rating in a research report on Friday, August 1st. Finally, Argus assumed coverage on shares of Reddit in a research report on Monday, August 18th. They issued a "buy" rating and a $250.00 price objective for the company. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $197.88.

Insider Activity

In other Reddit news, CEO Steve Ladd Huffman sold 18,000 shares of the business's stock in a transaction dated Friday, August 29th. The shares were sold at an average price of $223.41, for a total value of $4,021,380.00. Following the transaction, the chief executive officer directly owned 494,104 shares in the company, valued at $110,387,774.64. The trade was a 3.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Andrew Vollero sold 30,000 shares of the business's stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $218.09, for a total transaction of $6,542,700.00. Following the completion of the transaction, the chief financial officer owned 284,168 shares in the company, valued at $61,974,199.12. The trade was a 9.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 344,126 shares of company stock valued at $71,345,839. Company insiders own 34.25% of the company's stock.

Reddit Company 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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