Whale Rock Capital Management LLC Makes New $204.05 Million Investment in Reddit, Inc. (NYSE:RDDT)

Whale Rock Capital Management LLC acquired a new position in shares of Reddit, Inc. (NYSE:RDDT - Free Report) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 1,248,492 shares of the company's stock, valued at approximately $204,054,000. Reddit accounts for about 2.4% of Whale Rock Capital Management LLC's investment portfolio, making the stock its 15th largest holding. Whale Rock Capital Management LLC owned approximately 0.71% of Reddit as of its most recent SEC filing.

A number of other institutional investors have also made changes to their positions in RDDT. Plato Investment Management Ltd bought a new position in Reddit during the fourth quarter worth about $27,000. EverSource Wealth Advisors LLC bought a new position in Reddit during the fourth quarter worth about $28,000. Farmers & Merchants Investments Inc. bought a new position in Reddit during the fourth quarter worth about $33,000. Bogart Wealth LLC bought a new position in Reddit during the fourth quarter worth about $33,000. Finally, Spire Wealth Management bought a new position in Reddit during the fourth quarter worth about $35,000.

Analyst Upgrades and Downgrades

RDDT has been the topic of several recent analyst reports. Roth Capital reiterated a "neutral" rating on shares of Reddit in a report on Friday, May 2nd. Robert W. Baird reduced their target price on Reddit from $140.00 to $120.00 and set a "neutral" rating on the stock in a report on Wednesday. Citigroup lifted their target price on Reddit from $150.00 to $158.00 and gave the stock a "buy" rating in a report on Friday, May 2nd. Seaport Res Ptn upgraded Reddit from a "hold" rating to a "strong-buy" rating in a report on Monday, May 5th. Finally, Bank of America reduced their target price on Reddit from $190.00 to $110.00 and set a "neutral" rating on the stock in a report on Wednesday, April 9th. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating, twelve have assigned a buy rating and two have given a strong buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $140.45.

Reddit Stock Performance

RDDT traded up $2.71 on Friday, hitting $101.03. 6,742,771 shares of the company were exchanged, compared to its average volume of 6,070,430. Reddit, Inc. has a 12 month low of $49.13 and a 12 month high of $230.41. The company has a market cap of $18.64 billion, a PE ratio of -13.07, a PEG ratio of 4.72 and a beta of 2.90. The stock's fifty day moving average is $107.27 and its 200-day moving average is $145.19.

Reddit (NYSE:RDDT - Get Free Report) last released its earnings results on Thursday, May 1st. The company reported $0.13 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.02 by $0.11. Reddit had a negative return on equity of 24.71% and a negative net margin of 37.25%. The business had revenue of $392.36 million for the quarter, compared to analyst estimates of $370.55 million. During the same quarter in the prior year, the company posted ($8.19) earnings per share. Reddit's revenue was up 61.5% on a year-over-year basis. As a group, equities research analysts expect that Reddit, Inc. will post 1.12 EPS for the current fiscal year.

Insider Buying and Selling

In other Reddit news, CAO Michelle Marie Reynolds sold 2,729 shares of the business's stock in a transaction that occurred on Thursday, May 22nd. The stock was sold at an average price of $98.85, for a total transaction of $269,761.65. Following the transaction, the chief accounting officer now owns 42,277 shares of the company's stock, valued at $4,179,081.45. The trade was a 6.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Andrew Vollero sold 48,122 shares of the business's stock in a transaction that occurred on Monday, February 24th. The stock was sold at an average price of $162.80, for a total value of $7,834,261.60. Following the transaction, the chief financial officer now directly owns 599,295 shares in the company, valued at approximately $97,565,226. This trade represents a 7.43% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 851,261 shares of company stock worth $105,096,214.

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.