Reddit (NYSE:RDDT) COO Jennifer Wong Sells 60,000 Shares of Stock

Key Points

• Reddit COO Jennifer Wong sold 60,000 shares at an average price of $162.33, generating approximately $9.74 million. The transaction occurred under a pre-arranged Rule 10b5-1 trading plan, leaving her with 1,012,226 shares.
• Reddit shares recently traded at $157.54, while the company reported quarterly EPS of $1.25 and revenue of $804.91 million, exceeding analyst expectations and reflecting 61% year-over-year revenue growth.
• Analyst sentiment remains favorable, with a consensus rating of “Moderate Buy” and an average price target of $221.10, despite some analysts lowering their targets and one downgrading the stock to “Hold.”

Reddit Inc. (NYSE:RDDT - Get Free Report) COO Jennifer Wong sold 60,000 shares of the firm's stock in a transaction on Monday, September 14th. The shares were sold at an average price of $162.33, for a total value of $9,739,800.00. Following the completion of the sale, the chief operating officer owned 1,012,226 shares of the company's stock, valued at approximately $164,314,646.58. This trade represents a 5.60% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Reddit Trading Down 1.3%

Shares of Reddit stock traded down $2.08 during trading on Wednesday, reaching $157.54. The company's stock had a trading volume of 2,897,933 shares, compared to its average volume of 5,449,403. The stock has a 50-day moving average price of $165.60 and a two-hundred day moving average price of $159.42. The stock has a market capitalization of $30.31 billion, a P/E ratio of 36.64, a price-to-earnings-growth ratio of 0.75 and a beta of 2.02. Reddit Inc. has a one year low of $119.27 and a one year high of $282.95.

Reddit (NYSE:RDDT - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported $1.25 EPS for the quarter, topping analysts' consensus estimates of $0.95 by $0.30. The firm had revenue of $804.91 million for the quarter, compared to analyst estimates of $731.00 million. Reddit had a net margin of 31.35% and a return on equity of 29.02%. The company's revenue was up 61.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.45 EPS. As a group, sell-side analysts anticipate that Reddit Inc. will post 5.27 EPS for the current fiscal year.

Analyst Ratings Changes

RDDT has been the subject of a number of research reports. UBS Group reissued a "buy" rating on shares of Reddit in a report on Friday, July 31st. Morgan Stanley reduced their price objective on Reddit from $240.00 to $210.00 and set an "overweight" rating on the stock in a report on Friday, August 21st. Wall Street Zen lowered Reddit from a "buy" rating to a "hold" rating in a research report on Sunday, August 9th. DA Davidson reissued a "buy" rating and issued a $200.00 target price on shares of Reddit in a research note on Thursday, July 23rd. Finally, Wedbush dropped their target price on Reddit from $250.00 to $221.00 and set an "outperform" rating for the company in a research report on Friday, July 31st. Two analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and eleven have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $221.10.

Hedge Funds Weigh In On Reddit

Several large investors have recently bought and sold shares of RDDT. The Manufacturers Life Insurance Company raised its holdings in shares of Reddit by 8.7% in the second quarter. The Manufacturers Life Insurance Company now owns 8,167 shares of the company's stock valued at $1,418,000 after purchasing an additional 654 shares during the last quarter. Sequoia Financial Advisors LLC boosted its holdings in Reddit by 23.0% during the second quarter. Sequoia Financial Advisors LLC now owns 2,547 shares of the company's stock worth $442,000 after purchasing an additional 476 shares during the last quarter. Bienville Capital Management LLC boosted its holdings in Reddit by 494.4% during the second quarter. Bienville Capital Management LLC now owns 96,020 shares of the company's stock worth $16,667,000 after purchasing an additional 79,867 shares during the last quarter. Concorde Asset Management LLC acquired a new position in Reddit during the second quarter worth $788,000. Finally, NewEdge Advisors LLC grew its position in Reddit by 34.6% in the second quarter. NewEdge Advisors LLC now owns 4,922 shares of the company's stock valued at $854,000 after purchasing an additional 1,265 shares in the last quarter.

Reddit Company Profile

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and discussions. Users can submit posts, links, images and videos, while community members can comment, vote and interact through publicly accessible forums known as subreddits.

The company generates revenue primarily through digital advertising and also offers premium memberships and other paid products. Reddit additionally provides data licensing and developer-related services that support the use of its platform content and technology.

Founded in 2005 by Steve Huffman, Alexis Ohanian and Aaron Swartz, Reddit serves users worldwide across a broad range of communities.

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