Insider Selling: Reddit Inc. (NYSE:RDDT) CEO Sells 14,000 Shares of Stock

Key Points

• Reddit Inc. CEO Steve Ladd Huffman sold 14,000 shares of stock on August 15th for a total of $3,425,800, reducing their ownership by 2.57% to approximately 531,485 shares.
• The company's stock is currently trading at $241.76, down from a 1-year high of $253.14, and has a market capitalization of $45.25 billion.
• Reddit's recent quarterly earnings report showed a significant beat with earnings per share of $0.45, up from a loss of ($0.06) per share last year, indicating a 77.9% increase in revenue year-over-year.

Reddit Inc. (NYSE:RDDT - Get Free Report) CEO Steve Ladd Huffman sold 14,000 shares of the company's stock in a transaction that occurred on Friday, August 15th. The shares were sold at an average price of $244.70, for a total value of $3,425,800.00. Following the completion of the transaction, the chief executive officer directly owned 531,485 shares of the company's stock, valued at approximately $130,054,379.50. This trade represents a 2.57% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website.

Steve Ladd Huffman also recently made the following trade(s):

• On Tuesday, August 5th, Steve Ladd Huffman sold 14,000 shares of Reddit stock. The stock was sold at an average price of $202.70, for a total value of $2,837,800.00.
• On Tuesday, July 15th, Steve Ladd Huffman sold 14,000 shares of Reddit stock. The shares were sold at an average price of $145.63, for a total transaction of $2,038,820.00.
• On Monday, June 30th, Steve Ladd Huffman sold 14,000 shares of Reddit stock. The shares were sold at an average price of $151.35, for a total transaction of $2,118,900.00.
• On Monday, June 16th, Steve Ladd Huffman sold 124,409 shares of Reddit stock. The shares were sold at an average price of $124.45, for a total transaction of $15,482,700.05.
• On Friday, May 30th, Steve Ladd Huffman sold 14,000 shares of Reddit stock. The shares were sold at an average price of $110.05, for a total transaction of $1,540,700.00.

Reddit Price Performance

RDDT stock traded down $4.74 during midday trading on Monday, reaching $241.76. The company had a trading volume of 6,919,692 shares, compared to its average volume of 7,896,336. The stock has a 50 day moving average price of $159.01 and a 200-day moving average price of $140.62. Reddit Inc. has a 1-year low of $52.39 and a 1-year high of $253.14. The company has a market capitalization of $45.25 billion, a price-to-earnings ratio of 219.78, a price-to-earnings-growth ratio of 3.91 and a beta of 2.30.

Reddit (NYSE:RDDT - Get Free Report) last released its quarterly earnings results 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 firm had revenue of $499.63 million during the quarter, compared to the consensus estimate of $424.07 million. During the same quarter last year, the firm earned ($0.06) earnings per share. The company's revenue for the quarter was up 77.9% on a year-over-year basis. As a group, research analysts anticipate that Reddit Inc. will post 1.12 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. lifted its holdings in shares of Reddit by 6.3% in the 2nd quarter. Vanguard Group Inc. now owns 10,837,215 shares of the company's stock worth $1,631,759,000 after purchasing an additional 638,663 shares in the last quarter. Alliancebernstein L.P. lifted 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 worth $593,733,000 after acquiring an additional 2,871,232 shares during the period. T. Rowe Price Investment Management Inc. boosted its holdings in shares of Reddit by 10.6% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 4,073,939 shares of the company's stock worth $427,357,000 after buying an additional 389,761 shares during the last quarter. JPMorgan Chase & Co. raised its position in Reddit by 7.5% in the second quarter. JPMorgan Chase & Co. now owns 2,051,175 shares of the company's stock worth $308,846,000 after acquiring an additional 143,680 shares during the period. Finally, State Street Corp grew its position in shares of Reddit by 138.5% during the 2nd quarter. State Street Corp now owns 2,030,139 shares of the company's stock valued at $305,678,000 after acquiring an additional 1,178,890 shares during the period.

Analyst Upgrades and Downgrades

RDDT has been the subject of a number of recent research reports. Citigroup increased their price objective on shares of Reddit from $158.00 to $163.00 and gave the company a "buy" rating in a research note on Tuesday, June 24th. Seaport Res Ptn raised shares of Reddit from a "hold" rating to a "strong-buy" rating in a report on Monday, May 5th. B. Riley reaffirmed a "buy" rating and issued a $220.00 target price (down previously from $222.00) on shares of Reddit in a report on Friday, May 2nd. Loop Capital decreased their price target on Reddit from $210.00 to $200.00 and set a "buy" rating on the stock in a research report on Thursday, June 12th. Finally, Roth Capital raised their price target on Reddit from $130.00 to $145.00 and gave the company a "neutral" rating in a report on Monday, July 21st. One equities research analyst has rated the stock with a sell rating, nine have assigned a hold rating, fourteen have given a buy rating and two have issued a strong buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $171.83.

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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