Morgan Stanley Issues Pessimistic Forecast for Reddit (NYSE:RDDT) Stock Price

Reddit (NYSE:RDDT - Get Free Report) had its price objective decreased by stock analysts at Morgan Stanley from $210.00 to $140.00 in a report released on Thursday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Morgan Stanley's target price would indicate a potential upside of 37.80% from the stock's previous close.

A number of other research analysts also recently issued reports on RDDT. Oppenheimer started coverage on Reddit in a research note on Wednesday, April 16th. They set an "outperform" rating and a $125.00 price objective for the company. Raymond James dropped their price target on shares of Reddit from $250.00 to $200.00 and set a "strong-buy" rating for the company in a research report on Wednesday, March 12th. B. Riley raised their price objective on shares of Reddit from $112.00 to $187.00 and gave the company a "buy" rating in a research report on Tuesday, January 14th. Loop Capital restated a "buy" rating and set a $210.00 target price on shares of Reddit in a research note on Tuesday, March 11th. Finally, JMP Securities set a $155.00 price target on Reddit in a report on Friday, March 28th. Two investment analysts have rated the stock with a sell rating, seven have issued a hold rating, fourteen have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, Reddit presently has a consensus rating of "Moderate Buy" and a consensus target price of $142.22.

Reddit Stock Performance

Shares of NYSE RDDT traded up $7.45 during midday trading on Thursday, hitting $101.60. 4,940,597 shares of the company's stock traded hands, compared to its average volume of 5,520,979. The stock has a market capitalization of $18.38 billion and a price-to-earnings ratio of -13.14. The firm has a fifty day moving average of $129.04 and a 200 day moving average of $141.54. Reddit has a 1 year low of $40.51 and a 1 year high of $230.41.

Reddit (NYSE:RDDT - Get Free Report) last issued its quarterly earnings data on Wednesday, February 12th. The company reported $0.36 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%. On average, equities analysts anticipate that Reddit will post 1.12 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Steve Ladd Huffman sold 124,408 shares of Reddit stock in a transaction on Friday, March 14th. The stock was sold at an average price of $127.36, for a total transaction of $15,844,602.88. Following the completion of the sale, the chief executive officer now directly owns 583,515 shares in the company, valued at approximately $74,316,470.40. This trade represents a 17.57 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Benjamin Seong Lee sold 92,299 shares of the business's stock in a transaction on Tuesday, March 4th. The shares were sold at an average price of $157.35, for a total transaction of $14,523,247.65. Following the sale, the insider now directly owns 115,001 shares of the company's stock, valued at $18,095,407.35. This represents a 44.52 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 714,202 shares of company stock valued at $96,326,958 in the last ninety days.

Institutional Trading of Reddit

Institutional investors and hedge funds have recently modified their holdings of the stock. Ridgewood Investments LLC increased its holdings in Reddit by 100.0% during the 4th quarter. Ridgewood Investments LLC now owns 200 shares of the company's stock worth $33,000 after purchasing an additional 100 shares during the period. Proficio Capital Partners LLC increased its position in Reddit by 2.1% during the 4th quarter. Proficio Capital Partners LLC now owns 5,908 shares of the company's stock valued at $966,000 after purchasing an additional 120 shares during the period. Farther Finance Advisors LLC raised its holdings in shares of Reddit by 148.5% in the 4th quarter. Farther Finance Advisors LLC now owns 246 shares of the company's stock valued at $40,000 after purchasing an additional 147 shares in the last quarter. UMB Bank n.a. boosted its stake in shares of Reddit by 10.8% during the fourth quarter. UMB Bank n.a. now owns 1,533 shares of the company's stock valued at $251,000 after purchasing an additional 150 shares in the last quarter. Finally, Foundations Investment Advisors LLC increased its holdings in Reddit by 3.0% during the fourth quarter. Foundations Investment Advisors LLC now owns 5,325 shares of the company's stock valued at $870,000 after buying an additional 155 shares during the period.

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.