Reddit (NYSE:RDDT) Sets New 52-Week High After Analyst Upgrade

Key Points

• Shares of Reddit Inc. (NYSE:RDDT) reached a new 52-week high of $255.30 after Jefferies Financial Group raised its price target on the stock from $230.00 to $300.00.
• Insider selling was reported, with COO Jennifer L. Wong offloading 40,967 shares at an average price of $220.38, representing a 25.45% decrease in her position.
• Reddit's Q2 earnings surpassed expectations with a report of $0.45 EPS, compared to analysts’ estimates of $0.20, leading to a 77.9% increase in revenue year-over-year.

Shares of Reddit Inc. (NYSE:RDDT - Get Free Report) reached a new 52-week high on Wednesday after Jefferies Financial Group raised their price target on the stock from $230.00 to $300.00. Jefferies Financial Group currently has a buy rating on the stock. Reddit traded as high as $255.30 and last traded at $253.21, with a volume of 2699849 shares. The stock had previously closed at $240.20.

RDDT has been the topic of several other research reports. Needham & Company LLC raised their price target on Reddit from $165.00 to $215.00 and gave the company a "buy" rating in a report on Friday, August 1st. Wolfe Research upgraded Reddit to an "outperform" rating in a research report on Sunday, August 3rd. Morgan Stanley increased their price objective on Reddit from $170.00 to $230.00 and gave the company an "overweight" rating in a research report on Friday, August 1st. Sanford C. Bernstein increased their price objective on Reddit from $130.00 to $150.00 and gave the company a "market perform" rating in a research report on Tuesday, July 22nd. Finally, Wall Street Zen upgraded Reddit from a "hold" rating to a "buy" rating in a research report on Sunday. Two analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $180.58.

Insider Buying and Selling

In other news, COO Jennifer L. Wong sold 40,967 shares of Reddit stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $220.38, for a total value of $9,028,307.46. Following the sale, the chief operating officer directly owned 120,033 shares in the company, valued at approximately $26,452,872.54. This trade represents a 25.45% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Andrew Vollero sold 30,000 shares of Reddit stock in a transaction that occurred on Friday, June 13th. The stock was sold at an average price of $117.64, for a total value of $3,529,200.00. Following the completion of the sale, the chief financial officer owned 333,806 shares in the company, valued at approximately $39,268,937.84. This represents a 8.25% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 516,777 shares of company stock valued at $88,790,076 in the last 90 days. 34.25% of the stock is owned by insiders.

Institutional Investors Weigh In On Reddit

Large investors have recently made changes to their positions in the business. CWM LLC grew its position in shares of Reddit by 100.0% in the 1st quarter. CWM LLC now owns 256 shares of the company's stock worth $27,000 after buying an additional 128 shares during the last quarter. Stone House Investment Management LLC purchased a new position in shares of Reddit in the 1st quarter valued at approximately $31,000. Financial Perspectives Inc purchased a new position in shares of Reddit in the 2nd quarter valued at approximately $34,000. Geneos Wealth Management Inc. lifted its stake in shares of Reddit by 344.6% in the 1st quarter. Geneos Wealth Management Inc. now owns 369 shares of the company's stock valued at $39,000 after purchasing an additional 286 shares during the period. Finally, Canton Hathaway LLC purchased a new position in shares of Reddit in the 1st quarter valued at approximately $43,000.

Reddit Trading Up 5.5%

The company has a market cap of $47.41 billion, a PE ratio of 229.56, a PEG ratio of 3.65 and a beta of 2.40. The stock has a 50 day moving average price of $190.30 and a 200 day moving average price of $143.71.

Reddit (NYSE:RDDT - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported $0.45 EPS for the quarter, beating analysts' consensus estimates of $0.20 by $0.25. The company had revenue of $499.63 million during the quarter, compared to analysts' expectations of $424.07 million. Reddit had a return on equity of 9.93% and a net margin of 12.97%.The firm's revenue for the quarter was up 77.9% compared to the same quarter last year. During the same quarter last year, the business posted ($0.06) EPS. Reddit has set its Q3 2025 guidance at EPS. Equities analysts expect that Reddit Inc. will post 1.12 EPS for the current fiscal year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.