Reddit (NYSE:RDDT) Stock Price Down 2.4% - Here's What Happened

Reddit Inc. (NYSE:RDDT - Get Free Report)'s stock price dropped 2.4% during mid-day trading on Friday . The company traded as low as $139.09 and last traded at $139.05. Approximately 750,641 shares changed hands during trading, a decline of 89% from the average daily volume of 6,697,292 shares. The stock had previously closed at $142.52.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on RDDT shares. B. Riley reaffirmed a "buy" rating and set a $220.00 price objective (down from $222.00) on shares of Reddit in a report on Friday, May 2nd. Wells Fargo & Company increased their price objective on shares of Reddit from $115.00 to $118.00 and gave the company an "equal weight" rating in a report on Tuesday, July 1st. Piper Sandler reaffirmed an "overweight" rating and set a $150.00 price objective (up from $140.00) on shares of Reddit in a report on Friday, May 2nd. Seaport Res Ptn raised shares of Reddit from a "hold" rating to a "strong-buy" rating in a report on Monday, May 5th. Finally, Robert W. Baird increased their price objective on shares of Reddit from $120.00 to $151.00 and gave the company a "neutral" rating in a report on Tuesday, July 8th. One analyst has rated the stock with a sell rating, nine have given a hold rating, thirteen have given a buy rating and two have issued a strong buy rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $141.04.

Reddit Price Performance

The business's 50 day simple moving average is $127.19 and its 200 day simple moving average is $139.93. The company has a market capitalization of $26.58 billion, a PE ratio of 244.21, a P/E/G ratio of 3.70 and a beta of 2.33.

Reddit (NYSE:RDDT - Get Free Report) last issued its earnings results on Thursday, May 1st. The company reported $0.13 EPS for the quarter, topping analysts' consensus estimates of $0.02 by $0.11. Reddit had a net margin of 8.07% and a return on equity of 5.69%. The company had revenue of $392.36 million for the quarter, compared to the consensus estimate of $370.55 million. During the same period in the previous year, the firm earned ($8.19) earnings per share. Reddit's quarterly revenue was up 61.5% compared to the same quarter last year. As a group, analysts anticipate that Reddit Inc. will post 1.12 EPS for the current year.

Insider Buying and Selling at Reddit

In other Reddit news, CFO Andrew Vollero sold 30,000 shares of Reddit stock in a transaction dated Friday, June 13th. The shares were sold at an average price of $117.64, for a total transaction of $3,529,200.00. Following the completion of the sale, the chief financial officer directly owned 333,806 shares in the company, valued at $39,268,937.84. This trade represents a 8.25% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Steve Ladd Huffman sold 14,000 shares of Reddit stock in a transaction dated Monday, June 30th. The shares were sold at an average price of $151.35, for a total transaction of $2,118,900.00. Following the sale, the chief executive officer owned 539,631 shares of the company's stock, valued at approximately $81,673,151.85. This represents a 2.53% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 459,543 shares of company stock valued at $54,442,014. 34.25% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Reddit

A number of institutional investors have recently made changes to their positions in the stock. FMR LLC grew its holdings in shares of Reddit by 7.5% in the fourth quarter. FMR LLC now owns 13,070,780 shares of the company's stock valued at $2,136,288,000 after purchasing an additional 913,189 shares in the last quarter. Vanguard Group Inc. grew its holdings in shares of Reddit by 11.1% in the first quarter. Vanguard Group Inc. now owns 10,198,552 shares of the company's stock valued at $1,069,828,000 after purchasing an additional 1,017,162 shares in the last quarter. Alliancebernstein L.P. grew its holdings in shares of Reddit by 103.0% in the first quarter. Alliancebernstein L.P. now owns 5,659,990 shares of the company's stock valued at $593,733,000 after purchasing an additional 2,871,232 shares in the last quarter. T. Rowe Price Investment Management Inc. grew its holdings in shares of Reddit by 10.6% in the first quarter. T. Rowe Price Investment Management Inc. now owns 4,073,939 shares of the company's stock valued at $427,357,000 after purchasing an additional 389,761 shares in the last quarter. Finally, JPMorgan Chase & Co. grew its holdings in shares of Reddit by 98.2% in the first quarter. JPMorgan Chase & Co. now owns 1,907,495 shares of the company's stock valued at $200,096,000 after purchasing an additional 944,847 shares in the last quarter.

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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