Research Analysts Offer Predictions for Reddit Q1 Earnings

Reddit, Inc. (NYSE:RDDT - Free Report) - Equities research analysts at Seaport Res Ptn cut their Q1 2025 earnings per share estimates for shares of Reddit in a research report issued to clients and investors on Wednesday, February 12th. Seaport Res Ptn analyst A. Kessler now anticipates that the company will post earnings of $0.01 per share for the quarter, down from their previous forecast of $0.03. Seaport Res Ptn has a "Hold" rating on the stock. The consensus estimate for Reddit's current full-year earnings is $1.12 per share. Seaport Res Ptn also issued estimates for Reddit's Q4 2025 earnings at $0.66 EPS, FY2025 earnings at $1.05 EPS and FY2026 earnings at $2.38 EPS.

A number of other research analysts also recently issued reports on RDDT. JMP Securities raised their price target on Reddit from $190.00 to $200.00 and gave the stock a "market outperform" rating in a research note on Thursday, February 13th. Loop Capital raised their target price on shares of Reddit from $180.00 to $210.00 and gave the stock a "buy" rating in a research note on Thursday, February 13th. Roth Capital cut shares of Reddit from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, January 22nd. Citigroup lifted their price target on shares of Reddit from $200.00 to $220.00 and gave the company a "buy" rating in a research report on Thursday, February 13th. Finally, Jefferies Financial Group upped their price target on Reddit from $120.00 to $175.00 and gave the stock a "buy" rating in a report on Monday, November 25th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $175.45.

Reddit Price Performance

Shares of Reddit stock traded down $14.48 during trading on Monday, hitting $175.18. 10,564,402 shares of the stock were exchanged, compared to its average volume of 5,911,123. The stock has a market cap of $30.76 billion and a price-to-earnings ratio of -22.66. The firm's 50-day moving average price is $184.02 and its 200 day moving average price is $122.04. Reddit has a 12-month low of $37.35 and a 12-month high of $230.41.

Reddit (NYSE:RDDT - Get Free Report) last issued its earnings results on Wednesday, February 12th. The company reported $0.36 earnings per share for the quarter, beating the consensus estimate of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%.

Insider Buying and Selling at Reddit

In other news, CEO Steve Ladd Huffman sold 14,000 shares of the business's stock in a transaction on Friday, November 29th. The shares were sold at an average price of $141.79, for a total transaction of $1,985,060.00. Following the completion of the sale, the chief executive officer now directly owns 634,971 shares of the company's stock, valued at $90,032,538.09. The trade was a 2.16 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Andrew Vollero sold 19,838 shares of the stock in a transaction on Monday, November 25th. The stock was sold at an average price of $143.22, for a total value of $2,841,198.36. Following the completion of the transaction, the chief financial officer now directly owns 703,615 shares in the company, valued at $100,771,740.30. This trade represents a 2.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 212,024 shares of company stock worth $35,086,431 in the last 90 days.

Hedge Funds Weigh In On Reddit

Hedge funds and other institutional investors have recently modified their holdings of the company. FMR LLC raised its holdings in 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 buying an additional 913,189 shares during the period. Vanguard Group Inc. raised its stake in shares of Reddit by 184.2% in the 4th quarter. Vanguard Group Inc. now owns 9,181,390 shares of the company's stock valued at $1,500,606,000 after acquiring an additional 5,950,909 shares during the period. Jennison Associates LLC acquired a new position in shares of Reddit during the 4th quarter valued at $494,861,000. Holocene Advisors LP boosted its position in Reddit by 177.6% during the 3rd quarter. Holocene Advisors LP now owns 3,005,977 shares of the company's stock worth $198,154,000 after purchasing an additional 1,923,109 shares during the period. Finally, Alliancebernstein L.P. boosted its position in Reddit by 1,011.1% during the 4th quarter. Alliancebernstein L.P. now owns 2,788,758 shares of the company's stock worth $455,795,000 after purchasing an additional 2,537,768 shares during the period.

About Reddit

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.