Roth Capital Comments on Reddit’s Q3 Earnings (NYSE:RDDT)

Reddit, Inc. (NYSE:RDDT) – Equities researchers at Roth Capital boosted their Q3 2024 earnings per share estimates for shares of Reddit in a research note issued to investors on Wednesday, October 23rd. Roth Capital analyst R. Kulkarni now expects that the company will post earnings of ($0.07) per share for the quarter, up from their previous estimate of ($0.15). The consensus estimate for Reddit’s current full-year earnings is ($4.10) per share. Roth Capital also issued estimates for Reddit’s Q4 2024 earnings at $0.07 EPS, FY2024 earnings at ($4.08) EPS, Q1 2025 earnings at ($0.20) EPS, Q2 2025 earnings at ($0.04) EPS, Q3 2025 earnings at $0.03 EPS, Q4 2025 earnings at $0.18 EPS, FY2025 earnings at ($0.03) EPS and FY2026 earnings at $0.19 EPS.

Reddit (NYSE:RDDT) last released its earnings results on Tuesday, August 6th. The company reported ($0.06) EPS for the quarter, beating analysts’ consensus estimates of ($0.31) by $0.25. The firm had revenue of $281.20 million during the quarter, compared to analysts’ expectations of $253.86 million. The company’s revenue for the quarter was up 53.6% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.70) EPS.

A number of other research analysts have also recently issued reports on RDDT. Morgan Stanley lifted their price target on shares of Reddit from $63.00 to $70.00 and gave the company an “equal weight” rating in a research report on Tuesday, July 23rd. Cannonball Research began coverage on shares of Reddit in a report on Tuesday, August 6th. They set a “buy” rating and a $67.00 target price for the company. JMP Securities restated a “market outperform” rating and issued a $84.00 price target on shares of Reddit in a research note on Tuesday, July 30th. Needham & Company LLC lifted their price objective on Reddit from $75.00 to $85.00 and gave the company a “buy” rating in a research note on Wednesday, October 9th. Finally, Jefferies Financial Group boosted their target price on Reddit from $90.00 to $100.00 and gave the stock a “buy” rating in a report on Tuesday. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $73.61.

Reddit Price Performance

Shares of Reddit stock opened at $81.38 on Friday. Reddit has a 12 month low of $37.35 and a 12 month high of $81.72. The business has a fifty day simple moving average of $65.04 and a two-hundred day simple moving average of $59.82.

Hedge Funds Weigh In On Reddit

A number of institutional investors and hedge funds have recently made changes to their positions in the business. DekaBank Deutsche Girozentrale purchased a new position in Reddit during the first quarter valued at $7,363,000. Commonwealth Equity Services LLC purchased a new position in shares of Reddit during the 1st quarter valued at about $1,111,000. VY Capital Management Co. Ltd. bought a new position in shares of Reddit during the 3rd quarter valued at approximately $474,403,000. Claro Advisors LLC purchased a new stake in Reddit in the 3rd quarter worth approximately $2,557,000. Finally, BNP Paribas Financial Markets bought a new stake in Reddit during the 1st quarter worth approximately $37,000.

Insider Activity

In other news, CFO Andrew Vollero sold 11,287 shares of the business’s stock in a transaction that occurred on Wednesday, September 18th. The shares were sold at an average price of $64.00, for a total transaction of $722,368.00. Following the completion of the transaction, the chief financial officer now directly owns 840,379 shares of the company’s stock, valued at $53,784,256. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In related news, CFO Andrew Vollero sold 11,287 shares of the company’s stock in a transaction on Wednesday, September 18th. The stock was sold at an average price of $64.00, for a total transaction of $722,368.00. Following the completion of the sale, the chief financial officer now owns 840,379 shares in the company, valued at approximately $53,784,256. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Steve Ladd Huffman sold 14,000 shares of the firm’s stock in a transaction dated Tuesday, August 20th. The stock was sold at an average price of $53.98, for a total value of $755,720.00. Following the completion of the transaction, the chief executive officer now directly owns 672,352 shares in the company, valued at $36,293,560.96. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 390,327 shares of company stock valued at $23,503,224 in the last 90 days.

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.