Reddit (NYSE:RDDT) Sets New 1-Year High – Still a Buy?

Reddit, Inc. (NYSE:RDDT) reached a new 52-week high during trading on Thursday . The stock traded as high as $141.37 and last traded at $141.37, with a volume of 90539 shares trading hands. The stock had previously closed at $136.27.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on RDDT shares. JPMorgan Chase & Co. raised their price objective on Reddit from $59.00 to $77.00 and gave the company a “neutral” rating in a report on Monday, October 7th. Jefferies Financial Group boosted their price target on shares of Reddit from $90.00 to $100.00 and gave the stock a “buy” rating in a research report on Tuesday, October 22nd. Cannonball Research started coverage on shares of Reddit in a report on Tuesday, August 6th. They issued a “buy” rating and a $67.00 price objective for the company. Roth Mkm boosted their target price on Reddit from $89.00 to $116.00 and gave the stock a “buy” rating in a report on Wednesday, October 30th. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $150.00 price target (up previously from $115.00) on shares of Reddit in a report on Tuesday. One investment analyst has rated the stock with a sell rating, six have assigned a hold rating, eleven have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $91.67.

Reddit Price Performance

The firm’s fifty day moving average is $92.06 and its 200-day moving average is $71.24.

Reddit (NYSE:RDDT) last released its quarterly earnings results on Tuesday, October 29th. The company reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.23. The business had revenue of $348.40 million for the quarter, compared to the consensus estimate of $313.61 million. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. Reddit’s revenue for the quarter was up 67.9% compared to the same quarter last year. As a group, equities analysts predict that Reddit, Inc. will post -3.63 earnings per share for the current year.

Insiders Place Their Bets

In other Reddit news, insider Benjamin Seong Lee sold 18,519 shares of the firm’s stock in a transaction that occurred on Friday, November 22nd. The shares were sold at an average price of $146.06, for a total value of $2,704,885.14. Following the completion of the transaction, the insider now owns 138,401 shares of the company’s stock, valued at $20,214,850.06. This trade represents a 11.80 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CTO Christopher Brian Slowe sold 21,000 shares of the company’s stock in a transaction on Friday, November 22nd. The stock was sold at an average price of $146.01, for a total value of $3,066,210.00. Following the sale, the chief technology officer now directly owns 297,925 shares in the company, valued at $43,500,029.25. This represents a 6.58 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 306,520 shares of company stock worth $27,251,297 over the last ninety days.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. BNP Paribas Financial Markets acquired a new position in Reddit during the 1st quarter worth approximately $37,000. Whittier Trust Co. acquired a new position in shares of Reddit during the third quarter worth $42,000. SOA Wealth Advisors LLC. purchased a new position in Reddit in the second quarter valued at $78,000. Sandia Investment Management LP acquired a new stake in Reddit in the first quarter valued at $79,000. Finally, Daiwa Securities Group Inc. acquired a new position in shares of Reddit during the 3rd quarter worth about $85,000.

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.