Roth Capital Has Bullish Outlook for Reddit FY2024 Earnings

Reddit, Inc. (NYSE:RDDT) – Stock analysts at Roth Capital upped their FY2024 earnings per share (EPS) estimates for Reddit in a note issued to investors on Wednesday, January 22nd. Roth Capital analyst R. Kulkarni now forecasts that the company will post earnings per share of ($3.48) for the year, up from their previous forecast of ($3.60). Roth Capital has a “Hold” rating on the stock. The consensus estimate for Reddit’s current full-year earnings is ($3.48) per share. Roth Capital also issued estimates for Reddit’s Q4 2024 earnings at $0.31 EPS, Q1 2025 earnings at ($0.02) EPS, Q2 2025 earnings at $0.08 EPS, Q3 2025 earnings at $0.29 EPS, Q4 2025 earnings at $0.57 EPS, FY2025 earnings at $0.94 EPS and FY2026 earnings at $2.22 EPS.

Other research analysts have also issued reports about the company. JMP Securities lifted their target price on Reddit from $118.00 to $160.00 and gave the stock a “market outperform” rating in a report on Monday, November 25th. B. Riley upped their price target on shares of Reddit from $112.00 to $187.00 and gave the company a “buy” rating in a research report on Tuesday, January 14th. Sanford C. Bernstein raised their price objective on Reddit from $65.00 to $85.00 and gave the stock an “underperform” rating in a research report on Wednesday, October 30th. Citigroup lifted their target price on shares of Reddit from $120.00 to $200.00 and gave the company a “buy” rating in a research note on Friday, December 20th. Finally, Needham & Company LLC boosted their price target on Reddit from $120.00 to $190.00 and gave the company a “buy” rating in a research note on Wednesday, December 11th. One analyst has rated the stock with a sell rating, seven have given a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $158.20.

Reddit Trading Up 0.1 %

NYSE RDDT opened at $182.24 on Friday. Reddit has a 12 month low of $37.35 and a 12 month high of $191.00. The company’s 50 day simple moving average is $163.38 and its 200 day simple moving average is $104.22.

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, topping the consensus estimate of ($0.07) by $0.23. The company had revenue of $348.40 million during the quarter, compared to analysts’ expectations of $313.61 million. Reddit had a negative return on equity of 40.54% and a negative net margin of 47.83%. The company’s revenue was up 67.9% on a year-over-year basis.

Insider Activity at Reddit

In other Reddit news, CEO Steve Ladd Huffman sold 14,000 shares of the business’s stock in a transaction on Friday, November 15th. The stock was sold at an average price of $125.98, for a total value of $1,763,720.00. Following the transaction, the chief executive officer now owns 651,775 shares of the company’s stock, valued at approximately $82,110,614.50. The trade was a 2.10 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CTO Christopher Brian Slowe sold 5,000 shares of the company’s stock in a transaction that occurred on Wednesday, January 22nd. The stock was sold at an average price of $184.15, for a total transaction of $920,750.00. Following the transaction, the chief technology officer now owns 35,252 shares in the company, valued at $6,491,655.80. The trade was a 12.42 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 264,357 shares of company stock worth $40,449,488.

Institutional Trading of Reddit

Several institutional investors and hedge funds have recently added to or reduced their stakes in RDDT. ARK Investment Management LLC grew its position in shares of Reddit by 120.5% during the 3rd quarter. ARK Investment Management LLC now owns 352,721 shares of the company’s stock worth $23,251,000 after buying an additional 192,785 shares during the period. Wellington Management Group LLP raised its position in Reddit by 3,640.5% during the third quarter. Wellington Management Group LLP now owns 255,325 shares of the company’s stock worth $16,831,000 after acquiring an additional 248,499 shares in the last quarter. Victory Capital Management Inc. lifted its position in shares of Reddit by 903.8% in the third quarter. Victory Capital Management Inc. now owns 504,116 shares of the company’s stock valued at $33,231,000 after buying an additional 453,894 shares during the last quarter. Geode Capital Management LLC lifted its stake in shares of Reddit by 176.0% during the 3rd quarter. Geode Capital Management LLC now owns 824,200 shares of the company’s stock worth $54,355,000 after buying an additional 525,619 shares during the last quarter. Finally, Mission Creek Capital Partners Inc. bought a new stake in Reddit in the 3rd quarter valued at $7,490,000.

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.