Needham & Company LLC Reiterates Buy Rating for Reddit (NYSE:RDDT)

Reddit (NYSE:RDDT)‘s stock had its “buy” rating reissued by stock analysts at Needham & Company LLC in a note issued to investors on Monday,Benzinga reports. They currently have a $300.00 price objective on the stock. Needham & Company LLC’s price objective would suggest a potential upside of 32.73% from the company’s current price.

A number of other research firms also recently commented on RDDT. Citigroup boosted their price objective on Reddit from $250.00 to $265.00 and gave the stock a “buy” rating in a research note on Monday, November 3rd. The Goldman Sachs Group reiterated a “neutral” rating and issued a $236.00 price target on shares of Reddit in a research report on Tuesday, October 14th. Jefferies Financial Group upped their price target on shares of Reddit from $300.00 to $325.00 and gave the company a “buy” rating in a report on Thursday, December 11th. Roth Capital set a $210.00 price objective on shares of Reddit in a research note on Friday, October 31st. Finally, China Renaissance began coverage on shares of Reddit in a report on Tuesday, December 9th. They issued a “buy” rating and a $300.00 target price on the stock. Three analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $230.28.

Reddit Price Performance

Reddit stock opened at $226.03 on Monday. Reddit has a 12-month low of $79.75 and a 12-month high of $282.95. The stock has a market capitalization of $42.83 billion, a PE ratio of 129.90, a price-to-earnings-growth ratio of 2.49 and a beta of 2.17. The firm has a 50 day simple moving average of $211.36 and a 200-day simple moving average of $200.13.

Reddit (NYSE:RDDT) last announced its earnings results on Thursday, October 30th. The company reported $0.80 EPS for the quarter, topping the consensus estimate of $0.50 by $0.30. The firm had revenue of $584.91 million for the quarter, compared to analysts’ expectations of $546.65 million. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The firm’s quarterly revenue was up 67.9% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.16 earnings per share. On average, analysts forecast that Reddit will post 1.12 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Reddit news, CTO Christopher Brian Slowe sold 24,000 shares of the business’s stock in a transaction dated Monday, November 24th. The stock was sold at an average price of $192.72, for a total transaction of $4,625,280.00. Following the sale, the chief technology officer owned 175,694 shares in the company, valued at approximately $33,859,747.68. The trade was a 12.02% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Steve Ladd Huffman sold 18,000 shares of the company’s stock in a transaction dated Tuesday, September 30th. The shares were sold at an average price of $229.10, for a total transaction of $4,123,800.00. Following the sale, the chief executive officer directly owned 494,104 shares of the company’s stock, valued at $113,199,226.40. This represents a 3.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 465,333 shares of company stock worth $97,164,104. Company insiders own 34.25% of the company’s stock.

Hedge Funds Weigh In On Reddit

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RDDT. Vanguard Group Inc. grew its position in Reddit by 12.9% during the 3rd quarter. Vanguard Group Inc. now owns 12,238,508 shares of the company’s stock worth $2,814,734,000 after purchasing an additional 1,401,293 shares in the last quarter. Alliancebernstein L.P. boosted its position 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 worth $593,733,000 after buying an additional 2,871,232 shares during the period. State Street Corp boosted its position in shares of Reddit by 22.3% in the third quarter. State Street Corp now owns 2,481,931 shares of the company’s stock worth $570,819,000 after buying an additional 451,792 shares during the period. JPMorgan Chase & Co. grew its holdings in shares of Reddit by 7.5% during the second quarter. JPMorgan Chase & Co. now owns 2,051,175 shares of the company’s stock valued at $308,846,000 after buying an additional 143,680 shares in the last quarter. Finally, Geode Capital Management LLC raised its position in Reddit by 72.1% during the second quarter. Geode Capital Management LLC now owns 1,989,004 shares of the company’s stock valued at $299,044,000 after buying an additional 833,245 shares during the period.

About Reddit

Reddit is an online social news aggregation, discussion and content-sharing platform organized around user-created communities called “subreddits,” each focused on a particular topic or interest. Registered users submit links, text posts, images and video, and community members vote and comment to surface popular content. The site is accessed via its web platform and mobile apps for iOS and Android, and it supports live events such as Ask Me Anything (AMA) sessions and community-driven discussions.

Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit is headquartered in San Francisco and serves a global audience with particularly large user bases in the United States and other English-speaking markets.