Cantor Fitzgerald Forecasts Strong Price Appreciation for Reddit (NYSE:RDDT) Stock

Reddit (NYSE:RDDT) had its price objective raised by research analysts at Cantor Fitzgerald from $170.00 to $180.00 in a research report issued on Friday,Benzinga reports. The firm presently has a “neutral” rating on the stock. Cantor Fitzgerald’s price objective indicates a potential upside of 9.20% from the company’s previous close.

Several other research analysts have also commented on RDDT. Citigroup restated an “outperform” rating on shares of Reddit in a report on Friday. Deutsche Bank Aktiengesellschaft restated a “buy” rating and issued a $285.00 price objective on shares of Reddit in a report on Tuesday, January 20th. Wells Fargo & Company reaffirmed a “positive” rating and issued a $176.00 target price (up from $149.00) on shares of Reddit in a research report on Friday. UBS Group set a $265.00 target price on shares of Reddit in a research report on Tuesday, January 13th. Finally, Wall Street Zen downgraded shares of Reddit from a “buy” rating to a “hold” rating in a research report on Wednesday, April 8th. One analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and ten have issued a Hold rating to the company. According to data from MarketBeat, Reddit currently has a consensus rating of “Moderate Buy” and a consensus target price of $227.36.

Reddit Stock Performance

NYSE:RDDT traded up $17.61 during midday trading on Friday, reaching $164.84. 7,277,737 shares of the stock traded hands, compared to its average volume of 5,203,650. The company has a fifty day moving average of $144.12 and a 200 day moving average of $184.31. Reddit has a 12 month low of $94.89 and a 12 month high of $282.95. The stock has a market capitalization of $31.49 billion, a P/E ratio of 62.87, a PEG ratio of 1.07 and a beta of 2.40.

Reddit (NYSE:RDDT) last posted its quarterly earnings results on Thursday, April 30th. The company reported $1.01 EPS for the quarter, beating analysts’ consensus estimates of $0.62 by $0.39. Reddit had a net margin of 24.05% and a return on equity of 20.89%. The company had revenue of $663.41 million during the quarter, compared to analyst estimates of $607.74 million. During the same period in the prior year, the business posted $0.13 EPS. The firm’s revenue was up 69.1% compared to the same quarter last year. On average, analysts predict that Reddit will post 4.02 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Steve Ladd Huffman sold 18,000 shares of the stock in a transaction dated Wednesday, April 15th. The stock was sold at an average price of $158.40, for a total value of $2,851,200.00. Following the completion of the sale, the chief executive officer owned 411,195 shares in the company, valued at approximately $65,133,288. This trade represents a 4.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Jennifer L. Wong sold 39,167 shares of Reddit stock in a transaction on Thursday, April 16th. The shares were sold at an average price of $161.47, for a total value of $6,324,295.49. Following the sale, the chief operating officer directly owned 1,088,451 shares in the company, valued at $175,752,182.97. The trade was a 3.47% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have acquired 61,000 shares of company stock valued at $8,870,815 and have sold 280,441 shares valued at $40,873,759. 34.25% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Capital World Investors acquired a new stake in shares of Reddit in the fourth quarter worth about $1,293,258,000. Norges Bank acquired a new position in shares of Reddit during the 4th quarter worth about $372,047,000. Vanguard Group Inc. lifted its position in shares of 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 during the last quarter. Invesco Ltd. lifted its position in shares of Reddit by 419.0% during the 3rd quarter. Invesco Ltd. now owns 1,487,941 shares of the company’s stock worth $342,212,000 after purchasing an additional 1,201,237 shares during the last quarter. Finally, State Street Corp lifted its position in shares of Reddit by 138.5% during the 2nd quarter. State Street Corp now owns 2,030,139 shares of the company’s stock worth $305,678,000 after purchasing an additional 1,178,890 shares during the last quarter.

Key Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Q1 results materially beat expectations — Reddit reported $663M in revenue (well above estimates) and $1.01 adjusted EPS, supported by a ~69% YoY revenue increase and a ~74% jump in ad revenue, signaling stronger monetization. Read More.
• Positive Sentiment: Company provided upbeat Q2 revenue guidance ($715M–$725M), above Street estimates, reinforcing the view that AI-driven ad products are translating into measurable revenue growth. Read More.
• Positive Sentiment: Management and press highlights AI-driven ad performance and product traction (including improved search usage), supporting sustainable ad monetization and longer-term TAM expansion. Read More.
• Positive Sentiment: Several brokers reaffirmed buy ratings and high price targets (Needham $300, DA Davidson $200), indicating continued analyst confidence in upside after the quarter. Read More.
• Neutral Sentiment: Coverage update: Citizens Jmp trimmed its price target from $250 to $240 but kept a “market outperform” rating — a modest pullback in optimism but still positive relative to current levels. Read More.
• Positive Sentiment: Market commentary and headlines emphasize the role of Reddit’s unique community content as “fuel” for AI, which investors interpret as a durable competitive advantage for ad products. Read More.
• Negative Sentiment: Some analyst notes and press pieces highlight differing valuations and mixed views across coverage — price targets vary widely, reflecting uncertainty about how sustainably Reddit can scale margins and ad yields. Read More.

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.