Reddit (NYSE:RDDT) Sets New 52-Week High – Should You Buy?

Reddit, Inc. (NYSE:RDDT)’s share price reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $187.48 and last traded at $187.01, with a volume of 863235 shares changing hands. The stock had previously closed at $177.74.

Wall Street Analysts Forecast Growth

RDDT has been the subject of a number of research reports. Sanford C. Bernstein raised their price objective on shares of Reddit from $65.00 to $85.00 and gave the company an “underperform” rating in a report on Wednesday, October 30th. JMP Securities raised their price target on shares of Reddit from $118.00 to $160.00 and gave the company a “market outperform” rating in a research note on Monday, November 25th. Wells Fargo & Company started coverage on shares of Reddit in a research note on Wednesday, December 11th. They issued an “overweight” rating and a $206.00 price objective on the stock. Bank of America raised their target price on Reddit from $84.00 to $99.00 and gave the stock a “neutral” rating in a research report on Wednesday, October 30th. Finally, Robert W. Baird upped their price target on Reddit from $100.00 to $160.00 and gave the company a “neutral” rating in a research report on Wednesday, December 11th. One investment analyst has rated the stock with a sell rating, five have issued a hold rating, fourteen have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Reddit presently has an average rating of “Moderate Buy” and an average price target of $132.70.

Reddit Trading Down 4.0 %

The firm’s 50-day moving average price is $150.17 and its 200 day moving average price is $94.90.

Reddit (NYSE:RDDT) last posted its quarterly earnings results on Tuesday, October 29th. The company reported $0.16 earnings per share for the quarter, beating the consensus estimate of ($0.07) by $0.23. Reddit had a negative net margin of 47.83% and a negative return on equity of 40.54%. The firm had revenue of $348.40 million during the quarter, compared to the consensus estimate of $313.61 million. The firm’s revenue for the quarter was up 67.9% on a year-over-year basis. Research analysts expect that Reddit, Inc. will post -3.46 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Steve Ladd Huffman sold 14,000 shares of the business’s stock in a transaction that occurred on Tuesday, December 31st. The stock was sold at an average price of $165.33, for a total transaction of $2,314,620.00. Following the completion of the sale, the chief executive officer now owns 614,394 shares in the company, valued at $101,577,760.02. The trade was a 2.23 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Benjamin Seong Lee sold 18,519 shares of the company’s stock in a transaction that occurred on Friday, November 22nd. The stock was sold at an average price of $146.06, for a total value of $2,704,885.14. Following the transaction, the insider now directly owns 138,401 shares in the company, valued at $20,214,850.06. The trade was a 11.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 264,357 shares of company stock valued at $35,297,700.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in RDDT. StoneCrest Wealth Management Inc. raised its holdings in shares of Reddit by 2.6% in the 3rd quarter. StoneCrest Wealth Management Inc. now owns 6,846 shares of the company’s stock worth $451,000 after acquiring an additional 176 shares during the last quarter. Whittier Trust Co. purchased a new stake in shares of Reddit in the third quarter worth approximately $42,000. SOA Wealth Advisors LLC. lifted its holdings in shares of Reddit by 56.3% in the third quarter. SOA Wealth Advisors LLC. now owns 1,919 shares of the company’s stock valued at $126,000 after purchasing an additional 691 shares in the last quarter. MML Investors Services LLC boosted its position in shares of Reddit by 12.0% during the third quarter. MML Investors Services LLC now owns 7,085 shares of the company’s stock valued at $467,000 after buying an additional 757 shares during the last quarter. Finally, Vestor Capital LLC grew its holdings in Reddit by 1.1% during the third quarter. Vestor Capital LLC now owns 84,787 shares of the company’s stock worth $5,589,000 after buying an additional 922 shares in the last quarter.

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.