Reddit (NYSE:RDDT) Shares Down 12.9% – Here’s What Happened

Reddit, Inc. (NYSE:RDDT) traded down 12.9% on Monday . The company traded as low as $119.23 and last traded at $116.72. 2,788,790 shares traded hands during mid-day trading, a decline of 49% from the average session volume of 5,473,171 shares. The stock had previously closed at $133.98.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Roth Capital cut Reddit from a “strong-buy” rating to a “hold” rating in a report on Wednesday, January 22nd. Jefferies Financial Group increased their price objective on Reddit from $120.00 to $175.00 and gave the stock a “buy” rating in a research report on Monday, November 25th. Morgan Stanley increased their price objective on Reddit from $200.00 to $210.00 and gave the stock an “overweight” rating in a research report on Thursday, February 13th. Loop Capital raised their price target on Reddit from $180.00 to $210.00 and gave the stock a “buy” rating in a research report on Thursday, February 13th. Finally, Robert W. Baird increased their price objective on Reddit from $160.00 to $185.00 and gave the company a “neutral” rating in a research note on Thursday, February 13th. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating, eleven have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $175.95.

Reddit Trading Up 14.6 %

The business’s 50-day moving average is $179.61 and its two-hundred day moving average is $132.31. The stock has a market capitalization of $22.25 billion and a PE ratio of -15.91.

Reddit (NYSE:RDDT) last announced its quarterly earnings results on Wednesday, February 12th. The company reported $0.36 earnings per share for the quarter, topping analysts’ consensus estimates of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%. On average, analysts predict that Reddit, Inc. will post 1.12 EPS for the current year.

Insider Buying and Selling at Reddit

In other Reddit news, Director Mary Porter Gale sold 20,000 shares of the company’s stock in a transaction dated Friday, February 21st. The shares were sold at an average price of $169.71, for a total value of $3,394,200.00. Following the completion of the transaction, the director now directly owns 26,309 shares of the company’s stock, valued at $4,464,900.39. This represents a 43.19 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Benjamin Seong Lee sold 92,299 shares of the company’s stock in a transaction dated Tuesday, March 4th. The shares were sold at an average price of $157.35, for a total transaction of $14,523,247.65. Following the completion of the sale, the insider now owns 115,001 shares in the company, valued at approximately $18,095,407.35. This trade represents a 44.52 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 393,386 shares of company stock valued at $66,673,388 in the last ninety days.

Institutional Investors Weigh In On Reddit

A number of institutional investors have recently modified their holdings of RDDT. Chartwell Investment Partners LLC raised its stake in shares of Reddit by 80.8% in the 3rd quarter. Chartwell Investment Partners LLC now owns 22,544 shares of the company’s stock valued at $1,486,000 after purchasing an additional 10,072 shares in the last quarter. Entropy Technologies LP acquired a new stake in shares of Reddit in the 3rd quarter valued at about $231,000. Sumitomo Mitsui Trust Group Inc. raised its stake in shares of Reddit by 64.9% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 512,871 shares of the company’s stock valued at $33,808,000 after purchasing an additional 201,776 shares in the last quarter. Victory Capital Management Inc. raised its stake in shares of Reddit by 903.8% in the 3rd quarter. Victory Capital Management Inc. now owns 504,116 shares of the company’s stock valued at $33,231,000 after purchasing an additional 453,894 shares in the last quarter. Finally, Claro Advisors LLC acquired a new stake in Reddit during the third quarter worth about $1,879,000.

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.