Reddit (NYSE:RDDT) Shares Down 8.6% on Insider Selling

Reddit, Inc. (NYSE:RDDT) shares dropped 8.6% on Thursday following insider selling activity. The stock traded as low as $172.20 and last traded at $173.43. Approximately 5,745,156 shares traded hands during mid-day trading, a decline of 0% from the average daily volume of 5,750,339 shares. The stock had previously closed at $189.66.

Specifically, CEO Steve Ladd Huffman sold 14,000 shares of the firm’s stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $187.78, for a total value of $2,628,920.00. Following the completion of the transaction, the chief executive officer now directly owns 614,394 shares of the company’s stock, valued at $115,370,905.32. This trade represents a 2.23 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Jennifer L. Wong sold 33,333 shares of the firm’s stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $187.72, for a total value of $6,257,270.76. Following the completion of the transaction, the chief operating officer now directly owns 1,504,297 shares of the company’s stock, valued at $282,386,632.84. The trade was a 2.17 % decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analysts Set New Price Targets

A number of equities analysts have recently commented on RDDT shares. Loop Capital raised their price target on Reddit from $180.00 to $210.00 and gave the stock a “buy” rating in a report on Thursday, February 13th. Needham & Company LLC raised their price target on Reddit from $190.00 to $220.00 and gave the stock a “buy” rating in a report on Thursday, February 13th. The Goldman Sachs Group raised their price target on Reddit from $105.00 to $176.00 and gave the stock a “neutral” rating in a report on Tuesday, January 14th. Roth Capital lowered Reddit from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, January 22nd. Finally, B. Riley lifted their price objective on Reddit from $112.00 to $187.00 and gave the company a “buy” rating in a research note on Tuesday, January 14th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating, twelve have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat.com, Reddit presently has a consensus rating of “Moderate Buy” and an average target price of $175.95.

Reddit Stock Down 5.2 %

The stock has a market cap of $30.08 billion and a PE ratio of -21.51. The company has a fifty day moving average price of $184.13 and a 200 day moving average price of $123.17.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Wednesday, February 12th. The company reported $0.36 earnings per share for the quarter, beating the consensus estimate of $0.24 by $0.12. Reddit had a negative return on equity of 24.71% and a negative net margin of 37.25%. As a group, research analysts predict that Reddit, Inc. will post 1.12 earnings per share for the current year.

Institutional Trading of Reddit

A number of hedge funds have recently made changes to their positions in RDDT. Raymond James & Associates boosted its position in shares of Reddit by 60.3% in the 3rd quarter. Raymond James & Associates now owns 68,374 shares of the company’s stock worth $4,507,000 after purchasing an additional 25,733 shares in the last quarter. Whittier Trust Co. bought a new stake in shares of Reddit in the 3rd quarter worth approximately $42,000. Foundations Investment Advisors LLC bought a new stake in shares of Reddit in the 3rd quarter worth approximately $341,000. Lyell Wealth Management LP bought a new stake in shares of Reddit in the 3rd quarter worth approximately $516,000. Finally, DekaBank Deutsche Girozentrale boosted its position in shares of Reddit by 5.0% in the 3rd quarter. DekaBank Deutsche Girozentrale now owns 141,800 shares of the company’s stock worth $9,347,000 after purchasing an additional 6,800 shares in the last quarter.

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.