Reddit (NYSE:RDDT) Releases Quarterly Earnings Results, Beats Expectations By $0.12 EPS

Reddit (NYSE:RDDT) posted its quarterly earnings data on Wednesday. The company reported $0.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.24 by $0.12, Zacks reports. Reddit had a negative return on equity of 40.54% and a negative net margin of 47.83%.

Reddit Stock Up 1.5 %

RDDT stock traded up $3.20 during midday trading on Wednesday, reaching $216.96. The company had a trading volume of 8,858,212 shares, compared to its average volume of 4,910,688. The company has a 50 day moving average of $179.35 and a two-hundred day moving average of $116.59. Reddit has a 1 year low of $37.35 and a 1 year high of $230.41.

Analysts Set New Price Targets

Several research analysts have weighed in on RDDT shares. JMP Securities raised their price objective on shares of Reddit from $160.00 to $190.00 and gave the stock a “market outperform” rating in a report on Monday, January 27th. Morgan Stanley upgraded Reddit from an “equal weight” rating to an “overweight” rating and lifted their target price for the stock from $70.00 to $200.00 in a research report on Monday, December 9th. Piper Sandler boosted their price target on Reddit from $150.00 to $197.00 and gave the company an “overweight” rating in a report on Tuesday, January 14th. Seaport Res Ptn raised Reddit to a “hold” rating in a report on Thursday, February 6th. Finally, Robert W. Baird raised their price target on shares of Reddit from $100.00 to $160.00 and gave the company a “neutral” rating in a research note on Wednesday, December 11th. One investment analyst has rated the stock with a sell rating, eight have given a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, Reddit has a consensus rating of “Moderate Buy” and an average price target of $162.20.

Insider Activity

In related news, CEO Steve Ladd Huffman sold 14,000 shares of the firm’s stock in a transaction that occurred on Friday, January 31st. The shares were sold at an average price of $201.96, for a total transaction of $2,827,440.00. Following the transaction, the chief executive officer now owns 614,394 shares of the company’s stock, valued at approximately $124,083,012.24. This trade represents a 2.23 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Jennifer L. Wong sold 33,333 shares of the business’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $128.13, for a total transaction of $4,270,957.29. Following the completion of the sale, the chief operating officer now directly owns 1,542,457 shares of the company’s stock, valued at $197,635,015.41. This represents a 2.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 259,357 shares of company stock worth $41,121,108 in the last ninety days.

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.