Reddit (NYSE:RDDT) Stock Price Down 6.8% – Time to Sell?

Reddit, Inc. (NYSE:RDDT)’s share price fell 6.8% during mid-day trading on Tuesday . The stock traded as low as $154.33 and last traded at $155.88. 7,026,928 shares changed hands during mid-day trading, an increase of 37% from the average session volume of 5,119,668 shares. The stock had previously closed at $167.17.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on RDDT. Loop Capital increased their price objective on shares of Reddit from $120.00 to $180.00 and gave the stock a “buy” rating in a research report on Monday, December 2nd. Piper Sandler reissued an “overweight” rating and issued a $150.00 price objective (up previously from $115.00) on shares of Reddit in a research report on Tuesday, November 19th. JMP Securities increased their price objective on shares of Reddit from $118.00 to $160.00 and gave the stock a “market outperform” rating in a research report on Monday, November 25th. Raymond James upped their target price on shares of Reddit from $70.00 to $80.00 and gave the company a “strong-buy” rating in a research note on Thursday, October 10th. Finally, Bank of America upped their target price on shares of Reddit from $84.00 to $99.00 and gave the company a “neutral” rating in a research note on Wednesday, October 30th. One research analyst has rated the stock with a sell rating, five have given a hold rating, twelve have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, Reddit presently has a consensus rating of “Moderate Buy” and a consensus price target of $110.39.

Reddit Trading Down 6.7 %

The stock’s 50 day simple moving average is $110.31 and its 200 day simple moving average is $78.53.

Reddit (NYSE:RDDT) last posted its quarterly earnings results on Tuesday, October 29th. The company reported $0.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 company had revenue of $348.40 million for the quarter, compared to the consensus estimate of $313.61 million. Reddit’s revenue was up 67.9% on a year-over-year basis. On average, equities research analysts predict that Reddit, Inc. will post -3.54 earnings per share for the current fiscal year.

Insider Transactions at Reddit

In related news, CEO Steve Ladd Huffman sold 14,000 shares of the stock in a transaction dated Friday, November 29th. The shares were sold at an average price of $141.79, for a total value of $1,985,060.00. Following the sale, the chief executive officer now owns 634,971 shares of the company’s stock, valued at $90,032,538.09. This trade represents a 2.16 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Mary Porter Gale sold 5,000 shares of the stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $114.40, for a total transaction of $572,000.00. Following the completion of the sale, the director now directly owns 46,459 shares in the company, valued at approximately $5,314,909.60. This trade represents a 9.72 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 325,644 shares of company stock worth $31,195,790.

Institutional Trading of Reddit

Large investors have recently modified their holdings of the company. Whittier Trust Co. acquired a new position in Reddit during the 3rd quarter valued at about $42,000. SOA Wealth Advisors LLC. acquired a new position in Reddit during the 2nd quarter valued at about $78,000. Daiwa Securities Group Inc. acquired a new position in Reddit during the 3rd quarter valued at about $85,000. UMB Bank n.a. acquired a new position in Reddit during the 2nd quarter valued at about $88,000. Finally, Sanctuary Advisors LLC acquired a new position in Reddit during the 3rd quarter valued at about $144,000.

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.