Reddit (NYSE:RDDT) Director Sarah Farrell Purchases 10,500 Shares of Stock

Reddit Inc. (NYSE:RDDT) Director Sarah Farrell bought 10,500 shares of the business’s stock in a transaction dated Friday, March 13th. The shares were purchased at an average price of $132.26 per share, for a total transaction of $1,388,730.00. Following the transaction, the director directly owned 61,000 shares of the company’s stock, valued at approximately $8,067,860. This represents a 20.79% increase in their position. The purchase was disclosed in a filing with the SEC, which is available through this hyperlink.

Reddit Stock Performance

Reddit stock opened at $144.00 on Wednesday. The company has a market capitalization of $27.51 billion, a P/E ratio of 54.96, a PEG ratio of 1.02 and a beta of 2.40. Reddit Inc. has a fifty-two week low of $79.75 and a fifty-two week high of $282.95. The stock has a 50-day simple moving average of $173.34 and a 200-day simple moving average of $203.70.

Reddit (NYSE:RDDT) last released its quarterly earnings results on Thursday, February 5th. The company reported $1.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.96 by $0.28. The firm had revenue of $725.61 million for the quarter, compared to the consensus estimate of $665.80 million. Reddit had a return on equity of 20.89% and a net margin of 24.05%.The firm’s quarterly revenue was up 69.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.36 EPS. As a group, analysts forecast that Reddit Inc. will post 1.12 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on RDDT. Guggenheim increased their price target on shares of Reddit from $245.00 to $255.00 and gave the stock a “buy” rating in a research note on Friday, February 6th. JPMorgan Chase & Co. decreased their target price on shares of Reddit from $227.00 to $200.00 and set a “neutral” rating for the company in a research note on Friday, February 6th. Zacks Research lowered Reddit from a “strong-buy” rating to a “hold” rating in a report on Friday, December 26th. The Goldman Sachs Group reduced their price objective on Reddit from $236.00 to $206.00 and set a “neutral” rating for the company in a research note on Friday, February 6th. Finally, Cantor Fitzgerald lowered their target price on Reddit from $240.00 to $170.00 and set a “neutral” rating on the stock in a research note on Friday, February 6th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and eleven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $242.19.

Key Stories Impacting Reddit

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Strong Q4 fundamentals: recent coverage highlights a huge quarter — revenue up ~70% YoY and meaningful ARPU/monetization gains — which supports the case for continued ad growth and the stock’s re-rating. Reddit Stock: Why It May Finally Be Time to Buy the Dip
• Positive Sentiment: Director Sarah E. Farrell bought 10,500 shares (~$1.39M at ~$132.26), increasing her stake by ~20.8% — a direct insider buy that investors often view as a confidence signal. SEC Filing – Farrell Purchase
• Positive Sentiment: Bullish analyst/coverage momentum: the stock has an average “Moderate Buy” and several bullish pieces argue Reddit is underpriced given rapid ad monetization and AI-driven engagement. Average Recommendation Moderate Buy Is Reddit a Good Stock Now?
• Positive Sentiment: Ad product expansion: a PulsePoint partnership spotlights growth in higher-value healthcare advertising, reinforcing TAM and monetization upside. Reddit’s PulsePoint Tie Up Highlights Healthcare Ads
• Neutral Sentiment: Buyback ambition noted in reporting — potentially supportive for shares but details/timing remain unclear, so impact depends on execution. Surging Q4 Results, Buyback Ambition
• Neutral Sentiment: Competitive/regulatory context: comparisons to Meta highlight Reddit’s faster ad growth and product momentum, but scale and regulatory environment differ — this frames upside potential but with caveats. RDDT vs META: Which Has an Edge?
• Negative Sentiment: CEO Steve Huffman sold 18,000 shares (~$2.39M at ~$132.86). Insider sales can prompt short-term caution even when management retains a large stake. SEC Filing – Huffman Sale
• Negative Sentiment: Regulatory risk flagged alongside strong results — while earnings and monetization look good, potential regulatory scrutiny in ad/content areas is a recurring downside risk for large social platforms. Regulatory Risk Discussed

Institutional Investors Weigh In On Reddit

Hedge funds have recently added to or reduced their stakes in the company. Raiffeisen Bank International AG acquired a new position in Reddit during the 3rd quarter worth approximately $25,000. GW&K Investment Management LLC purchased a new stake in shares of Reddit in the third quarter valued at approximately $30,000. Cornerstone Planning Group LLC grew its holdings in Reddit by 13,500.0% during the third quarter. Cornerstone Planning Group LLC now owns 136 shares of the company’s stock worth $31,000 after acquiring an additional 135 shares during the period. LOM Asset Management Ltd acquired a new position in Reddit during the fourth quarter worth $33,000. Finally, Noble Wealth Management PBC purchased a new position in Reddit in the fourth quarter worth $34,000.

Reddit Company Profile

Reddit is an online social news aggregation, discussion and content-sharing platform organized around user-created communities called “subreddits,” each focused on a particular topic or interest. Registered users submit links, text posts, images and video, and community members vote and comment to surface popular content. The site is accessed via its web platform and mobile apps for iOS and Android, and it supports live events such as Ask Me Anything (AMA) sessions and community-driven discussions.

Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit is headquartered in San Francisco and serves a global audience with particularly large user bases in the United States and other English-speaking markets.