B. Riley Increases Reddit (NYSE:RDDT) Price Target to $250.00

Reddit (NYSE:RDDT) had its price target raised by analysts at B. Riley from $245.00 to $250.00 in a report released on Friday. The firm presently has a “buy” rating on the stock. B. Riley’s target price would suggest a potential upside of 63.41% from the company’s current price.

RDDT has been the subject of several other reports. Raymond James Financial reiterated a “strong-buy” rating and issued a $250.00 price objective (up from $225.00) on shares of Reddit in a report on Monday, October 20th. Citigroup lifted their price target on shares of Reddit from $250.00 to $265.00 and gave the stock a “buy” rating in a research note on Monday, November 3rd. Morgan Stanley set a $240.00 price objective on shares of Reddit in a report on Friday. Weiss Ratings restated a “hold (c-)” rating on shares of Reddit in a report on Monday, December 29th. Finally, Evercore ISI started coverage on shares of Reddit in a research note on Monday, January 12th. They set an “outperform” rating and a $320.00 target price for the company. Two equities research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $244.64.

Reddit Stock Up 0.2%

NYSE:RDDT opened at $152.99 on Friday. The stock has a market cap of $28.99 billion, a price-to-earnings ratio of 87.92, a PEG ratio of 1.06 and a beta of 2.17. The company’s 50 day moving average price is $222.78 and its 200-day moving average price is $214.72. Reddit has a 52 week low of $79.75 and a 52 week high of $282.95.

Reddit (NYSE:RDDT) last released its quarterly earnings data on Thursday, February 5th. The company reported $1.24 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.96 by $0.28. The business had revenue of $725.61 million for the quarter, compared to analysts’ expectations of $665.80 million. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The firm’s quarterly revenue was up 69.7% on a year-over-year basis. During the same period in the prior year, the firm posted $0.36 EPS. As a group, sell-side analysts anticipate that Reddit will post 1.12 earnings per share for the current year.

Insider Buying and Selling at Reddit

In other news, CEO Steve Ladd Huffman sold 18,000 shares of the business’s stock in a transaction on Monday, December 15th. The shares were sold at an average price of $220.28, for a total transaction of $3,965,040.00. Following the completion of the sale, the chief executive officer owned 448,576 shares of the company’s stock, valued at $98,812,321.28. The trade was a 3.86% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CTO Christopher Brian Slowe sold 24,000 shares of the firm’s stock in a transaction on Monday, November 24th. The stock was sold at an average price of $192.72, for a total value of $4,625,280.00. Following the completion of the transaction, the chief technology officer directly owned 175,694 shares in the company, valued at approximately $33,859,747.68. This represents a 12.02% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 523,511 shares of company stock worth $114,237,285. 34.25% of the stock is owned by insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Huntington National Bank lifted its holdings in Reddit by 25.6% during the third quarter. Huntington National Bank now owns 270 shares of the company’s stock valued at $62,000 after purchasing an additional 55 shares in the last quarter. Institute for Wealth Management LLC. raised its position in shares of Reddit by 6.1% during the 4th quarter. Institute for Wealth Management LLC. now owns 1,071 shares of the company’s stock valued at $246,000 after purchasing an additional 62 shares during the period. Roxbury Financial LLC lifted its stake in shares of Reddit by 7.4% during the 4th quarter. Roxbury Financial LLC now owns 929 shares of the company’s stock valued at $214,000 after buying an additional 64 shares in the last quarter. Resona Asset Management Co. Ltd. lifted its stake in shares of Reddit by 0.3% during the 2nd quarter. Resona Asset Management Co. Ltd. now owns 20,201 shares of the company’s stock valued at $3,023,000 after buying an additional 65 shares in the last quarter. Finally, AdvisorNet Financial Inc boosted its holdings in Reddit by 2.8% in the 3rd quarter. AdvisorNet Financial Inc now owns 2,464 shares of the company’s stock worth $567,000 after buying an additional 66 shares during the period.

Reddit News Summary

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Q4 results beat expectations: Reddit reported EPS of $1.24 and revenue of $725.6M (well above estimates), with quarterly profit rising materially year-over-year—this is the primary catalyst supporting the rally. Reddit Q4 Beat (CNBC)
• Positive Sentiment: Management raised near-term revenue expectations and forecast Q1 revenue above Street estimates, citing AI-powered ad product improvements that are attracting marketers—this improves forward visibility for ad growth. Forecasts & AI Ad Tailwinds (Reuters)
• Positive Sentiment: Board approved a $1 billion share repurchase program—a shareholder-friendly move that reduces float and signals confidence from management. $1B Buyback (BusinessWire)
• Positive Sentiment: Product/monetization upside from AI search and continued ad-share gains: management highlighted AI search as a long-term monetization opportunity and third-party data points show strong traffic growth—supports upside to multiple expansion if execution continues. AI Search Opportunity (TechCrunch)
• Neutral Sentiment: Full Q4 call/transcript and detailed metric disclosures are available for investors to parse sustainability of ad momentum and margins. Use the transcript to check cadence of advertiser commentary and guidance nuances. Earnings Call / Transcript
• Neutral Sentiment: Broader market action: futures and macro sentiment are improving after a pullback, which can amplify stock moves but isn’t Reddit-specific. Market Context (Benzinga)
• Negative Sentiment: Insider selling pressure: reports that CEO share sales (~$3.3M) were executed have attracted negative headlines and earlier intraday selling—this can weigh on sentiment even if transactions are routine. CEO Insider Sale (AmericanBankingNews)
• Negative Sentiment: Disclosure change: Reddit plans to stop publishing logged‑in vs. logged‑out user counts in 2026, which could make it harder for investors to track engagement trends and may raise transparency concerns. User Metric Disclosure Change (Shacknews)
• Negative Sentiment: Valuation debate: coverage notes divergent DCF valuations and that shares have lagged some benchmarks—heightened scrutiny on multiples given high P/E and a big run in the stock last year. Valuation Divergence (Yahoo Finance)

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.