Reddit (NYSE:RDDT) Given New $150.00 Price Target at JPMorgan Chase & Co.

Reddit (NYSE:RDDT) had its price objective lowered by equities research analysts at JPMorgan Chase & Co. from $185.00 to $150.00 in a report issued on Friday, Benzinga reports. The brokerage currently has a “neutral” rating on the stock. JPMorgan Chase & Co.‘s price target would suggest a potential upside of 63.51% from the stock’s previous close.

A number of other brokerages also recently weighed in on RDDT. Wells Fargo & Company lowered their target price on shares of Reddit from $142.00 to $110.00 and set an “equal weight” rating for the company in a research note on Friday. B. Riley Financial cut their price target on shares of Reddit from $270.00 to $190.00 and set a “buy” rating on the stock in a research report on Friday. Sanford C. Bernstein reiterated a “market perform” rating and set a $120.00 price target on shares of Reddit in a report on Friday. Truist Financial dropped their price objective on Reddit from $275.00 to $210.00 and set a “buy” rating on the stock in a research note on Friday. Finally, Jefferies Financial Group set a $250.00 target price on Reddit in a research report on Friday, July 10th. Two analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and fourteen have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Reddit presently has a consensus rating of “Moderate Buy” and a consensus target price of $186.65.

Reddit Trading Up 0.0%

NYSE RDDT opened at $91.74 on Friday. Reddit has a 12 month low of $89.28 and a 12 month high of $263.50. The firm has a market capitalization of $17.65 billion, a PE ratio of 18.72, a price-to-earnings-growth ratio of 0.42 and a beta of 2.05. The business’s 50-day moving average price is $150.37 and its two-hundred day moving average price is $160.26.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Thursday, October 29th. The company reported $1.40 EPS for the quarter, topping analysts’ consensus estimates of $1.33 by $0.07. The company had revenue of $894.96 million for the quarter, compared to analyst estimates of $874.91 million. Reddit had a return on equity of 30.57% and a net margin of 32.10%. The firm’s quarterly revenue was up 53.0% on a year-over-year basis. During the same period in the previous year, the firm earned $0.80 earnings per share. As a group, analysts forecast that Reddit will post 5.28 earnings per share for the current fiscal year.

Insider Activity

In other news, COO Jennifer Wong sold 60,000 shares of the company’s stock in a transaction that occurred on Wednesday, October 14th. The stock was sold at an average price of $150.55, for a total transaction of $9,033,000.00. Following the transaction, the chief operating officer directly owned 1,012,226 shares of the company’s stock, valued at $152,390,624.30. This represents a 5.60% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Robert Sauerberg sold 5,128 shares of the stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $159.92, for a total value of $820,069.76. Following the completion of the transaction, the director owned 27,087 shares in the company, valued at approximately $4,331,753.04. This represents a 15.92% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 306,052 shares of company stock worth $49,754,523 over the last quarter. 28.48% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Sunbelt Securities Inc. grew its holdings in shares of Reddit by 87.5% during the first quarter. Sunbelt Securities Inc. now owns 195 shares of the company’s stock valued at $26,000 after buying an additional 91 shares during the last quarter. Ascentis Independent Advisors acquired a new stake in shares of Reddit in the 1st quarter worth about $30,000. EverSource Wealth Advisors LLC lifted its position in Reddit by 48.1% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 197 shares of the company’s stock valued at $34,000 after acquiring an additional 64 shares in the last quarter. Beacon Investment Advisory Services Inc. bought a new position in Reddit in the 2nd quarter valued at about $35,000. Finally, Root Financial Partners LLC acquired a new position in Reddit during the 3rd quarter valued at about $41,000.

Key Stories Impacting Reddit

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Despite weaker U.S. daily active-user trends, Reddit’s revenue increased 53% year over year and advertising revenue per user rose substantially, suggesting strong engagement and advertiser monetization. A post-selloff analysis argued that the market’s reaction may be excessive. Reddit: Google Is Taking Its Traffic, But The Selloff Has Gone Too Far
• Positive Sentiment: Reddit’s revenue growth has overtaken The Trade Desk’s in a recent comparison, highlighting the company’s continued expansion and improving monetization potential. Reddit vs. The Trade Desk: One’s Revenue Growth Overtook the Other’s Lead
• Neutral Sentiment: RBC Capital reaffirmed its Hold rating, indicating neither a material improvement nor deterioration in its investment view. RBC Capital Reaffirms Their Hold Rating on Reddit
• Negative Sentiment: Investors are concerned that Google’s AI search changes are reducing Reddit’s unpaid search traffic. The company’s move toward a logged-in-only experience could protect monetization but may limit user growth and raise customer-acquisition costs. Reddit Stock Plunges After Google AI Cuts U.S. Traffic
• Negative Sentiment: Several firms reduced expectations: Oppenheimer and Citizens JMP downgraded Reddit to Market Perform, while Citigroup, Cantor Fitzgerald, Truist Financial, B. Riley, Wedbush and Wells Fargo cut their price targets or forecasts. Analyst Rating and Target Changes
• Negative Sentiment: The latest selloff followed quarterly results that beat revenue and earnings estimates but were overshadowed by an unfavorable user outlook, reinforcing concerns about traffic growth and future monetization. Reddit Stock Sinks as Q3 Results Clash With User Outlook

About Reddit

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and activities. Members can submit text posts, links, images and videos, as well as comment on and vote on content. The platform includes thousands of communities, commonly known as subreddits, covering subjects such as news, entertainment, technology, sports, finance and lifestyle.

Reddit generates revenue primarily through digital advertising, offering advertisers access to audiences based on community interests and user engagement.