Reddit (NYSE:RDDT) Price Target Cut to $170.00 by Analysts at Cantor Fitzgerald

Reddit (NYSE:RDDT) had its price target decreased by Cantor Fitzgerald from $200.00 to $170.00 in a research report released on Friday morning,Benzinga reports. Cantor Fitzgerald currently has a neutral rating on the stock.

RDDT has been the subject of a number of other reports. Jefferies Financial Group set a $250.00 price objective on shares of Reddit in a research report on Friday, July 10th. DA Davidson reissued a “buy” rating and issued a $200.00 price objective on shares of Reddit in a research report on Thursday, July 23rd. Guggenheim restated a “buy” rating on shares of Reddit in a research note on Friday. Telsey Advisory Group set a $240.00 target price on shares of Reddit in a report on Friday. Finally, The Goldman Sachs Group reiterated a “neutral” rating and issued a $200.00 price target on shares of Reddit in a research note on Friday, May 1st. Two investment analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating and eleven have issued a Hold rating to the stock. Based on data from MarketBeat, Reddit presently has a consensus rating of “Moderate Buy” and an average target price of $223.16.

Reddit Trading Down 21.0%

Shares of NYSE RDDT opened at $140.67 on Friday. The company has a market capitalization of $27.08 billion, a P/E ratio of 32.71 and a beta of 1.93. Reddit has a 12 month low of $119.27 and a 12 month high of $282.95. The stock has a 50 day moving average of $176.72 and a 200-day moving average of $164.92.

Reddit (NYSE:RDDT) last posted its quarterly earnings results on Thursday, July 30th. The company reported $1.25 earnings per share for the quarter, beating analysts’ consensus estimates of $0.95 by $0.30. Reddit had a return on equity of 29.97% and a net margin of 31.35%.The business had revenue of $804.91 million for the quarter, compared to analysts’ expectations of $731.00 million. During the same quarter in the prior year, the business earned $0.45 EPS. The firm’s revenue for the quarter was up 61.0% on a year-over-year basis. Analysts predict that Reddit will post 4.85 EPS for the current fiscal year.

Insider Activity

In related news, CAO Michelle Marie Reynolds sold 808 shares of the stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $200.00, for a total transaction of $161,600.00. Following the sale, the chief accounting officer owned 15,060 shares of the company’s stock, valued at $3,012,000. This represents a 5.09% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction on Tuesday, June 30th. The stock was sold at an average price of $173.13, for a total value of $3,116,340.00. Following the transaction, the chief executive officer owned 373,814 shares in the company, valued at approximately $64,718,417.82. This trade represents a 4.59% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 169,141 shares of company stock worth $28,680,845. Corporate insiders own 28.48% of the company’s stock.

Institutional Trading of Reddit

Institutional investors have recently modified their holdings of the stock. Sunbelt Securities Inc. grew its holdings in shares of Reddit by 87.5% during the 1st quarter. Sunbelt Securities Inc. now owns 195 shares of the company’s stock worth $26,000 after purchasing an additional 91 shares in the last quarter. Ascentis Independent Advisors bought a new position in shares of Reddit in the first quarter worth $30,000. LOM Asset Management Ltd acquired a new position in Reddit in the fourth quarter valued at about $33,000. EverSource Wealth Advisors LLC raised its stake in Reddit by 48.1% in the second quarter. EverSource Wealth Advisors LLC now owns 197 shares of the company’s stock valued at $34,000 after purchasing an additional 64 shares in the last quarter. Finally, Beacon Investment Advisory Services Inc. acquired a new position in Reddit in the second quarter valued at about $35,000.

Reddit News Summary

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Reddit reported second-quarter revenue of approximately $805 million, up 61% year over year, while earnings of $1.25 per share exceeded analysts’ estimates. Advertising demand, higher pricing and user growth supported stronger monetization. Reddit crushes revenue and earnings estimates, issues strong guidance
• Positive Sentiment: Management forecast third-quarter revenue of $860 million to $870 million, above Wall Street’s approximately $830 million expectation. AI-powered advertising tools, product upgrades and continued ad growth are expected to support momentum. Reddit expects revenue above estimates as AI tools attract advertisers
• Positive Sentiment: Analyst sentiment remains mixed but includes bullish views: Truist raised its price target to $275 and maintained a buy rating, while Wedbush kept an outperform rating with a $221 target. KeyCorp also upgraded Reddit to “strong buy.” Reddit analyst actions
• Neutral Sentiment: Reddit is testing a “video Reddit” experience that could let users watch videos and listen to posts in the background, potentially increasing engagement and creating new advertising opportunities over time. Reddit is testing a new way to watch and listen to its viral posts
• Negative Sentiment: The primary selloff trigger was management’s warning that search referrals have become “choppy” or volatile. Investors fear Google’s AI-generated search summaries and other AI search tools could reduce traffic to Reddit, weakening future user growth, engagement and advertising monetization. Reddit Stock Plunges on Choppy Search Referrals Warning
• Negative Sentiment: Investors were also disappointed by slower U.S. daily-user growth and the lack of announced new AI licensing deals, raising questions about Reddit’s longer-term traffic outlook. JPMorgan and Cantor Fitzgerald responded by lowering their price targets to $185 and $170, respectively, while assigning neutral ratings. Reddit earnings: why are investors concerned despite solid headline numbers

About Reddit

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.