Reddit (NYSE:RDDT) Price Target Raised to $275.00

Reddit (NYSE:RDDT) had its target price raised by research analysts at Truist Financial from $265.00 to $275.00 in a note issued to investors on Friday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Truist Financial’s price objective points to a potential upside of 84.44% from the stock’s previous close.

Other analysts have also issued reports about the company. Telsey Advisory Group set a $240.00 target price on Reddit in a report on Friday. Jefferies Financial Group set a $250.00 price target on shares of Reddit in a research report on Friday, July 10th. Rothschild & Co Redburn set a $110.00 target price on Reddit in a research report on Monday, April 27th. Piper Sandler reaffirmed an “overweight” rating and set a $215.00 price objective on shares of Reddit in a research report on Thursday, July 9th. Finally, Zacks Research upgraded shares of Reddit from a “hold” rating to a “strong-buy” rating in a report on Monday. Two research analysts have rated the stock with a Strong Buy rating, twenty have issued a Buy rating and eleven have given a Hold rating to the company. According to MarketBeat, Reddit currently has an average rating of “Moderate Buy” and a consensus price target of $228.65.

Reddit Price Performance

RDDT opened at $149.10 on Friday. Reddit has a 1-year low of $119.27 and a 1-year high of $282.95. The company has a 50 day simple moving average of $176.74 and a two-hundred day simple moving average of $165.09. The firm has a market cap of $28.70 billion, a P/E ratio of 42.12 and a beta of 1.93.

Reddit (NYSE:RDDT) last announced its earnings results on Thursday, July 30th. The company reported $1.25 EPS for the quarter, topping analysts’ consensus estimates of $0.95 by $0.30. The firm had revenue of $804.91 million during the quarter, compared to analysts’ expectations of $731.00 million. Reddit had a return on equity of 25.48% and a net margin of 28.60%.The company’s quarterly revenue was up 61.0% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.45 EPS. Equities analysts anticipate that Reddit will post 4.85 earnings per share for the current year.

Insiders Place Their Bets

In other Reddit news, COO Jennifer L. Wong sold 39,167 shares of the firm’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $158.52, for a total value of $6,208,752.84. Following the sale, the chief operating officer directly owned 1,088,451 shares of the company’s stock, valued at approximately $172,541,252.52. This trade represents a 3.47% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Michelle Marie Reynolds sold 808 shares of the business’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $200.00, for a total transaction of $161,600.00. Following the sale, the chief accounting officer directly 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. 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. Insiders have sold a total of 169,141 shares of company stock valued at $28,680,845 in the last quarter. 28.48% of the stock is currently owned by company insiders.

Institutional Trading of Reddit

Several institutional investors have recently added to or reduced their stakes in the business. Evansbrook LLC boosted its holdings in Reddit by 2.2% during the first quarter. Evansbrook LLC now owns 2,736 shares of the company’s stock valued at $368,000 after acquiring an additional 59 shares during the period. Institute for Wealth Management LLC. raised its holdings in shares of Reddit by 6.1% in the fourth quarter. Institute for Wealth Management LLC. now owns 1,071 shares of the company’s stock valued at $246,000 after buying an additional 62 shares during the last quarter. Signaturefd LLC increased its stake in shares of Reddit by 7.6% in the 2nd quarter. Signaturefd LLC now owns 878 shares of the company’s stock valued at $152,000 after buying an additional 62 shares during the period. EverSource Wealth Advisors LLC raised its holdings in Reddit by 48.1% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 197 shares of the company’s stock worth $34,000 after purchasing an additional 64 shares during the last quarter. Finally, Florida Financial Advisors LLC increased its holdings in Reddit by 6.7% in the fourth quarter. Florida Financial Advisors LLC now owns 1,087 shares of the company’s stock valued at $250,000 after purchasing an additional 68 shares during the last quarter.

More Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Q2 results beat expectations. Reddit reported adjusted EPS of $1.25, versus the $0.95–$0.99 analyst consensus, while revenue rose 61% year over year to $804.9 million, well above the roughly $731 million estimate. Net income reached $253 million, supported by continued user growth and higher advertising revenue. Reddit crushes revenue and earnings estimates, issues strong guidance
• Positive Sentiment: Third-quarter guidance exceeded Wall Street forecasts. Reddit projected revenue of $860 million to $870 million, above the $829.7 million consensus estimate. Management also said AI-powered advertising tools are helping attract marketers and support commercial momentum. Reddit expects revenue above estimates as AI tools attract advertisers
• Positive Sentiment: Analyst sentiment improved. KeyCorp upgraded Reddit to “strong buy,” reflecting confidence in the company’s growth and momentum. Reddit upgraded by KeyCorp
• Neutral Sentiment: Management defended Reddit’s search value. CEO Steve Huffman said Google’s AI Overviews have not yet replaced the value of traditional search links, but the company acknowledged that search-engine referrals have become “choppy.”
• Negative Sentiment: AI-related search disruption overshadowed the earnings beat. Investors are concerned that Google’s AI search features could reduce traffic referrals to Reddit and potentially weaken user growth, engagement, and advertising monetization. Reports also suggested Reddit could reconsider a Google partnership reportedly worth about $60 million annually if search traffic continues to deteriorate. Reddit’s strong quarter fails to lift shares as AI search concerns linger

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.