Guggenheim Issues Pessimistic Forecast for Reddit (NYSE:RDDT) Stock Price

Reddit (NYSE:RDDT) had its price target dropped by Guggenheim from $210.00 to $170.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Guggenheim’s target price would suggest a potential upside of 47.24% from the company’s current price.

Several other brokerages also recently issued reports on RDDT. Roth Mkm downgraded shares of Reddit from a “buy” rating to a “neutral” rating and raised their target price for the company from $116.00 to $195.00 in a research note on Wednesday, January 22nd. Wells Fargo & Company raised their target price on shares of Reddit from $206.00 to $215.00 and gave the company an “overweight” rating in a research note on Thursday, February 13th. Jefferies Financial Group raised their price objective on shares of Reddit from $120.00 to $175.00 and gave the stock a “buy” rating in a research report on Monday, November 25th. Raymond James cut their price objective on shares of Reddit from $250.00 to $200.00 and set a “strong-buy” rating for the company in a research report on Wednesday, March 12th. Finally, Redburn Atlantic initiated coverage on shares of Reddit in a research report on Monday, March 17th. They set a “sell” rating and a $75.00 price objective for the company. Two research analysts have rated the stock with a sell rating, nine have given a hold rating, eleven have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $162.68.

Reddit Price Performance

Reddit stock opened at $115.46 on Thursday. The firm has a 50-day moving average of $171.19 and a 200-day moving average of $134.62. Reddit has a one year low of $37.35 and a one year high of $230.41. The company has a market cap of $20.89 billion and a price-to-earnings ratio of -14.94.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Wednesday, February 12th. The company reported $0.36 EPS for the quarter, topping analysts’ consensus estimates of $0.24 by $0.12. Reddit had a negative net margin of 37.25% and a negative return on equity of 24.71%. As a group, sell-side analysts expect that Reddit will post 1.12 earnings per share for the current year.

Insider Buying and Selling

In other Reddit news, COO Jennifer L. Wong sold 33,333 shares of Reddit stock in a transaction dated Monday, March 17th. The shares were sold at an average price of $125.22, for a total value of $4,173,958.26. Following the completion of the transaction, the chief operating officer now directly owns 1,466,119 shares of the company’s stock, valued at approximately $183,587,421.18. The trade was a 2.22 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Steve Ladd Huffman sold 124,408 shares of Reddit stock in a transaction dated Friday, March 14th. The stock was sold at an average price of $127.36, for a total transaction of $15,844,602.88. Following the completion of the transaction, the chief executive officer now directly owns 583,515 shares of the company’s stock, valued at $74,316,470.40. This trade represents a 17.57 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 503,794 shares of company stock valued at $78,350,874 over the last quarter.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. FMR LLC raised its holdings in Reddit by 7.5% in the fourth quarter. FMR LLC now owns 13,070,780 shares of the company’s stock worth $2,136,288,000 after buying an additional 913,189 shares during the last quarter. Vanguard Group Inc. raised its holdings in shares of Reddit by 184.2% during the fourth quarter. Vanguard Group Inc. now owns 9,181,390 shares of the company’s stock valued at $1,500,606,000 after purchasing an additional 5,950,909 shares during the last quarter. Jennison Associates LLC purchased a new position in shares of Reddit during the fourth quarter valued at approximately $494,861,000. Holocene Advisors LP raised its holdings in shares of Reddit by 177.6% during the third quarter. Holocene Advisors LP now owns 3,005,977 shares of the company’s stock valued at $198,154,000 after purchasing an additional 1,923,109 shares during the last quarter. Finally, Alliancebernstein L.P. raised its holdings in shares of Reddit by 1,011.1% during the fourth quarter. Alliancebernstein L.P. now owns 2,788,758 shares of the company’s stock valued at $455,795,000 after purchasing an additional 2,537,768 shares during the last quarter.

About Reddit

Reddit, Inc operates a website that organizes digital communities. It organizes communities based on specific interests that enable users to engage in conversations by sharing experiences, submitting links, uploading images and videos, and replying to one another. The company was founded in 2005 and is headquartered in San Francisco, California.