Federated Hermes Inc. Invests $165.25 Million in Reddit Inc. $RDDT

Federated Hermes Inc. bought a new stake in Reddit Inc. (NYSE:RDDT) in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 718,493 shares of the company’s stock, valued at approximately $165,246,000. Federated Hermes Inc. owned approximately 0.38% of Reddit at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Resona Asset Management Co. Ltd. lifted its stake in Reddit by 53.2% in the third quarter. Resona Asset Management Co. Ltd. now owns 30,944 shares of the company’s stock valued at $7,166,000 after buying an additional 10,743 shares during the last quarter. Teacher Retirement System of Texas raised its position in Reddit by 880.5% in the 2nd quarter. Teacher Retirement System of Texas now owns 94,676 shares of the company’s stock valued at $14,255,000 after purchasing an additional 85,020 shares during the last quarter. Union Bancaire Privee UBP SA purchased a new stake in Reddit in the 2nd quarter valued at $2,078,000. J. Safra Sarasin Holding AG acquired a new stake in Reddit during the 2nd quarter worth $226,000. Finally, Plato Investment Management Ltd grew its position in Reddit by 120.2% during the 2nd quarter. Plato Investment Management Ltd now owns 2,970 shares of the company’s stock worth $446,000 after purchasing an additional 1,621 shares during the last quarter.

Insider Transactions at Reddit

In other news, CTO Christopher Brian Slowe sold 14,000 shares of Reddit stock in a transaction that occurred on Thursday, January 22nd. The shares were sold at an average price of $212.61, for a total transaction of $2,976,540.00. Following the completion of the sale, the chief technology officer directly owned 167,694 shares in the company, valued at approximately $35,653,421.34. This trade represents a 7.71% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Jennifer L. Wong sold 27,159 shares of the company’s stock in a transaction that occurred on Tuesday, January 20th. The stock was sold at an average price of $225.73, for a total value of $6,130,601.07. Following the completion of the sale, the chief operating officer owned 1,157,369 shares in the company, valued at approximately $261,252,904.37. This represents a 2.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 523,511 shares of company stock valued at $114,370,884. 34.25% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

RDDT has been the subject of a number of research reports. Wells Fargo & Company upped their target price on shares of Reddit from $186.00 to $207.00 and gave the company an “equal weight” rating in a report on Monday, January 12th. Bank of America upped their price objective on Reddit from $180.00 to $210.00 and gave the company a “neutral” rating in a research note on Friday, October 31st. B. Riley reaffirmed a “buy” rating and set a $245.00 price objective (up from $235.00) on shares of Reddit in a research report on Friday, October 31st. JPMorgan Chase & Co. lifted their target price on Reddit from $190.00 to $227.00 and gave the company a “neutral” rating in a research note on Friday, October 31st. Finally, The Goldman Sachs Group restated a “neutral” rating and set a $236.00 price target on shares of Reddit in a research note on Tuesday, October 14th. Two equities research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Reddit presently has a consensus rating of “Moderate Buy” and an average price target of $245.18.

Key Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Deutsche Bank and other brokers raised price targets and maintained buy ratings, signaling continued analyst conviction in Reddit’s 2026 growth case. Deutsche Bank Raises Reddit PT to $285
• Positive Sentiment: Recent results show strong revenue acceleration and margin improvement (Q3 revenue +67.9% y/y; EPS beat), supporting longer-term upside despite volatility. MarketBeat Stock Profile
• Neutral Sentiment: Several articles outline why Reddit could be an attractive multi-year investment, but they mostly restate growth thesis rather than new catalysts. What Makes Reddit an Attractive Investment Bet?
• Neutral Sentiment: Reddit’s legal move to restrict use of the “WallStreetBets” name at a Miami event drew attention to trademark enforcement — possible reputational noise but unclear financial impact. Reddit Lawyers Force Founder to Redact “WallStreetBets”
• Negative Sentiment: An analyst note warning of slowing growth in 2026 triggered downwards pressure; media reported a ~9% drop after the warning. This is the clearest proximate cause of today’s pullback. Reddit stock tumbles 9% as analyst warns of slowing growth
• Negative Sentiment: Reports that YouTube has become a primary social source for AI-model training and content discovery raise competitive and content-sourcing concerns that could affect engagement and ad monetization. Reddit stock is tumbling and YouTube may be to blame
• Negative Sentiment: CTO Christopher Slowe sold 14,000 shares (recent insider selling series), which can weigh on investor sentiment even though insiders still hold large positions. CTO Insider Sale SEC Filing
• Negative Sentiment: Market commentary and data outlets flagged the same-day drop and higher-than-average trading volume, reinforcing the negative tone. Zacks: Stock Drops Despite Market Gains

Reddit Price Performance

RDDT opened at $196.28 on Wednesday. Reddit Inc. has a 12 month low of $79.75 and a 12 month high of $282.95. The stock has a market capitalization of $37.20 billion, a P/E ratio of 112.80, a P/E/G ratio of 1.48 and a beta of 2.17. The business has a 50 day simple moving average of $226.21 and a 200-day simple moving average of $214.33.

Reddit (NYSE:RDDT) last announced its quarterly earnings data on Thursday, October 30th. The company reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates of $0.50 by $0.30. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The firm had revenue of $584.91 million for the quarter, compared to analyst estimates of $546.65 million. During the same quarter in the prior year, the company posted $0.16 earnings per share. Reddit’s quarterly revenue was up 67.9% on a year-over-year basis. Research analysts anticipate that Reddit Inc. will post 1.12 EPS for the current year.

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.