Corsair Capital Management L.P. Makes New $673,000 Investment in Reddit Inc. $RDDT

Corsair Capital Management L.P. bought a new stake in Reddit Inc. (NYSE:RDDT) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm bought 5,000 shares of the company’s stock, valued at approximately $673,000.

A number of other hedge funds and other institutional investors also recently modified their holdings of the stock. Vanguard Group Inc. grew its holdings in shares of Reddit by 8.9% in the 4th quarter. Vanguard Group Inc. now owns 13,322,048 shares of the company’s stock worth $3,062,339,000 after acquiring an additional 1,083,540 shares during the period. Capital World Investors acquired a new position in Reddit during the fourth quarter worth $1,293,258,000. State Street Corp boosted its position in Reddit by 6.0% during the fourth quarter. State Street Corp now owns 2,631,332 shares of the company’s stock worth $604,864,000 after purchasing an additional 149,401 shares in the last quarter. Geode Capital Management LLC boosted its position in Reddit by 4.7% during the fourth quarter. Geode Capital Management LLC now owns 2,382,712 shares of the company’s stock worth $546,789,000 after purchasing an additional 106,821 shares in the last quarter. Finally, Morgan Stanley grew its holdings in Reddit by 11.4% in the fourth quarter. Morgan Stanley now owns 2,372,443 shares of the company’s stock valued at $545,354,000 after purchasing an additional 242,709 shares during the last quarter.

Key Headlines Impacting Reddit

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Reddit was added to Wedbush’s Best Ideas list ahead of Q2 results, and DA Davidson reiterated a Buy rating with a $200 price target, signaling Wall Street still sees meaningful upside. Reddit added to Wedbush Best Ideas List ahead of Q2 results
• Positive Sentiment: Several recent bullish notes say Reddit’s fundamentals remain strong, with rapid revenue growth, high margins, and ad-driven expansion supporting the stock despite valuation concerns. Reddit: Ignore The Potential Google Scuffle And Carry On
• Positive Sentiment: Investors are looking for a Q2 beat, with guidance pointing to roughly 43% to 45% year-over-year revenue growth and a strong EBITDA margin, which could reinforce the growth story if delivered. Reddit: Why I’m Staying Bullish Into The Q2 Print
• Neutral Sentiment: Analyst commentary this week has focused on Reddit alongside other communication-services names, but no major new company-specific catalyst was disclosed in the headline item. Analysts Offer Insights on Communication Services Companies
• Neutral Sentiment: Reddit’s upcoming earnings report is expected to show growth, but some screening models suggest the setup is not ideal for a clean earnings beat, keeping expectations mixed. Reddit Inc. (RDDT) Reports Next Week: Wall Street Expects Earnings Growth
• Negative Sentiment: The main overhang is renewed uncertainty around Reddit’s reported $60 million-per-year Google AI licensing deal, with some reports suggesting Reddit may rethink the agreement if renewal talks stall or content restrictions emerge. Reddit (RDDT) May Rethink $60 Million Google AI Deal As Renewal Talks Drag
• Negative Sentiment: Recent reports of a possible Google content restriction or AI feud triggered a sharp drop in the stock and pushed Reddit below key moving averages, signaling weaker momentum in the near term. Reddit stock plunges on report of possible Google content restrictions

Reddit Stock Up 0.0%

NYSE RDDT opened at $168.75 on Monday. Reddit Inc. has a fifty-two week low of $119.27 and a fifty-two week high of $282.95. The business has a fifty day moving average of $174.67 and a 200-day moving average of $167.15. The stock has a market cap of $32.49 billion, a price-to-earnings ratio of 48.22 and a beta of 1.93.

Reddit (NYSE:RDDT) last posted its quarterly earnings data on Thursday, April 30th. The company reported $1.01 EPS for the quarter, beating analysts’ consensus estimates of $0.62 by $0.39. The business had revenue of $663.41 million for the quarter, compared to analyst estimates of $607.74 million. Reddit had a return on equity of 25.48% and a net margin of 28.60%.The business’s revenue for the quarter was up 69.1% compared to the same quarter last year. During the same quarter last year, the company earned $0.13 earnings per share. As a group, analysts anticipate that Reddit Inc. will post 4.85 EPS for the current year.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on RDDT. Wedbush restated an “outperform” rating on shares of Reddit in a research report on Thursday. Oppenheimer reiterated an “outperform” rating and issued a $225.00 price objective on shares of Reddit in a research report on Friday, May 1st. Weiss Ratings reissued a “hold (c)” rating on shares of Reddit in a research note on Friday, May 8th. Citizens Jmp dropped their target price on shares of Reddit from $250.00 to $240.00 and set a “market outperform” rating for the company in a report on Friday, May 1st. Finally, Piper Sandler restated an “overweight” rating and set a $215.00 target price on shares of Reddit in a research report on Thursday, July 9th. Nineteen research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $232.48.

Insider Buying and Selling at Reddit

In other Reddit news, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $178.26, for a total transaction of $3,208,680.00. Following the sale, the chief executive officer directly owned 373,814 shares of the company’s stock, valued at $66,636,083.64. This trade represents a 4.59% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Michelle Marie Reynolds sold 808 shares of Reddit stock in a transaction dated 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 approximately $3,012,000. This trade 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. In the last ninety days, insiders have sold 169,141 shares of company stock worth $28,680,845. Corporate insiders own 28.48% of the company’s stock.

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.