Brokerages Set Reddit Inc. (NYSE:RDDT) Price Target at $221.10

Reddit Inc. (NYSE:RDDT) has received an average recommendation of “Moderate Buy” from the thirty-one research firms that are covering the stock, MarketBeat.com reports. Eleven analysts have rated the stock with a hold recommendation, eighteen have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average twelve-month price target among brokers that have covered the stock in the last year is $221.10.

Several research analysts have recently weighed in on RDDT shares. Weiss Ratings reiterated a “hold (c)” rating on shares of Reddit in a report on Wednesday, August 5th. Wedbush dropped their price objective on shares of Reddit from $250.00 to $221.00 and set an “outperform” rating on the stock in a report on Friday, July 31st. Telsey Advisory Group set a $240.00 price objective on shares of Reddit in a research report on Friday, July 31st. Deutsche Bank Aktiengesellschaft set a $200.00 target price on shares of Reddit in a research note on Friday, July 31st. Finally, Citigroup reiterated a “market outperform” rating on shares of Reddit in a report on Monday, August 24th.

Insider Transactions at Reddit

In other Reddit news, Director Robert A. Sauerberg sold 5,128 shares of the company’s stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $159.92, for a total transaction of $820,069.76. Following the completion of the transaction, the director owned 27,087 shares of the company’s stock, valued at $4,331,753.04. This represents a 15.92% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Steve Huffman sold 18,000 shares of the company’s stock in a transaction that occurred 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 directly owned 373,814 shares of the company’s stock, valued at approximately $64,718,417.82. This trade represents a 4.59% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 210,102 shares of company stock valued at $36,375,252 over the last three months. 28.48% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the business. Sunbelt Securities Inc. lifted its position in Reddit by 87.5% during the 1st quarter. Sunbelt Securities Inc. now owns 195 shares of the company’s stock worth $26,000 after buying an additional 91 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of 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 buying an additional 64 shares during the last quarter. Beacon Investment Advisory Services Inc. bought a new position in shares of Reddit in the 2nd quarter valued at about $35,000. Summit Securities Group LLC bought a new position in shares of Reddit in the 4th quarter valued at about $46,000. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA increased its position in shares of Reddit by 214.3% in the fourth quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 220 shares of the company’s stock valued at $51,000 after acquiring an additional 150 shares during the last quarter.

Reddit Price Performance

Shares of Reddit stock opened at $157.88 on Monday. The company has a market capitalization of $30.38 billion, a P/E ratio of 36.72, a price-to-earnings-growth ratio of 0.72 and a beta of 2.02. The business has a 50-day moving average of $167.16 and a two-hundred day moving average of $159.09. Reddit has a 1 year low of $119.27 and a 1 year high of $282.95.

Reddit (NYSE:RDDT) last released its quarterly earnings data on Thursday, July 30th. The company reported $1.25 earnings per share for the quarter, beating the consensus estimate of $0.95 by $0.30. The business had revenue of $804.91 million for the quarter, compared to analysts’ expectations of $731.00 million. Reddit had a return on equity of 29.02% and a net margin of 31.35%.Reddit’s revenue for the quarter was up 61.0% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.45 EPS. On average, equities analysts anticipate that Reddit will post 5.27 EPS for the current fiscal year.

More Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: August user growth reached a 2026 high. Piper Sandler data indicated Reddit’s average users increased 8% month over month in August, the company’s strongest monthly growth rate this year. The data helped reverse a four-session decline and drove renewed investor interest. Reddit stock rises 6% as August user growth hits 2026 high
• Positive Sentiment: International momentum was particularly strong. Reports said international users surged 29% in August, while total user growth accelerated 8% month over month. Expanding overseas engagement could provide Reddit with additional long-term advertising inventory and monetization opportunities. Reddit’s August user growth jumps 8% month-on-month
• Positive Sentiment: Analysts viewed the audience and advertising trends as improving. Piper Sandler described the user-growth acceleration as a powerful signal, while other coverage linked the larger global audience with improving ad trends. This supports the bullish case that Reddit can continue expanding revenue beyond its recent 61% year-over-year growth. Reddit gains as August user growth accelerates
• Neutral Sentiment: Investor attention remains unusually high. Reddit was among the stocks most heavily searched by Zacks users, which can increase trading activity and visibility but does not by itself establish a fundamental change in earnings prospects. Investors heavily search Reddit
• Negative Sentiment: Concerns are emerging over the sustainability of ad growth. The latest analysis questions what Reddit is effectively paying to generate its advertising expansion, raising the risk that user acquisition, incentives, content investment, or other costs could limit profit conversion. With RDDT trading at a growth-oriented valuation, investors may demand evidence that audience gains translate into durable, profitable revenue. What Are You Really Paying For Reddit’s Ad Growth?

About Reddit

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and discussions. Users can submit posts, links, images and videos, while community members can comment, vote and interact through publicly accessible forums known as subreddits.

The company generates revenue primarily through digital advertising and also offers premium memberships and other paid products. Reddit additionally provides data licensing and developer-related services that support the use of its platform content and technology.

Founded in 2005 by Steve Huffman, Alexis Ohanian and Aaron Swartz, Reddit serves users worldwide across a broad range of communities.