Reddit (NYSE:RDDT) Given New $110.00 Price Target at BNP Paribas Exane

Reddit (NYSE:RDDT) had its price target lowered by BNP Paribas Exane from $180.00 to $110.00 in a report released on Friday.

RDDT has been the subject of several other reports. Truist Financial cut their target price on shares of Reddit from $275.00 to $210.00 and set a “buy” rating for the company in a research note on Friday. B. Riley Financial lowered their price target on Reddit from $270.00 to $190.00 and set a “buy” rating on the stock in a research report on Friday. KeyCorp cut Reddit from an “overweight” rating to a “sector weight” rating in a research report on Friday. Jefferies Financial Group set a $250.00 target price on Reddit in a research note on Friday, July 10th. Finally, Wells Fargo & Company decreased their target price on Reddit from $142.00 to $110.00 and set an “equal weight” rating on the stock in a report on Friday. Two analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and fifteen have given a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $180.91.

Reddit Stock Down 0.3%

Shares of NYSE:RDDT traded down $0.30 during midday trading on Friday, hitting $91.43. The stock had a trading volume of 8,923,154 shares, compared to its average volume of 5,541,294. The company has a market cap of $17.59 billion, a P/E ratio of 18.70, a PEG ratio of 0.42 and a beta of 2.05. Reddit has a 12 month low of $89.28 and a 12 month high of $263.50. The business’s 50-day simple moving average is $150.37 and its 200-day simple moving average is $160.26.

Reddit (NYSE:RDDT) last announced its quarterly earnings results on Thursday, October 29th. The company reported $1.40 EPS for the quarter, beating analysts’ consensus estimates of $1.33 by $0.07. Reddit had a net margin of 32.10% and a return on equity of 30.57%. The firm had revenue of $894.96 million during the quarter, compared to analysts’ expectations of $874.91 million. During the same quarter last year, the company posted $0.80 earnings per share. The company’s revenue for the quarter was up 53.0% compared to the same quarter last year. As a group, equities analysts predict that Reddit will post 5.28 earnings per share for the current year.

Insider Buying and Selling at Reddit

In other news, COO Jennifer L. Wong sold 75,000 shares of the company’s stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $178.55, for a total value of $13,391,250.00. Following the transaction, the chief operating officer owned 1,050,339 shares of the company’s stock, valued at approximately $187,538,028.45. This represents a 6.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Huffman sold 18,000 shares of the stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $178.16, for a total value of $3,206,880.00. Following the transaction, the chief executive officer owned 373,814 shares in the company, valued at approximately $66,598,702.24. This trade represents a 4.59% decrease in their position. 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 306,052 shares of company stock valued at $49,754,523 in the last three months. 28.48% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Commonwealth Equity Services LLC grew its stake in shares of Reddit by 7.5% in the third quarter. Commonwealth Equity Services LLC now owns 38,368 shares of the company’s stock valued at $5,465,000 after acquiring an additional 2,682 shares in the last quarter. TFB Advisors LLC raised its stake in Reddit by 102.7% in the 3rd quarter. TFB Advisors LLC now owns 2,789 shares of the company’s stock worth $397,000 after purchasing an additional 1,413 shares in the last quarter. Chicago Partners Investment Group LLC acquired a new stake in Reddit in the 3rd quarter worth about $362,000. Rakuten Investment Management Inc. bought a new stake in Reddit in the 3rd quarter valued at about $3,611,000. Finally, Provenance Wealth Advisors LLC bought a new stake in Reddit in the 3rd quarter valued at about $775,000.

Reddit News Summary

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Reddit’s latest quarterly results showed substantial operating momentum: revenue rose 53% year over year to approximately $895 million, while earnings per share exceeded analyst expectations. Advertising engagement and higher average revenue per user could support the company’s long-term monetization outlook. Reddit: Google Is Taking Its Traffic, But The Selloff Has Gone Too Far
• Positive Sentiment: Some investors view the decline as excessive relative to Reddit’s revenue growth and profitability, arguing that fears over Google’s AI search changes may already be reflected in the valuation. Reddit Stock Crashes Again: Is the Stock a Buy on the Dip or a Value Trap?
• Neutral Sentiment: A valuation comparison with Spotify highlights Reddit as a potential value opportunity, but the conclusion depends on whether investors prioritize Reddit’s faster growth or Spotify’s more established user and revenue trends. RDDT vs. SPOT: Which Stock Is the Better Value Option?
• Negative Sentiment: The primary pressure is a worsening user-growth outlook. Google’s AI search changes appear to be reducing traffic to Reddit, particularly in the U.S., while management’s push toward logged-in users could protect monetization but make it harder and more expensive to attract new users. Reddit Stock Plunges After Google AI Cuts U.S. Traffic
• Negative Sentiment: Several firms reduced their ratings or price targets, including JPMorgan, Evercore, Loop Capital, Oppenheimer, Citigroup, Cantor Fitzgerald, Truist, Wells Fargo and Wedbush. Although many revised targets remain above the current market level, the broad analyst caution is weighing on confidence in RDDT’s near-term outlook.

Reddit Company Profile

Reddit, Inc operates a global online platform where users participate in communities organized around shared interests, topics and activities. Members can submit text posts, links, images and videos, as well as comment on and vote on content. The platform includes thousands of communities, commonly known as subreddits, covering subjects such as news, entertainment, technology, sports, finance and lifestyle.

Reddit generates revenue primarily through digital advertising, offering advertisers access to audiences based on community interests and user engagement.