B. Riley Issues Positive Forecast for Reddit (NYSE:RDDT) Stock Price

Reddit (NYSE:RDDT) had its target price raised by research analysts at B. Riley from $245.00 to $250.00 in a research note issued on Friday. The firm currently has a “buy” rating on the stock. B. Riley’s price target would suggest a potential upside of 63.41% from the stock’s previous close.

A number of other equities research analysts have also issued reports on the stock. Sanford C. Bernstein raised their price target on shares of Reddit from $190.00 to $210.00 and gave the stock a “market perform” rating in a report on Friday, October 31st. Zacks Research cut Reddit from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 26th. Cantor Fitzgerald initiated coverage on Reddit in a report on Thursday, January 8th. They set a “neutral” rating and a $240.00 price target on the stock. Weiss Ratings reiterated a “hold (c-)” rating on shares of Reddit in a report on Monday, December 29th. Finally, Piper Sandler reiterated an “overweight” rating on shares of Reddit in a research report on Monday, December 1st. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $244.64.

Reddit Price Performance

Shares of Reddit stock opened at $152.99 on Friday. The business’s 50 day simple moving average is $222.78 and its two-hundred day simple moving average is $214.72. The stock has a market capitalization of $28.99 billion, a P/E ratio of 87.92, a price-to-earnings-growth ratio of 1.06 and a beta of 2.17. Reddit has a one year low of $79.75 and a one year high of $282.95.

Reddit (NYSE:RDDT) last released its quarterly earnings data on Thursday, February 5th. The company reported $1.24 earnings per share for the quarter, beating analysts’ consensus estimates of $0.96 by $0.28. Reddit had a return on equity of 14.94% and a net margin of 18.33%.The firm had revenue of $725.61 million during the quarter, compared to analyst estimates of $665.80 million. During the same quarter in the prior year, the firm posted $0.36 earnings per share. The business’s quarterly revenue was up 69.7% compared to the same quarter last year. Sell-side analysts expect that Reddit will post 1.12 earnings per share for the current fiscal year.

Insider Transactions at Reddit

In other news, CEO Steve Ladd Huffman sold 18,000 shares of the firm’s stock in a transaction that occurred on Monday, December 15th. The stock was sold at an average price of $220.28, for a total value of $3,965,040.00. Following the completion of the transaction, the chief executive officer owned 448,576 shares in the company, valued at $98,812,321.28. This trade represents a 3.86% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Jennifer L. Wong sold 63,427 shares of the company’s stock in a transaction on Monday, November 24th. The stock was sold at an average price of $192.72, for a total value of $12,223,651.44. Following the completion of the sale, the chief operating officer directly owned 1,184,528 shares in the company, valued at approximately $228,282,236.16. The trade was a 5.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 523,511 shares of company stock worth $114,237,285 over the last 90 days. 34.25% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the business. NewEdge Advisors LLC boosted its stake in Reddit by 143.3% during the first quarter. NewEdge Advisors LLC now owns 7,982 shares of the company’s stock worth $837,000 after acquiring an additional 4,701 shares in the last quarter. Empowered Funds LLC purchased a new position in shares of Reddit during the first quarter valued at approximately $213,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in shares of Reddit by 106.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 216,960 shares of the company’s stock worth $22,759,000 after purchasing an additional 111,780 shares in the last quarter. Focus Partners Wealth grew its stake in shares of Reddit by 40.8% in the 1st quarter. Focus Partners Wealth now owns 10,224 shares of the company’s stock worth $1,073,000 after buying an additional 2,965 shares during the last quarter. Finally, Geneos Wealth Management Inc. increased its position in Reddit by 344.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 369 shares of the company’s stock valued at $39,000 after buying an additional 286 shares in the last quarter.

Reddit News Summary

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Q4 results beat expectations: Reddit reported EPS of $1.24 and revenue of $725.6M (well above estimates), with quarterly profit rising materially year-over-year—this is the primary catalyst supporting the rally. Reddit Q4 Beat (CNBC)
• Positive Sentiment: Management raised near-term revenue expectations and forecast Q1 revenue above Street estimates, citing AI-powered ad product improvements that are attracting marketers—this improves forward visibility for ad growth. Forecasts & AI Ad Tailwinds (Reuters)
• Positive Sentiment: Board approved a $1 billion share repurchase program—a shareholder-friendly move that reduces float and signals confidence from management. $1B Buyback (BusinessWire)
• Positive Sentiment: Product/monetization upside from AI search and continued ad-share gains: management highlighted AI search as a long-term monetization opportunity and third-party data points show strong traffic growth—supports upside to multiple expansion if execution continues. AI Search Opportunity (TechCrunch)
• Neutral Sentiment: Full Q4 call/transcript and detailed metric disclosures are available for investors to parse sustainability of ad momentum and margins. Use the transcript to check cadence of advertiser commentary and guidance nuances. Earnings Call / Transcript
• Neutral Sentiment: Broader market action: futures and macro sentiment are improving after a pullback, which can amplify stock moves but isn’t Reddit-specific. Market Context (Benzinga)
• Negative Sentiment: Insider selling pressure: reports that CEO share sales (~$3.3M) were executed have attracted negative headlines and earlier intraday selling—this can weigh on sentiment even if transactions are routine. CEO Insider Sale (AmericanBankingNews)
• Negative Sentiment: Disclosure change: Reddit plans to stop publishing logged?in vs. logged?out user counts in 2026, which could make it harder for investors to track engagement trends and may raise transparency concerns. User Metric Disclosure Change (Shacknews)
• Negative Sentiment: Valuation debate: coverage notes divergent DCF valuations and that shares have lagged some benchmarks—heightened scrutiny on multiples given high P/E and a big run in the stock last year. Valuation Divergence (Yahoo Finance)

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.