Hiddenite Capital Partners LP Sells 30,000 Shares of Reddit Inc. $RDDT

Hiddenite Capital Partners LP lessened its holdings in shares of Reddit Inc. (NYSE:RDDT) by 25.0% in the 3rd quarter, HoldingsChannel reports. The firm owned 90,000 shares of the company’s stock after selling 30,000 shares during the quarter. Reddit makes up approximately 2.3% of Hiddenite Capital Partners LP’s holdings, making the stock its 13th largest holding. Hiddenite Capital Partners LP’s holdings in Reddit were worth $12,820,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the business. State Street Corp lifted its position in Reddit by 8.7% during the second quarter. State Street Corp now owns 2,979,587 shares of the company’s stock valued at $517,197,000 after purchasing an additional 237,523 shares during the period. Wellington Management Group LLP grew its position in Reddit by 21.8% during the 2nd quarter. Wellington Management Group LLP now owns 1,564,535 shares of the company’s stock worth $271,572,000 after purchasing an additional 280,030 shares during the period. DSM Capital Partners LLC raised its stake in shares of Reddit by 5.3% during the 1st quarter. DSM Capital Partners LLC now owns 848,206 shares of the company’s stock valued at $114,211,000 after buying an additional 42,808 shares during the last quarter. Robeco Institutional Asset Management B.V. raised its stake in shares of Reddit by 74.6% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 809,063 shares of the company’s stock valued at $115,243,000 after buying an additional 345,735 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in shares of Reddit by 8.9% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 481,893 shares of the company’s stock valued at $83,647,000 after buying an additional 39,540 shares during the last quarter.

Analysts Set New Price Targets

RDDT has been the subject of several analyst reports. Robert W. Baird set a $185.00 price objective on Reddit in a report on Friday, July 31st. DA Davidson lowered their target price on Reddit from $185.00 to $125.00 and set a “buy” rating on the stock in a research note on Monday. Wells Fargo & Company dropped 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. KeyCorp cut Reddit from an “overweight” rating to a “sector weight” rating in a research report on Friday. Finally, Roth Capital reissued a “neutral” rating and issued a $145.00 price target on shares of Reddit in a report on Monday, August 3rd. Two analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and fifteen have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Reddit presently has a consensus rating of “Moderate Buy” and a consensus target price of $180.91.

Insider Buying and Selling

In other Reddit news, Director Robert Sauerberg sold 5,128 shares of the company’s stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $159.92, for a total transaction of $820,069.76. Following the completion of the transaction, the director directly owned 27,087 shares in the company, valued at approximately $4,331,753.04. This represents a 15.92% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Steve Huffman sold 17,308 shares of the stock in a transaction on Tuesday, October 13th. The shares were sold at an average price of $158.57, for a total transaction of $2,744,529.56. Following the transaction, the chief executive officer directly owned 336,432 shares in the company, valued at approximately $53,348,022.24. The trade was a 4.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 288,052 shares of company stock valued at $46,878,483. 28.48% of the stock is owned by corporate insiders.

More Reddit News

Here are the key news stories impacting Reddit this week:

• Positive Sentiment: Reddit’s underlying financial results remain strong: quarterly revenue increased 53% year over year to approximately $895 million, while earnings exceeded analyst expectations. A separate analysis also highlighted improving average revenue per user, suggesting that advertiser monetization and engagement remain healthy. Reddit: Google Is Taking Its Traffic, But The Selloff Has Gone Too Far
• Positive Sentiment: Although analysts broadly reduced their targets, many remain above the recent share price. Deutsche Bank maintained a “buy” rating with a $165 target, while Jefferies, Goldman Sachs, Piper Sandler and JPMorgan assigned targets ranging from $140 to $155, $145 and $150, respectively. This indicates that the selloff may have created potential value if Reddit stabilizes traffic and user growth. Deutsche Bank Reddit Rating
• Neutral Sentiment: Analyst valuation comparisons continue to debate whether RDDT offers better value than other internet-platform stocks, including Spotify. The discussion reinforces that Reddit’s valuation depends heavily on its ability to convert engagement into sustainable advertising growth. RDDT vs. SPOT
• Negative Sentiment: The dominant catalyst is concern that Google’s AI search changes are reducing traffic to Reddit, particularly in the United States. Investors are also worried that Reddit’s logged-in-only strategy could limit user acquisition and raise the cost of attracting new users. Reddit Stock Sinks as Q3 Results Clash With User Outlook
• Negative Sentiment: A wave of target reductions and downgrades—including moves to “neutral,” “hold,” “in-line” and “market perform”—has weakened investor confidence, even though revised targets remain above the recent price. Reddit Fair Value Moves Lower
• Negative Sentiment: Kirby McInerney LLP announced an investigation into potential securities-law or business-practice violations involving Reddit and its management. The announcement is preliminary and does not establish wrongdoing, but it adds legal and reputational risk. Reddit Investigation Announcement

Reddit Trading Down 0.7%

Shares of RDDT stock opened at $91.05 on Tuesday. Reddit Inc. has a 12-month low of $89.28 and a 12-month high of $263.50. The business’s 50 day moving average is $149.13 and its two-hundred day moving average is $159.42. The company has a market capitalization of $17.52 billion, a P/E ratio of 31.33, a P/E/G ratio of 0.62 and a beta of 2.05.

Reddit (NYSE:RDDT) last posted its quarterly earnings data 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 return on equity of 29.02% and a net margin of 31.35%. The business had revenue of $894.96 million during the quarter, compared to analysts’ expectations of $874.91 million. During the same period in the previous year, the business earned $0.80 earnings per share. The business’s revenue was up 53.0% compared to the same quarter last year. On average, research analysts predict that Reddit Inc. will post 5.28 earnings per share for the current fiscal year.

Reddit 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.