The Manufacturers Life Insurance Company significantly increased its stake in Reddit, Inc. (NYSE:RDDT) by 20.4% during the fourth quarter, according to its latest SEC filing. The company now holds 19,236 shares valued at $3,144,000. This move is part of a larger trend among institutional investors adjusting their positions in Reddit.
Other notable investors have also made significant changes to their Reddit holdings. FMR LLC increased its stake by 7.5%, now owning 13,070,780 shares worth $2,136,288,000. Vanguard Group Inc. made a substantial increase of 184.2%, holding 9,181,390 shares valued at $1,500,606,000. Jennison Associates LLC entered the scene with a new position worth approximately $494,861,000. Alliancebernstein L.P. dramatically boosted its stake by 1,011.1%, now owning 2,788,758 shares worth $455,795,000. Lord Abbett & CO. LLC also increased its holdings by 12.8%, with 1,861,998 shares valued at $304,325,000.
Analysts have been actively revising their ratings for Reddit stock. Seaport Res Ptn upgraded its rating from ‘hold’ to ‘strong-buy’. Citigroup raised its price target from $150.00 to $158.00, maintaining a ‘buy’ rating. Morgan Stanley adjusted its price objective from $210.00 to $140.00, keeping an ‘overweight’ rating. Needham & Company LLC increased its price target from $135.00 to $145.00, with a ‘buy’ rating. Raymond James lowered its price objective from $250.00 to $200.00 but maintained a ‘strong-buy’ rating. The consensus among analysts is a ‘Moderate Buy’ with a target price of $140.35.
Reddit’s stock performance has been notable, opening at $108.35 on Friday. The company has a market capitalization of $19.60 billion and a price-to-earnings ratio of -14.02. Reddit reported quarterly earnings of $0.13 per share, beating analyst estimates by $0.11. The company’s revenue was $392.36 million, a 61.5% increase from the same quarter last year.
Insider transactions have also been significant. Director David C. Habiger purchased 774 shares at $130.36 per share, totaling $100,898.64. CFO Andrew Vollero sold 48,122 shares at $162.80, amounting to $7,834,261.60. In the last ninety days, insiders have sold 725,270 shares valued at $95,789,365.
As institutional investors continue to adjust their positions and analysts revise their ratings, Reddit’s stock performance remains a point of interest. The company’s quarterly earnings beat expectations, despite reporting a negative return on equity and net margin. With a consensus ‘Moderate Buy’ rating among analysts, investors are watching closely to see how Reddit’s strategies unfold in the coming quarters.
