Reddit’s (RDDT) Buy Rating Reiterated at DA Davidson

Posted by Brian Himes on Jul 26th, 2026

DA Davidson reissued their buy rating on shares of Reddit (NYSE:RDDT – Free Report) in a report released on Thursday morning,Benzinga reports. They currently have a $200.00 price objective on the stock.

Other research analysts have also issued research reports about the company. Zacks Research lowered Reddit from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, June 3rd. Piper Sandler restated an “overweight” rating and set a $215.00 price target on shares of Reddit in a research report on Thursday, July 9th. The Goldman Sachs Group reaffirmed a “neutral” rating and issued a $200.00 price target on shares of Reddit in a research note on Friday, May 1st. UBS Group reiterated a “mixed” rating on shares of Reddit in a report on Thursday, July 9th. Finally, Raymond James Financial set a $180.00 price objective on Reddit and gave the company a “market perform” rating in a research report on Friday, May 1st. Nineteen equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $232.48.

Read Our Latest Research Report on RDDT

Reddit Trading Down 0.0%

NYSE:RDDT opened at $168.75 on Thursday. The company has a 50-day moving average price of $174.67 and a 200-day moving average price of $167.69. Reddit has a 12 month low of $119.27 and a 12 month high of $282.95. The stock has a market cap of $32.49 billion, a price-to-earnings ratio of 48.22 and a beta of 1.93.

Reddit (NYSE:RDDT – Get Free Report) last announced its earnings results on Thursday, April 30th. The company reported $1.01 earnings per share for the quarter, beating analysts’ consensus estimates of $0.62 by $0.39. Reddit had a net margin of 28.60% and a return on equity of 25.48%. The firm had revenue of $663.41 million for the quarter, compared to analyst estimates of $607.74 million. During the same quarter in the previous year, the firm posted $0.13 EPS. The company’s revenue for the quarter was up 69.1% compared to the same quarter last year. Equities analysts forecast that Reddit will post 4.85 EPS for the current fiscal year.

Insider Activity at Reddit

In other Reddit news, COO Jennifer L. Wong sold 39,167 shares of Reddit stock in a transaction on Monday, May 18th. The stock was sold at an average price of $158.52, for a total transaction of $6,208,752.84. Following the completion of the transaction, the chief operating officer owned 1,088,451 shares in the company, valued at approximately $172,541,252.52. The trade was a 3.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Steve Ladd Huffman sold 18,000 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $178.26, for a total value of $3,208,680.00. Following the completion of the sale, the chief executive officer directly owned 373,814 shares in the company, valued at approximately $66,636,083.64. This represents a 4.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 169,141 shares of company stock valued at $28,680,845 in the last 90 days. Corporate insiders own 28.48% of the company’s stock.

Institutional Trading of Reddit

Several institutional investors have recently bought and sold shares of RDDT. Capital World Investors bought a new stake in shares of Reddit in the 4th quarter worth $1,293,258,000. Norges Bank bought a new position in shares of Reddit during the fourth quarter valued at $372,047,000. Invesco Ltd. lifted its holdings in shares of Reddit by 419.0% during the third quarter. Invesco Ltd. now owns 1,487,941 shares of the company’s stock valued at $342,212,000 after purchasing an additional 1,201,237 shares in the last quarter. State Street Corp boosted its position in shares of Reddit by 138.5% during the second quarter. State Street Corp now owns 2,030,139 shares of the company’s stock valued at $305,678,000 after buying an additional 1,178,890 shares during the last quarter. Finally, Vanguard Group Inc. boosted its position in shares of Reddit by 8.9% during the fourth quarter. Vanguard Group Inc. now owns 13,322,048 shares of the company’s stock valued at $3,062,339,000 after buying an additional 1,083,540 shares during the last quarter.

Key Reddit News

Here are the key news stories impacting Reddit this week:

Positive Sentiment: Reddit was added to Wedbush’s Best Ideas list ahead of Q2 results, and DA Davidson reiterated a Buy rating with a $200 price target, signaling Wall Street still sees meaningful upside. Reddit added to Wedbush Best Ideas List ahead of Q2 results
Positive Sentiment: Several recent bullish notes say Reddit’s fundamentals remain strong, with rapid revenue growth, high margins, and ad-driven expansion supporting the stock despite valuation concerns. Reddit: Ignore The Potential Google Scuffle And Carry On
Positive Sentiment: Investors are looking for a Q2 beat, with guidance pointing to roughly 43% to 45% year-over-year revenue growth and a strong EBITDA margin, which could reinforce the growth story if delivered. Reddit: Why I’m Staying Bullish Into The Q2 Print
Neutral Sentiment: Analyst commentary this week has focused on Reddit alongside other communication-services names, but no major new company-specific catalyst was disclosed in the headline item. Analysts Offer Insights on Communication Services Companies
Neutral Sentiment: Reddit’s upcoming earnings report is expected to show growth, but some screening models suggest the setup is not ideal for a clean earnings beat, keeping expectations mixed. Reddit Inc. (RDDT) Reports Next Week: Wall Street Expects Earnings Growth
Negative Sentiment: The main overhang is renewed uncertainty around Reddit’s reported $60 million-per-year Google AI licensing deal, with some reports suggesting Reddit may rethink the agreement if renewal talks stall or content restrictions emerge. Reddit (RDDT) May Rethink $60 Million Google AI Deal As Renewal Talks Drag
Negative Sentiment: Recent reports of a possible Google content restriction or AI feud triggered a sharp drop in the stock and pushed Reddit below key moving averages, signaling weaker momentum in the near term. Reddit stock plunges on report of possible Google content restrictions

About Reddit

(Get Free Report)

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.