Reddit CEO Steve Huffman sells $2.24 million in Class A stock

Published 05/03/2025, 02:04
Reddit CEO Steve Huffman sells $2.24 million in Class A stock

Steve Huffman, CEO and President of Reddit, Inc. (NASDAQ:RDDT), recently executed a series of stock sales amounting to approximately $2.24 million. The transactions, which took place on February 28, 2025, involved the sale of Class A Common Stock at prices ranging from $156.03 to $162.90 per share. Following these sales, Huffman now holds 597,515 shares in the company, which currently maintains a market capitalization of $29.39 billion. According to InvestingPro analysis, Reddit’s stock is trading near its Fair Value, with impressive gross profit margins of 90.49%.

The sales were conducted under a pre-established Rule 10b5-1 trading plan, which Huffman adopted in May 2024. This plan allows executives to sell a predetermined number of shares at set times, helping them avoid potential accusations of insider trading. The transactions were executed across multiple trades, with specific prices varying within the disclosed ranges. The stock has shown remarkable momentum, gaining 171% over the past six months. InvestingPro subscribers can access 12 additional key insights about Reddit’s financial health and growth prospects through the comprehensive Pro Research Report.

In other recent news, Reddit’s earnings and revenue updates have captured significant attention. Piper Sandler adjusted its price target for Reddit to $220, citing a positive trend in user engagement and an increase in average revenue per user, while maintaining an Overweight rating. BofA Securities raised its target to $190, maintaining a Neutral stance despite acknowledging Reddit’s strong performance relative to its peers. The firm noted Reddit’s fourth-quarter revenues exceeded guidance, although U.S. user growth fell short. Meanwhile, JPMorgan increased its target to $185, highlighting Reddit’s robust advertising revenue growth and improved profit margins, despite challenges in daily active user growth due to changes in Google’s search algorithm.

Jefferies, on the other hand, slightly reduced its price target to $225 but maintained a Buy rating, pointing to Reddit’s successful advertising revenue acceleration and potential for future growth. Bernstein SocGen Group reaffirmed its Underperform rating with a $150 price target, reflecting concerns over user engagement issues despite Reddit’s solid execution. These recent developments indicate varying levels of optimism among analysts regarding Reddit’s growth prospects and strategic initiatives.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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