Reddit Executives Sell Shares, Causing Stock to Fall after IPO

Shares of Reddit Drop as Insiders Sell Soon After IPO

On Wednesday, Reddit CEO Steve Huffman and other top executives sold shares of the social network, causing RDDT stock to fall overnight. The sales were disclosed late Wednesday, just one week after the company’s initial public offering.

Specifically, Steve Huffman sold 500,000 shares at an average price of $32.30, totaling $16.15 million. CFO Vollero Andrew sold 71,765 shares for $2.318 million, while COO Jennifer Wong sold 514,000 shares for $16.602 million. Additionally, CTO Christopher Slowe sold 185,000 shares for $5.975 million and Chief Accounting Officer Michelle Reynolds sold 3,033 shares for $97,966. Board member David Habiger also sold 3,000 shares for $102,000 in total, amounting to $41.245 million in Reddit shares sold by these individuals and executives combined.

It was anticipated that some share sales would occur by the CEO and key officers following the IPO as expected due to the size of their transactions. After these sales were announced late Wednesday evening, Reddit’s stock dropped 4.85% to a closing price of 54.95 in late trade with shares falling further by 11.3% to a closing price of 57.75 in Wednesday’s trading session despite hitting a record high intraday on Tuesday at 74.9

On Wednesday, Reddit CEO Steve Huffman and other top executives sold shares of the social network, causing RDDT stock to fall overnight. The sales were disclosed late Wednesday, just one week after the company’s initial public offering. Specifically, Steve Huffman sold 500,000 shares at an average price of $32.30, totaling $16.15 million. CFO Vollero Andrew…

Leave a Reply