- cross-posted to:
- [email protected]
- cross-posted to:
- [email protected]
You must log in or register to comment.
He sold about 500,000 shares. He owned, apparently, 3.3% of the 17.06 million total shares of the company, meaning he had a little over 562,000 shares. He sold almost all of his shares. That doesn’t exactly exude confidence in future growth, IMO.
Sounds like something a greedy little pigboy would do
I thought they paid him like $200M last year? How does that work out with only half a million shares?
It doesn’t, he had like 4.6 million shares before the ipo. The 500,000 number sold is just his class A shares. He’ll still have 4.1 million shares of class b stock after this it looks like. The class b stock has ten votes compared to one vote for class a stock for any shareholder votes I believe. So selling only his class a shares won’t change the percent voting control of the company he has by much. The person you’re replying to is confused about how many total shares he has. I don’t think the class b shares are being openly traded though, I think the ipo is just offering class a shares, which is what’s causing the confusion here. He sold almost all of his class a shares, but still has plenty of class b.
If the people in this thread could read this and understand it that would be amazing. This isn’t some gotcha moment…
On the other hand, he already cashed out once and was wrong, so…
https://en.wikipedia.org/wiki/Steve_Huffman
The site’s audience grew rapidly in its first few months, and by August 2005, Huffman noticed their habitual user-base had grown so large that he no longer needed to fill the front page with content himself.[11][14][15] Huffman and Ohanian sold Reddit to Condé Nast on October 31, 2006, for a reported $10 million to $20 million.[3][16] Huffman remained with Reddit until 2009, when he left his role as acting CEO.[17]
Huffman spent several months backpacking in Costa Rica[18] before co-creating the travel website Hipmunk with Adam Goldstein, an author and software developer, in 2010. Funded by Y Combinator,[19][20] Hipmunk launched in August 2010[21] with Huffman serving as CTO.[22] In 2011, Inc. named Huffman to its 30 under 30 list.[22]
In 2014, Huffman said that his decision to sell Reddit had been a mistake, and that the site’s growth had exceeded his expectations.[23] On July 10, 2015, Reddit hired Huffman as CEO following the resignation of Ellen Pao[24] and during a particularly difficult time for the company.[25] Upon rejoining the company, Huffman’s top goals included launching Reddit’s iOS and Android apps, fixing Reddit’s mobile website, and creating A/B testing infrastructure.[3]
Since returning to Reddit, Huffman instituted a number of technological changes including an updated mobile site and stronger infrastructure, as well as new content guidelines.
I don’t think that he’s had a whole lot of faith in Reddit as a business since early-on.
Huffman’s top goals included launching Reddit’s iOS and Android apps
Mission accomplished! Those undeniably shitty apps definitely were launched.
I’ve never used them, but IIRC they acquired some third-party client and then just modified them. “Blue Alien” or something like that?
googles
“Alien Blue”, at least for the official iOS app.
https://en.wikipedia.org/wiki/Alien_Blue
I dunno what the history of the Android app is.
That being said, they’re responsible for what they acquire, just saying that a lot of that might not be developed in-house.
They acquired Alien Blue, but what they put out under “Reddit” was not Alien Blue in the least bit. They basically bought it to kill it. I had Alien Blue. :(
Wow it’s almost like we called it
They dumped $50 million the same week as the IPO? Talk about confidence in your company!
Also, they didn’t have any lockout period? That’s also bullshit. I worked for a company during an IPO some years back and nobody could sell their shares for something like a year!
I won’t lie, I do regret not making a quick buck off of it. I could have gotten in at 30-something and out at 40-something easily enough.
I just couldn’t stomach the thought of buying RDDT. I also guessed Pigboy Spez and his pals would leave us suckers holding the bag.
Turns out some brave peasants did make money on the IPO. Just not this peasant.
I suspect the stock will spiral down from here.
Meh. Hindsight and all that.
People said it about Apple, Amazon, and Bitcoin. Can’t know which ones that will happen with and which won’t.
There are no guarantees an IPO will pop, even a buzzy one. Uber debuted at the low end of their estimate and trended downward, for ex, and didn’t recover for over a year.
My instinct was that there would be irrational exuberance for the stupid stock. And ignored it.
The market is often pure speculation and gambling until the sobriety kicks in.
Anyway, I missed out on this one because of my caution and contempt for reddit. No point crying over it.
I didn’t want to tie my user name to my real life details for that payoff.
Same here! I gave them a fake email and didn’t want to do myself to them. Glad you brought that up.
Gee it is almost like completely alienating your user base is a bad for profits?
So the IPO was Thursday; on Monday:
Reddit CEO Steve Huffman sold 500,000 shares … at an average $32.30 price, receiving $16.15 million.
CFO Vollero Andrew sold 71,765 Reddit shares for $2.318 million.
Chief Operating Officer Jennifer Wong sold 514,000 shares for $16.602 million.
Chief Technology Officer Christopher Slowe sold 185,000 shares for $5.975 million.
Chief Accounting Officer Michelle Reynolds sold 3,033 RDDT shares for $97,966.
Board member David Habiger sold 3,000 shares for $102,000.All told, that’s $41.245 million worth of Reddit shares sold.
I knew they were going to sell as soon as they could, but damn. As someone who knows the bare basics of how it all works but does NOT actually follow the stock market, the last time I saw that kind of executive dumping was Enron just before it went under, lol.
Can someone who actually follows the markets tell me whether all the social media/tech IPO C-suites do that these days, or is this genuinely unusual? Because honestly I find the sales a bit shocking in both rapidity and amount, even for as greedy and openly corrupt as the Reddit board has been over the last few years.
EDITED TO ADD: Apparently this is not so unusual. Many thanks to those who took the time to answer.
Some of these people have been with Reddit since the very beginning and this is basically their first practical chance to sell any of their shares - I wouldn’t read too much into their activity this week. For a company valued at $9B, having the founder & other executives only sell $41M in the week of the IPO if anything feels like the opposite of dumping.
From my experience, these people have lots more shares than what they sold. And aside from spez, it’s not really that much.
If I am not mistaken, these sales are also planned and public knowledge before the sales are executed. The key shareholders should know executives are going to dump stock.
But yes. This seems normal to me.
One thing of note is the average price spez sold for. That is actually below market value so it’s likely that his sale price was fixed, which I believe is a thing.
Yes. Insiders with that high a fraction of ownership exercise the ability to sell shares at a predetermined percentage value of a full priced share. Usually pegged to the closing price at the beginning or end of a quarter, whichever is lower.
Anyone who bought that shit deserves to lose all their money.
I’ve given up on buying stocks for individual companies. I’d rather just stuff it in an index fund and pretend it doesn’t exist for 10 years.
the average person usually doesnt beat the average index fund, so if you arent keen at day trading, dont do it.
What if I’m not average. I bet I can lose all my money. Take that index funds.
How do I buy puts on you
No one is “keen” at day trading, some people get lucky and think they’re talented. The vast majority lose money because the big players make sure of it.
It’s literally just gambling, but nobody looks at a guy who won $50k at blackjack and says “hey I can make a career out of that.”
Shares “dove” to $50, which is still about $49 too high
If you want to have a laugh at how ridiculous the whole market is, Trump’s Truth Social just IPOed and has the same market cap as Reddit even though it’s much smaller and full of insane people.
What!?
Of course it should be valued that high!
Totally good indicators of
Estimated 5million total users
3.5m revenues
49m operating expenses
Worth it!
/Sarcasm
How much would you pay to correct the record?
$0.
Aaron Swartz would loathe what Reddit has become.
Hot take is I don’t think anyone should care about Aaron Swartz. He didn’t do anything for Reddit in the merger and left without doing anything for Reddit so who cares. He then died being a martyr for a cause barely anyone cares about and his death didn’t inspire any change to education publication/copyright. Nobody should care.
Edit: you can downvote me all you want but I would like someone to comment on 1 thing Aaron contributed to Reddit. Why should anyone remember his name other than ‘but he killed himself for the cause bro’.
I think you have to convince everyone why it is reasonable that you are so angry and hateful towards someone you never knew.
I wasn’t angry or hateful though? If anything I’m irritated of all the praise for not inherently doing anything.
Literally I’ve seen two to three references of him after 17 years on reddit. You’re exaggerating how much people talk about him.
He was also a libertarian techbro who thought ‘child pornography isn’t necessarily abuse’
In the US, it is illegal to possess or distribute child pornography, apparently because doing so will encourage people to sexually abuse children.
This is absurd logic. Child pornography is not necessarily abuse. Even if it was, preventing the distribution or posession of the evidence won’t make the abuse go away. We don’t arrest everyone with videotapes of murders, or make it illegal for TV stations to show people being killed.
https://web.archive.org/web/20090719140727/http://bits.are.notabug.com/
You should probably use quote formatting to indicate that that’s a quote, because right now it looks like your words
