RDDT
NEUTRAL
$166.48
Live
Reddit, Inc. · NYSE
Target $224.53
(+34.9%)
$94.89
52W Range
$282.95
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated May 02, 2026
Market cap
$32.04B
P/E
47.57
ROE
26.2%
Profit margin
28.6%
Debt/Equity
0.01
Dividend yield
N/A
AI Analysis
AI-powered fundamental assessment
Confidence
75%
RDDT exhibits exceptional financial health with a Piotroski F-Score of 8/9, indicating strong operational efficiency and balance sheet strength. While the current price of $166.48 trades at a significant premium to its Graham Number ($34.76) and Intrinsic Value ($103.25), this is offset by explosive revenue growth (69.1%) and a compelling Forward P/E of 19.74. The company has successfully transitioned to profitability with a massive 91.37% gross margin and a pristine debt-to-equity ratio of 0.01. Despite bearish insider activity and technicals, the fundamental growth trajectory and consistent earnings beats support a bullish long-term outlook. Price trades at a 16.8% premium to fair value estimate ($142.50), limiting near-term upside from a valuation perspective.
Key Strengths
Exceptional Piotroski F-Score (8/9) indicating high financial health
Hyper-growth profile with 69.1% YoY revenue growth and 677.2% earnings growth
Elite profitability margins (91.37% Gross, 28.6% Profit)
Pristine balance sheet with negligible debt (Debt/Equity 0.01) and high liquidity (Current Ratio 12.73)
Consistent track record of earnings surprises, beating estimates in 3 of the last 4 quarters
Key Risks
Significant valuation premium over intrinsic and defensive fair value
Bearish insider sentiment with selling from CEO, COO, and CTO
Technical trend is currently bearish (0/100)
High Price-to-Book (10.85) and Price-to-Sales (12.95) ratios
Heavy reliance on the advertising market which is sensitive to macroeconomic volatility
AI Fair Value Estimate
Based on comprehensive analysis
$142.5
-14.4% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
64
Strong
35
95
90
98
0
AI Verdict
Strong Growth Play
Key drivers: Revenue acceleration, Operating leverage, Balance sheet strength
Confidence
80%
Value
35/100
Ref P/E 47.57, PEG 1.18, Graham $34.76
Positives
- Reasonable PEG ratio (1.18)
- Forward P/E (19.74) is much lower than trailing P/E
Watchpoints
- Price far exceeds Graham Number
- High P/S and P/B ratios
- Price trades at a 16.8% premium to fair value estimate ($142.50), limiting near-term upside from a valuation perspective.
Future
95/100
Ref Growth rates and 10-K user metrics
Positives
- 69% YoY Revenue growth
- Strong ARPU growth (42%)
- Rapidly expanding DAUq
Watchpoints
- Recent Q/Q EPS dip (-39.9%)
Past
90/100
Ref Earnings track record and 2025 results
Positives
- Massive swing from net loss to $529.7M net income
- Consistent earnings beats with high surprise percentages
Watchpoints
- Historical volatility
Health
98/100
Ref Piotroski F-Score and Liquidity ratios
Positives
- Piotroski F-Score 8/9
- Debt/Equity 0.01
- Current Ratio 12.73
Watchpoints
- Altman Z-Score not provided
Dividend
0/100
Ref Yield 0%
Positives
No standout positives identified.
Watchpoints
- No dividend payout
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$166.48
Analyst Target
$224.53
Upside/Downside
+34.9%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for RDDT and closest competitors.
Updated 2026-05-01
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
RDDT
Reddit, Inc.
Primary
|
+230.1% | +230.1% | +40.1% | -20.3% | +22.2% | +7.5% |
|
RBLX
Roblox Corporation
Peer
|
-36.5% | +31.0% | -34.6% | -60.3% | -21.7% | -19.5% |
|
CHT
Chunghwa Telecom Co., Ltd.
Peer
|
+26.3% | +17.6% | +13.5% | -0.6% | +1.2% | -1.6% |
|
CHTR
Charter Communications, Inc.
Peer
|
-63.0% | -26.9% | -28.4% | -0.9% | +11.1% | +2.5% |
|
NBIS
Nebius Group N.V.
Peer
|
+577.5% | +577.5% | +462.1% | +11.2% | +46.9% | -13.4% |
RDD
Reddit, Inc.
Primary
5Y
+230.1%
3Y
+230.1%
1Y
+40.1%
6M
-20.3%
1M
+22.2%
1W
+7.5%
RBL
Roblox Corporation
Peer
5Y
-36.5%
3Y
+31.0%
1Y
-34.6%
6M
-60.3%
1M
-21.7%
1W
-19.5%
CHT
Chunghwa Telecom Co., Ltd.
Peer
5Y
+26.3%
3Y
+17.6%
1Y
+13.5%
6M
-0.6%
1M
+1.2%
1W
-1.6%
CHT
Charter Communications, Inc.
Peer
5Y
-63.0%
3Y
-26.9%
1Y
-28.4%
6M
-0.9%
1M
+11.1%
1W
+2.5%
NBI
Nebius Group N.V.
Peer
5Y
+577.5%
3Y
+577.5%
1Y
+462.1%
6M
+11.2%
1M
+46.9%
1W
-13.4%
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
47.57
Forward P/E
19.74
PEG Ratio
1.18
P/B Ratio
10.85
P/S Ratio
12.95
EV/Revenue
11.78
EV/EBITDA
45.72
Market Cap
$32.04B
Profitability
Profit margins and return metrics
Profit Margin
28.6%
Operating Margin
27.57%
Gross Margin
91.37%
ROE
26.22%
ROA
13.11%
Growth
Revenue and earnings growth rates
Revenue Growth
+69.1%
Earnings Growth
+677.2%
Q/Q Revenue Growth
+69.65%
Q/Q Earnings Growth
+679.8%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.01
Low debt
Current Ratio
12.73
Strong
Quick Ratio
12.39
Excellent
Cash/Share
$14.47
Quarterly Earnings History
EPS performance vs analyst estimates
2026-07-30
$N/A
2026-04-30
$1.01
+79.1% surprise
2026-02-05
$1.68
+16.4% surprise
2025-10-30
$0.8
+53.8% surprise
Communication Services Sector Comparison
Comparing RDDT against 211 companies in the Communication Services sector
(13 bullish, 64 neutral, 134 bearish)
P/E Ratio
47.57
This Stock
vs
52.81
Sector Avg
-9.9%
(Discount)
Return on Equity (ROE)
26.22%
This Stock
vs
-46.25%
Sector Avg
-156.7%
(Below Avg)
Profit Margin
28.6%
This Stock
vs
-7.93%
Sector Avg
-460.6%
(Weaker)
Debt to Equity
0.01
This Stock
vs
1.45
Sector Avg
-99.5%
(Less Debt)
Revenue Growth
69.1%
This Stock
vs
492.91%
Sector Avg
-86.0%
(Slower)
Current Ratio
12.73
This Stock
vs
2.24
Sector Avg
+467.9%
(Stronger)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
RDDT
Reddit, Inc.
|
NEUTRAL | $32.04B | 47.57 | 26.2% | 28.6% | $166.48 | |
|
RBLX
Roblox Corporation
|
BEARISH | $32.3B | - | -311.9% | -20.7% | $45.13 | Compare |
|
CHT
Chunghwa Telecom Co., Ltd.
|
BEARISH | $33.4B | 27.25 | 10.1% | 16.4% | $43.05 | Compare |
|
CHTR
Charter Communications, Inc.
|
NEUTRAL | $30.62B | 6.68 | 28.7% | 9.1% | $241.78 | Compare |
|
NBIS
Nebius Group N.V.
|
BEARISH | $34.29B | 1231.91 | 0.7% | 19.2% | $135.51 | Compare |
RDDT
Reddit, Inc.
NEUTRAL
Mkt Cap
$32.0B
P/E
47.6
ROE
26.2%
Price
$166.48
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-04-16 | WONG JENNIFER L | Chief Operating Officer | Sale | 39,167 | $6,324,169 |
| 2026-04-16 | WONG JENNIFER L | Chief Operating Officer | Option Exercise | 39,167 | $209,543 |
| 2026-04-15 | HUFFMAN STEVE LADD | Chief Executive Officer | Sale | 18,000 | $2,851,237 |
| 2026-04-15 | HUFFMAN STEVE LADD | Chief Executive Officer | Option Exercise | 18,000 | $455,220 |
| 2026-04-08 | SLOWE CHRISTOPHER BRIAN | Chief Technology Officer | Gift | 8,000 | - |
| 2026-04-08 | SLOWE CHRISTOPHER BRIAN | Chief Technology Officer | Sale | 15,500 | $2,335,420 |
| 2026-04-08 | SLOWE CHRISTOPHER BRIAN | Chief Technology Officer | Option Exercise | 7,500 | $59,400 |
| 2026-04-02 | FARRELL SARAH E | Director | Stock Award | 123 | - |
| 2026-04-02 | SEIBEL MICHAEL | Director | Stock Award | 101 | - |
| 2026-04-02 | NEWHOUSE STEVEN O | Director | Stock Award | 112 | - |
| 2026-04-02 | FILI-KRUSHEL PATRICIA D | Director | Stock Award | 120 | - |
| 2026-04-02 | HABIGER DAVID C | Director | Stock Award | 278 | - |
| 2026-04-02 | GALE MARY PORTER | Director | Stock Award | 105 | - |
| 2026-03-31 | HUFFMAN STEVE LADD | Chief Executive Officer | Sale | 18,000 | $2,389,852 |
| 2026-03-31 | HUFFMAN STEVE LADD | Chief Executive Officer | Option Exercise | 18,000 | $455,220 |
WONG JENNIFER L
Chief Operating Officer
2026-04-16
39,167 shares
·
$6,324,169
WONG JENNIFER L
Chief Operating Officer
2026-04-16
39,167 shares
·
$209,543
HUFFMAN STEVE LADD
Chief Executive Officer
2026-04-15
18,000 shares
·
$2,851,237
HUFFMAN STEVE LADD
Chief Executive Officer
2026-04-15
18,000 shares
·
$455,220
SLOWE CHRISTOPHER BRIAN
Chief Technology Officer
2026-04-08
8,000 shares
SLOWE CHRISTOPHER BRIAN
Chief Technology Officer
2026-04-08
15,500 shares
·
$2,335,420
SLOWE CHRISTOPHER BRIAN
Chief Technology Officer
2026-04-08
7,500 shares
·
$59,400
FARRELL SARAH E
Director
2026-04-02
123 shares
SEIBEL MICHAEL
Director
2026-04-02
101 shares
NEWHOUSE STEVEN O
Director
2026-04-02
112 shares
FILI-KRUSHEL PATRICIA D
Director
2026-04-02
120 shares
HABIGER DAVID C
Director
2026-04-02
278 shares
GALE MARY PORTER
Director
2026-04-02
105 shares
HUFFMAN STEVE LADD
Chief Executive Officer
2026-03-31
18,000 shares
·
$2,389,852
HUFFMAN STEVE LADD
Chief Executive Officer
2026-03-31
18,000 shares
·
$455,220
Insider transactions can signal confidence or concerns about company prospects
SEC Filings
Recent regulatory filings from the SEC EDGAR database
10-Q
DEF 14A
10-K
Reddit achieved significant growth in fiscal year 2025, with revenue rising 69% to $2.2 billion and gross margins improving to 91.2%. Key Q4 metrics showed strong momentum, with DAUq increasing 19% to 121.4 million and ARPU growing 42% to $5.98. Management cautioned that actual results may vary materially from forward-looking statements due to inherent risks and uncertainties.
8-K
10-Q
10-Q
8-K
8-K
Data sourced from SEC EDGAR. AI summaries generated automatically.
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
31 analysts
Piper Sandler
2026-05-01
Overweight
Overweight
Wells Fargo
2026-05-01
Equal-Weight
Equal-Weight
Cantor Fitzgerald
2026-05-01
Neutral
Neutral
Citizens
2026-05-01
Market Outperform
Market Outperform
Evercore ISI Group
2026-05-01
Outperform
Outperform
DA Davidson
2026-05-01
Buy
Buy
Needham
2026-05-01
Buy
Buy
Citizens
2026-04-22
Market Outperform
Market Outperform
DA Davidson
2026-04-21
Buy
Goldman Sachs
2026-04-14
Neutral
Neutral
Past News Coverage
Recent headlines mentioning RDDT from our newsroom.
Newest → oldest
No matching news yet.