Stock · RDDT · Communication Services
United States · Large Cap · listed since 2024 · Revenue 12 mo. $3.1B
Price as of 11/06/2026
Reddit, Inc. operates a digital community in the United States and internationally.
Reddit, Inc. operates a digital community in the United States and internationally. The company's platform enables user to engage in conversations, explore passions, research new hobbies, exchange goods and services, create new communities and experiences, share laughs, and find belonging. It also organizes communities based on specific interests that enable users to engage in conversations by sharing experiences, submitting links, uploading images and videos, and replying to one another. Reddit, Inc. was founded in 2005 and is headquartered in San Francisco, California.
Original text from the data provider
Summary
37.0 of 100
Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.
Analysis
What the price requires
If free cash flow stays at €614M (2025), it supports €6.8B. The remaining €11.1B of the market value assume it grows 13.5% a year for 10 years and not at all afterwards.
Required FCF growth per year
13.5%
no growth afterwards
with respect to the priced-in expectation
with respect to the priced-in expectation
Since the last quarter
Q2 → Q3 2026
4 more unchanged: Gross margin, Net debt, Shares outstanding, Return on equity
Derivation
Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.
Price as of 11/06/2026.
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Return on equity | 18.09% | 11.44% | Rank 68 |
| Return on capital (Greenblatt) | 15.25% | 22.01% | Rank 31 |
| EBIT margin | 20.07% | 17.12% | Rank 63 |
| FCF margin | 31.06% | 15.81% | Rank 95 |
| Gross margin | 91.18% | 44.45% | Rank 98 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Revenue growth, 1 year | 69.40% | 4.46% | Rank 96 |
| Earnings growth, 3 years per yeardoes not count towards the rank | – | 5.70% | |
| Earnings growth, 5 years per yeardoes not count towards the rank | – | 6.76% | |
| Sustainable growth (ROE × retained earnings) | 0.30% | 9.07% | Rank 1 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Earnings yield | 2.76% | 3.92% | Rank 35 |
| FCF yield | 3.43% | 6.59% | Rank 34 |
| EV/saleslower is better | 7.94 | 2.84 | Rank 7 |
| EV/EBITlower is better | 39.57 | 16.58 | Rank 8 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Share price, 1 year | −57.82% | −11.03% | Rank 1 |
| Share price, 6 months | −38.48% | −0.69% | Rank 2 |
| Share price, 3 months | −36.06% | 4.43% | Rank 0 |
| Distance from 52-week high | −63.27% | −16.85% | Rank 0 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Accruals (Sloan)lower is better | 2.07% | −0.38% | Rank 24 |
| Change in share countlower is better | 12.09% | −0.06% | Rank 1 |
| Dividend streak in yearsdoes not count towards the rank | – | 5 | |
| Price reaction to results, market-adjusted | −27.62% | 0.56% | Rank 0 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Equity ratio | 90.43% | 37.05% | Rank 99 |
| Net debt/EBITDAlower is better | −4.51 | 1.47 | Rank 96 |
| Debt to equitylower is better | 0.01 | 0.75 | Rank 92 |
| Volatility, 1 yearlower is better | 75.30% | 31.95% | Rank 2 |
Ten years in figures
| Year | Revenue | EBIT margin | FCF, $M | Shares | Net debt |
|---|---|---|---|---|---|
| 2020 | $228.9M | −27.3% | −64.9 | 163M | −$92.0M |
| 2021 | $484.9M | −26.2% | −132.5 | 163M | −$1.3B |
| 2022 | $666.7M | −25.8% | −100.3 | 163M | −$416.3M |
| 2023 | $804.0M | −17.4% | −84.8 | 163M | −$375.4M |
| 2024 | $1.3B | −43.1% | 215.8 | 180M | −$535.4M |
| 2025 | $2.2B | 20.1% | 684.2 | 202M | −$930.4M |
3 of 7 StockScorer Score rules met · How the score is built
Reddit, Inc. mainly meets criteria in the Profitability category. Result from 18 strategies checked.
Reddit, Inc. is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.
3 of 7 rules met
5 of 11 points
Detail data
Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.
With a free account, you can see the match across all strategies checked in one complete overview.
Selected fundamental metrics for Reddit, Inc.
| Metric | Stock | Sector |
|---|---|---|
| P/E ratio | 36.3 | 21.7 |
| P/B ratio | 6.6 | 2.5 |
| Return on equity (ROE) | 18.1% | 11.4% |
| Equity ratio | 90.4% | 37.1% |
| Debt-to-equity (D/E) | 0.01 | 0.75 |
| Dividend yield | – | 2.8% |
How comparable stocks in the same sector score in the StockScorer model.
| Symbol | Company | Rating |
|---|---|---|
| RDDT | Reddit, Inc.this page | |
| PINS | Pinterest Inc | locked |
| 035420.KS | Naver Corporation | locked |
| 1024.HK | Kuaishou Technology | locked |
| REA.AX | REA Group Ltd | locked |
| TME | Tencent Music Entertainment Group | locked |
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Learn more about the metrics in the metrics glossary or all rated stocks in the stock overview.
How StockScorer rates every stock is explained on the methodology page.