RDDT

Reddit, Inc.

$155.14

-0.64% 2026-10-19

Communication ServicesS&P 500

1M 3M 6M 1Y 2Y

RDDTSPY

-3.0%

+2.8%

-14.6%

-6.7%

YTD

-32.5%

-20.4%

Grades vs sector

Momentum

21st pct in sector

12-1 return: -31.8%
Percentile within its GICS sector across the S&P 1500.

Growth

94th pct in sector

Revenue growth (YoY): +61.1%
Percentile within its GICS sector across the S&P 1500.

Value

22nd pct in sector

Forward E/P: 6.2% · EBITDA/EV: 2.9%
Percentile within its GICS sector across the S&P 1500.

Profitability

87th pct in sector

A-

Profit margin: +31.3% · Return on equity: +30.7%
Percentile within its GICS sector across the S&P 1500.

Revisions

no data

–

EPS estimate change, 30 days (current FY): –
30-day change in analysts' current-year EPS estimate; graded across covered stocks.

Our models

Not held by any of our 3 live models right now.

Momentum Top 15

rank 482 of 499 · 12-1 momentum % -35.7

Quality Growth

not ranked (outside this model's universe or screens)

Momentum Blend

not in the current book

Key stats

Market cap$29.8B

P/E (trailing)36.1

P/E (forward)16.0

52-week range119.27 – 263.50

Revenue growth (YoY, latest qtr)+61.1%

Dividend yield0.00%

Analyst consensusBuy (33)

Mean price target$212.95 (+37%)

Valuation & fundamentals

Bottom line

Leans undervalued

Model read-out from the numbers below, not advice. Score +2 (DCF counts double).

▲DCF (base case)above the price by 42%

▼Forward P/E vs sector16.0x vs median 11.0x

•Piotroski F-score6/9

▲Altman Z53.5 (safe)

▲Net debt / EBITDA-3.5x

▲Analyst target+37% (33 analysts)

Discounted cash flow

Bear

$114

-27%

growth 18% · disc. 14.0% · term. 2.0%

Base

$220

+42%

growth 30% · disc. 13.0% · term. 2.5%

Bull

$364

+134%

growth 38% · disc. 12.0% · term. 3.0%

A DCF starts from trailing free cash flow, so it can overstate value if the last 12 months were unusually strong (or weak). Use the bear case or edit the starting cash flow if so.

Reverse DCFfor context, not a signal

Today's price assumes free cash flow grows about 17% a year for 10 years.

Implied

+17%/yr

FCF, last 3 yrs

n/a

FCF, last 5 yrs

n/a

Revenue, last 3 yrs

+49%/yr

Revenue, last 5 yrs

n/a

Same inputs as the DCF above: trailing free cash flow 1.0B, 13.0% discount rate, 2.5% growth after year 10, net cash and today's share count. Actual growth rates are compound annual rates from SEC annual filings through FY2025; "n/a" means too little history or a negative starting year.

Edit assumptions · recalculates instantly

Your value per share–

Free cash flow = operating cash flow − capital spending, trailing 12 months (TTM to 2026-06-30). Growth default: average of 3-year revenue CAGR and latest revenue growth, capped at 30%. Years 6–10 fade linearly to terminal growth. Discount rate = 4.25% risk-free assumption + beta 2.05 × 5% equity premium, kept within 7–13%. Bear: lower growth, +1 pt discount, 2% terminal. Bull: higher growth, −1 pt, 3%.

Multiples vs Communication Services

P/E (trailing)

sector median 18.8× · 76th pct

36.1×
pricier

Forward P/E

sector median 11.0× · 66th pct

16.0×
pricier

EV / EBITDA

sector median 12.2× · 90th pct

33.8×
pricier

Price / sales

sector median 1.9× · 93rd pct

10.7×
pricier

Price / book

sector median 2.3× · 82nd pct

9.1×
pricier

FCF yield

sector median 8.2% · 30th pct

3.4%
pricier

Forward EPS $9.68 vs trailing $4.30 (+125% expected growth). Forward P/E uses analysts' next-12-month estimate.

Backlog (remaining performance obligations)

RPO

$92.1M

as of 2026-06-30

vs a year ago

-53%

YoY

× TTM revenue

0.03×

coverage

24-09

24-12

25-03

25-06

25-09

25-12

26-03

26-06

Contracted revenue not yet recognized, from SEC filings (XBRL tag RevenueRemainingPerformanceObligation).

Quality & financial health

Gross margin

91.4%

Operating margin

28.2%

FCF margin

36.7%

Net margin

31.3%

Return on equity

26.5%

Return on invested capital

156.0%

Net debt / EBITDA

-3.5×

Current ratio

10.5×

Interest cover

–

Cash conversion (OCF/NI)

1.2×

Piotroski F-score 6/9 · last two fiscal years

✓ Positive net income✓ Positive operating cash flow✓ Return on assets improved✓ Cash flow above net income✓ Long-term debt / assets fell✗ Current ratio improved✗ No share dilution✗ Gross margin improved✓ Asset turnover improved

Altman Z-score 53.5 (safe zone; above 3.0 = safe, below 1.8 = distress). Not meaningful for banks and insurers.

Analysts

Mean target

$213

+37%

Analysts

Buy

Range

$130–$300

low – high

● price · ◆ mean target

Annual history

FY	Revenue	Net income	Free cash flow
2025	$2.2B	$529.7M	$684.2M
2024	$1.3B	$-484.3M	$215.8M
2023	$804.0M	$-90.8M	$-84.8M
2022	$666.7M	$-158.6M	$-100.3M

From the company's 10-K filings via SEC XBRL. 3-year revenue CAGR +48.9%.

Earnings

Next report: 2026-10-29 · after close · EPS est 1.32

EstimateActual (beat)Actual (miss)

Report	EPS est	Actual	Surprise
2026-07-30	0.96	1.25	+29.6%
2026-04-30	1.11	1.40	+26.1%
2026-02-05	1.45	1.68	+16.4%
2025-10-30	1.05	1.26	+20.7%
2025-07-31	0.19	0.92	+34.0%
2025-05-01	0.01	0.13	+870.9%
2025-02-12	0.25	0.36	+44.3%
2024-10-29	0.41	0.59	+42.9%

Quarterly revenue

Quarter	Revenue	YoY
2026-06-30	$804.9M	+61.1%
2026-03-31	$663.4M	–
2025-12-31	$725.6M	–
2025-09-30	$584.9M	–
2025-06-30	$499.6M	–

Analyst actions

Needham

2026-10-09 · reit

Buy → Buy
PT $300

DA Davidson

2026-09-18 · main

Buy → Buy
PT $185

Morgan Stanley

2026-08-21 · main

Overweight → Overweight
PT $210

JP Morgan

2026-07-31 · main

Neutral → Neutral
PT $185

Oppenheimer

2026-07-31 · main

Outperform → Outperform
PT $200

B. Riley Securities

2026-07-31 · main

Buy → Buy
PT $270