Stock AnalizReddit, Inc. RDDT
EDP Services · IPO 2024 · data as of November 13, 2026
Reddit, Inc. (RDDT) is a technology company listed in the US with a market value of about $19.0B. In the twelve months to September 30, 2026 it had revenue of $3.1B and net income of $992M, a net margin of 32.1%.
Its overall Stock Analiz score is 2.8 out of 5 (average). The strongest part is financial health (5/5); the weakest is shareholder returns (0/5).
Key numbers: a P/E of 20.1, a price to free cash flow of 15.9, a 5-year average ROIC of -7%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 201% above the current price.
Score: 2.8 / 5
Checks passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- Profit margin improving
- Strong R&D investment or growth above 20%
Checks not passed
- PEG below 1.5
- 3-year free cash flow growth above 10% a year
- 5-year EPS growth above 10% a year
- 5-year revenue growth above 8% a year
- 5-year average ROIC above 12%
- Profitable 5 years in a row
- Pays a dividend
- Share count down over 3 years (buybacks)
Valuation
Growth and quality
Financials, last 4 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Revenue | $3.1B | $2.2B | $1.3B | $804M | $667M |
| Net income | $992M | $530M | -$484M | -$91M | -$159M |
| Free cash flow | $1.2B | $684M | $216M | -$85M | -$100M |
| EPS (diluted) | $4.90 | $2.62 | $-3.33 | $-1.54 | $-2.77 |
| Net margin | 32.1% | 24.1% | -37.2% | -11.3% | -23.8% |
| ROIC | — | 11.8% | -25.9% | — | — |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 29 analysts is $150.01, 52% above the current price; targets range from $100.00 to $272.00; the consensus rating is “Buy”; expected EPS is $5.48 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Reddit’s P/E ratio?
About 20.1, based on the last twelve months of diluted earnings per share (forward P/E about 15.2).
Is Reddit stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 201% above the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Reddit pay a dividend?
Not currently.
Is Reddit a good stock to buy?
We do not give buy or sell advice. Reddit scores 2.8 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
Similar companies
Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.