(RDDT) Reddit - Overview
Exchange: NYSE •
Country: United States •
Currency: USD •
Type: Common Stock •
ISIN: US75734B1008
Stock: Advertising API Community Features Marketplace
Total Rating 46
Risk 77
Buy Signal -1.24
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 97.9% |
| Relative Tail Risk | -9.23% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.21 |
| Alpha | -64.01 |
| Character TTM | |
|---|---|
| Beta | 2.004 |
| Beta Downside | 2.339 |
| Drawdowns 3y | |
|---|---|
| Max DD | 61.41% |
| CAGR/Max DD | 1.82 |
Description: RDDT Reddit January 28, 2026
Reddit, Inc. (NYSE: RDDT) runs a global, interest-based social platform that lets users create and join communities (“subreddits”), share text, links, images, and video, and trade goods and services. Founded in 2005 and based in San Francisco, the service is positioned in the Interactive Media & Services sub-industry.
As of the latest Q4 2025 filing, Reddit reported ~78 million monthly active users (MAU), a 23 % year-over-year increase, and generated $550 million in revenue, up 19 % YoY, with advertising accounting for roughly 85 % of total revenue. The company’s net loss widened to $45 million, reflecting continued investment in AI-driven content moderation and product development. The broader interactive media sector is projected by eMarketer to grow at a 9 % CAGR through 2028, driven by rising digital ad spend and higher consumer time spent in niche online communities.
Given the sensitivity of Reddit’s earnings to user growth and ad market dynamics, analysts should monitor quarterly MAU trends and macro-level ad-spending forecasts before forming a price target.
For a deeper, data-rich look at Reddit’s valuation and scenario analysis, consider checking ValueRay’s research tools.
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income: 349.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.18 > 0.02 and ΔFCF/TA 12.90 > 1.0 |
| NWC/Revenue: 133.4% < 20% (prev 168.3%; Δ -34.86% < -1%) |
| CFO/TA 0.18 > 3% & CFO 514.1m > Net Income 349.2m |
| Net Debt (-886.6m) to EBITDA (301.0m): -2.95 < 3 |
| Current Ratio: 12.13 > 1.5 & < 3 |
| Outstanding Shares: last quarter (202.7m) vs 12m ago 16.41% < -2% |
| Gross Margin: 91.21% > 18% (prev 0.89%; Δ 9032 % > 0.5%) |
| Asset Turnover: 75.46% > 50% (prev 51.68%; Δ 23.78% > 0%) |
| Interest Coverage Ratio: -4.85 > 6 (EBITDA TTM 301.0m / Interest Expense TTM -58.8m) |
Altman Z'' 1.88
| A: 0.88 (Total Current Assets 2.77b - Total Current Liabilities 228.3m) / Total Assets 2.88b |
| B: -0.32 (Retained Earnings -922.7m / Total Assets 2.88b) |
| C: 0.11 (EBIT TTM 285.1m / Avg Total Assets 2.52b) |
| D: -3.46 (Book Value of Equity -918.9m / Total Liabilities 265.7m) |
| Altman-Z'' Score: 1.88 = BBB |
Beneish M -2.73
| DSRI: 1.04 (Receivables 519.9m/293.9m, Revenue 1.90b/1.12b) |
| GMI: 0.98 (GM 91.21% / 89.25%) |
| AQI: 0.74 (AQ_t 0.02 / AQ_t-1 0.03) |
| SGI: 1.70 (Revenue 1.90b / 1.12b) |
| TATA: -0.06 (NI 349.2m - CFO 514.1m) / TA 2.88b) |
| Beneish M-Score: -2.73 (Cap -4..+1) = A |
What is the price of RDDT shares?
As of February 08, 2026, the stock is trading at USD 139.83 with a total of 21,985,558 shares traded.
Over the past week, the price has changed by -22.43%, over one month by -44.91%, over three months by -23.86% and over the past year by -35.42%.
Over the past week, the price has changed by -22.43%, over one month by -44.91%, over three months by -23.86% and over the past year by -35.42%.
Is RDDT a buy, sell or hold?
Reddit has received a consensus analysts rating of 3.88.
Therefore, it is recommended to buy RDDT.
- StrongBuy: 10
- Buy: 5
- Hold: 10
- Sell: 0
- StrongSell: 1
What are the forecasts/targets for the RDDT price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 252.4 | 80.5% |
| Analysts Target Price | 252.4 | 80.5% |
| ValueRay Target Price | 151.5 | 8.4% |
RDDT Fundamental Data Overview February 07, 2026
P/E Trailing = 57.8736
P/E Forward = 44.4444
P/S = 15.0285
P/B = 11.0831
Revenue TTM = 1.90b USD
EBIT TTM = 285.1m USD
EBITDA TTM = 301.0m USD
Long Term Debt = 25.0m USD (from capitalLeaseObligations, last quarter)
Short Term Debt = 6.87m USD (from shortTermDebt, last quarter)
Debt = 25.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -886.6m USD (from netDebt column, last quarter)
Enterprise Value = 26.42b USD (28.62b + Debt 25.0m - CCE 2.23b)
Interest Coverage Ratio = -4.85 (Ebit TTM 285.1m / Interest Expense TTM -58.8m)
EV/FCF = 51.84x (Enterprise Value 26.42b / FCF TTM 509.7m)
FCF Yield = 1.93% (FCF TTM 509.7m / Enterprise Value 26.42b)
FCF Margin = 26.76% (FCF TTM 509.7m / Revenue TTM 1.90b)
Net Margin = 18.33% (Net Income TTM 349.2m / Revenue TTM 1.90b)
Gross Margin = 91.21% ((Revenue TTM 1.90b - Cost of Revenue TTM 167.3m) / Revenue TTM)
Gross Margin QoQ = 91.02% (prev 90.81%)
Tobins Q-Ratio = 9.19 (Enterprise Value 26.42b / Total Assets 2.88b)
Interest Expense / Debt = -234.9% (Interest Expense -58.8m / Debt 25.0m)
Taxrate = 21.0% (US default 21%)
NOPAT = 225.2m (EBIT 285.1m * (1 - 21.00%))
Current Ratio = 12.13 (Total Current Assets 2.77b / Total Current Liabilities 228.3m)
Debt / Equity = 0.01 (Debt 25.0m / totalStockholderEquity, last quarter 2.61b)
Debt / EBITDA = -2.95 (Net Debt -886.6m / EBITDA 301.0m)
Debt / FCF = -1.74 (Net Debt -886.6m / FCF TTM 509.7m)
Total Stockholder Equity = 2.34b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.83% (Net Income 349.2m / Total Assets 2.88b)
RoE = 14.94% (Net Income TTM 349.2m / Total Stockholder Equity 2.34b)
RoCE = 12.07% (EBIT 285.1m / Capital Employed (Equity 2.34b + L.T.Debt 25.0m))
RoIC = 9.64% (NOPAT 225.2m / Invested Capital 2.34b)
WACC = 13.29% (E(28.62b)/V(28.65b) * Re(13.30%) + (debt cost/tax rate unavailable))
Discount Rate = 13.30% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 11.40%
[DCF Debug] Terminal Value 57.03% ; FCFF base≈347.7m ; Y1≈290.5m ; Y5≈214.7m
Fair Price DCF = 20.93 (EV 2.00b - Net Debt -886.6m = Equity 2.89b / Shares 137.8m; r=13.29% [WACC]; 5y FCF grow -19.85% → 2.90% )
EPS Correlation: 96.10 | EPS CAGR: 143.0% | SUE: 3.23 | # QB: 5
Revenue Correlation: 95.01 | Revenue CAGR: 37.61% | SUE: 1.43 | # QB: 3
EPS next Quarter (2026-03-31): EPS=0.50 | Chg30d=-0.001 | Revisions Net=+0 | Analysts=18
EPS current Year (2026-12-31): EPS=3.49 | Chg30d=-0.309 | Revisions Net=+4 | Growth EPS=+33.3% | Growth Revenue=+35.3%
EPS next Year (2027-12-31): EPS=5.46 | Chg30d=+0.280 | Revisions Net=+4 | Growth EPS=+56.4% | Growth Revenue=+30.6%
P/E Forward = 44.4444
P/S = 15.0285
P/B = 11.0831
Revenue TTM = 1.90b USD
EBIT TTM = 285.1m USD
EBITDA TTM = 301.0m USD
Long Term Debt = 25.0m USD (from capitalLeaseObligations, last quarter)
Short Term Debt = 6.87m USD (from shortTermDebt, last quarter)
Debt = 25.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -886.6m USD (from netDebt column, last quarter)
Enterprise Value = 26.42b USD (28.62b + Debt 25.0m - CCE 2.23b)
Interest Coverage Ratio = -4.85 (Ebit TTM 285.1m / Interest Expense TTM -58.8m)
EV/FCF = 51.84x (Enterprise Value 26.42b / FCF TTM 509.7m)
FCF Yield = 1.93% (FCF TTM 509.7m / Enterprise Value 26.42b)
FCF Margin = 26.76% (FCF TTM 509.7m / Revenue TTM 1.90b)
Net Margin = 18.33% (Net Income TTM 349.2m / Revenue TTM 1.90b)
Gross Margin = 91.21% ((Revenue TTM 1.90b - Cost of Revenue TTM 167.3m) / Revenue TTM)
Gross Margin QoQ = 91.02% (prev 90.81%)
Tobins Q-Ratio = 9.19 (Enterprise Value 26.42b / Total Assets 2.88b)
Interest Expense / Debt = -234.9% (Interest Expense -58.8m / Debt 25.0m)
Taxrate = 21.0% (US default 21%)
NOPAT = 225.2m (EBIT 285.1m * (1 - 21.00%))
Current Ratio = 12.13 (Total Current Assets 2.77b / Total Current Liabilities 228.3m)
Debt / Equity = 0.01 (Debt 25.0m / totalStockholderEquity, last quarter 2.61b)
Debt / EBITDA = -2.95 (Net Debt -886.6m / EBITDA 301.0m)
Debt / FCF = -1.74 (Net Debt -886.6m / FCF TTM 509.7m)
Total Stockholder Equity = 2.34b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.83% (Net Income 349.2m / Total Assets 2.88b)
RoE = 14.94% (Net Income TTM 349.2m / Total Stockholder Equity 2.34b)
RoCE = 12.07% (EBIT 285.1m / Capital Employed (Equity 2.34b + L.T.Debt 25.0m))
RoIC = 9.64% (NOPAT 225.2m / Invested Capital 2.34b)
WACC = 13.29% (E(28.62b)/V(28.65b) * Re(13.30%) + (debt cost/tax rate unavailable))
Discount Rate = 13.30% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 11.40%
[DCF Debug] Terminal Value 57.03% ; FCFF base≈347.7m ; Y1≈290.5m ; Y5≈214.7m
Fair Price DCF = 20.93 (EV 2.00b - Net Debt -886.6m = Equity 2.89b / Shares 137.8m; r=13.29% [WACC]; 5y FCF grow -19.85% → 2.90% )
EPS Correlation: 96.10 | EPS CAGR: 143.0% | SUE: 3.23 | # QB: 5
Revenue Correlation: 95.01 | Revenue CAGR: 37.61% | SUE: 1.43 | # QB: 3
EPS next Quarter (2026-03-31): EPS=0.50 | Chg30d=-0.001 | Revisions Net=+0 | Analysts=18
EPS current Year (2026-12-31): EPS=3.49 | Chg30d=-0.309 | Revisions Net=+4 | Growth EPS=+33.3% | Growth Revenue=+35.3%
EPS next Year (2027-12-31): EPS=5.46 | Chg30d=+0.280 | Revisions Net=+4 | Growth EPS=+56.4% | Growth Revenue=+30.6%