NYSE · RDDT

Reddit, Inc.

Communication Services · Internet Content & Information

$162.37▲ 2.92% ($4.60)at close

After hours$159.01▼ 2.07%7:57 PM ET

52-week

$119.27$282.95

Market cap

$31.26B

P/E

37.66

Volume

4.43M

Shares outstanding

192.51M

Valuation

Recommended · Earnings yield

Price used

$162.37

Earnings yield

2.66%

Reported earnings

10-year Treasury benchmark: 5%

USD · TTM earnings ending 2026-06-30

Method, dates & sources

Earnings per share divided by the price used, compared with the 10-year Treasury rate.

Price timestamp: Sep 14, 2026, 7:59 PM UTC
Financial statement period: TTM earnings ending 2026-06-30
Data refreshed: Sep 16, 2026, 1:36 AM UTC · provider

Why this method?

The company is still too young and does not have a stable, multi-year FCFF base. Use EV/Revenue multiples and comparable transactions instead of a DCF.

Is FCFF positive and has it been for 3+ consecutive years? Only 1 consecutive positive FCFF years are available.

Is there enough operating history to anchor a DCF? Only 2 years of public or statement history are available, so multiples are more decision-useful than a DCF here.

Price vs Fundamentals

Why The Stock Is Moving

Likely multiple compressionHigh confidence

1Y Price: -38.41%Revenue (TTM): 66.59%FCF (TTM): 156.68%P/FCF: 13th pct

What changed

The stock fell 38.41% over the last year. Revenue grew 66.59% over the trailing twelve months. Operating margin moved from 7.87% to 28.25%. Free cash flow grew 156.68% over the trailing twelve months.

What the market seems to be pricing

Visible fundamentals weakened far less than the stock price, and the shares now sit around the 13th percentile of their historical P/FCF range. That looks more like a rerating of the multiple than a collapse in the business.

What would invalidate this read

This read changes if operating margin (currently 28.25%) continues to decline, or if revenue growth turns negative. The bull case requires the business to hold its current trajectory.

Performance

Return analysis

Company profile

Reddit, Inc. oversees an internet-based service dedicated to fostering diverse online communities.

CEOSteven Ladd Huffman

SectorCommunication Services

IndustryInternet Content & Information

Employees2,555

IPO dateMar 21, 2024

https://www.redditinc.com

Market multiples

Forward P/E—

EV/EBITDA76.96

Enterprise value$41.91B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth61.1%

Gross margin (FY2025)91.18%▲0.7ppvs FY2024

Operating margin (FY2025)20.07%▲63.2ppvs FY2024

ROE30.71%▲9.8ppvs FY2025

Analyst consensus

RatingBuy

Target price$204.40▲25.89%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Oct 29, 2026

Q4 FY26 · EPS est $1.33 · Revenue est $872.92M

View