# Reddit Inc. (RDDT) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Communication Services / Internet Media & Services. Price $96.15, market value $18.6 billion.

## Valuation
- **P/E (trailing): 19.6×** (5-yr avg 87.7×, 3-yr avg 87.7×). Reddit Inc. trades at 19.6× trailing earnings, well below its own five-year average of 87.7×: cheap by its own standards. The Communication Services median in the September 2026 study was 21.1×. Forward P/E is 10.4×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.06**. A PEG of 0.06 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 6.0×**. Each dollar of revenue is priced at 6.0×.
- **Price / book: 5.2×**. The shares trade at 5.2× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **Free-cash-flow yield: 6.5%** (5-yr avg 1.2%). Free cash flow equals 6.5% of the market value, above its five-year average of 1.2%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 5.1%**. The inverse of the P/E: 5.1% of the price is earned each year.

## Profitability
- **Operating margin: 29.4%**. 29.4% of revenue is left after running the business, an exceptional level.
- **Net margin: 24.1%**. 24.1% of each dollar of sales reaches the bottom line.
- **Return on equity: 18.1%**. 18.1% on shareholders' equity is solid.
- **Return on assets: 30.6%**. Each dollar of assets produces 30.6% of profit.

## Growth
- **Revenue growth (1 yr): 69.4%** (3-yr 48.9%/yr). Revenue grew 69.4% over the last year.
- **EPS growth (1 yr): 178.7%**. Earnings per share rose 178.7%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Current ratio: 11.56** (quick 11.56). Current assets cover the next year's liabilities 11.56 times.
- **Altman Z-score: 39.38**. A Z-score of 39.38 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. Reddit Inc. does not currently pay a dividend.

## Analyst view
- **Analyst consensus: buy** (30 analysts). 30 analysts cover Reddit Inc.; the consensus is buy, with an average price target of $167.85 (+75% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -56.5%** (YTD -60.4%, 3-mo -41.2%). The shares are down 56.5% over twelve months including dividends.
- **From 52-week high: -63.5%** (7.7% above the low). Trading 64% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 17**. An RSI of 17 is oversold; bounces are common, but oversold can stay oversold in a real decline.
- **Beta (1 yr): 2.25** (volatility 75%). Beta of 2.25 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=RDDT · Page: https://foliofundamentals.com/stocks/rddt

Not investment advice.