Reddit, Inc. RDDT
Composite 67/100; the shares have moved about 78% annualised. Names that move more contribute more risk for the same amount invested, and our composite reflects how strong the evidence for this one is right now.
Valuation ranks 26/100 — a moderate mark against it.
Balance-sheet strength ranks 97/100 — a strong point in its favour. Growth ranks 94/100 — a strong point in its favour. Quality ranks 83/100 — a strong point in its favour.
Valuation ranks 26/100 — a moderate mark against it. Momentum ranks 33/100 — a moderate mark against it.
What the company does Reddit operates a global digital community platform where users create and engage in interest-based conversations, share content, and exchange goods and services. The platform hosts over 100K active communities and monetizes through advertising, premium memberships, and data licensing.
Key financials Reddit reports strong profitability with ROE 30.7%, ROA 15.7%, and ROCE 25.9%. Revenue growth is 69.4% with EPS up 177.8%. Margins are robust: gross 91.4%, operating 28.8%, net 31.4%. Leverage is minimal (Debt/Equity 0.01), and liquidity is high (Current ratio 10.49).
Stock health The stock shows weak momentum: 3m -16.89%, 12m -34.46%, RSI(14) 41.70. Sideravia scores highlight excellent quality (82.7) but weak momentum (22.6) and rich valuation (24.7). Profitability metrics remain strong despite the pullback.
Price vs fair value RDDT trades at a discount of 45.70% versus the analyst mean target of 215.31. - Shares fell on 2026-08-31 amid broader market concerns (Why Reddit (RDDT) Shares Are Falling Today) - High valuation multiples (P/E 41.54, EV/EBITDA 39.30) weigh on sentiment - Weak momentum (RSI 41.70) and -47.76% drawdown from 52w high pressure the stock - Sideravia Valuation percentile 24.7/100 signals rich pricing relative to peers
Looking forward Forward P/E of 35.21 and PEG of 1.96 suggest growth is priced at a premium. Revenue growth of 69.4% and net margin of 31.4% support long-term potential, but momentum and valuation remain key risks.
This is not investment advice. Sideravia provides automated, data-driven analysis for information and education only. Nothing on this page is a personal recommendation or an invitation to buy or sell any security, and it does not consider your objectives or financial situation. Assessments are generated by rules applied uniformly to every covered stock — how our scores work.
Data as of 2026-09-03, compiled from third-party sources; errors and delays are possible and figures are not warranted. Investing puts your capital at risk; past performance does not predict future results. We publish our full track record, including the calls that lost, and our conflicts of interest.