Reddit (RDDT) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

NYSE•Communication Services•Internet Content & Information

$151.19-1.64(-0.01%)Market open

Market Cap

$29.02B

P/E

33.3x

P/S

10.4x

P/B

8.8x

Reddit, Inc. operates a digital community in the United States and internationally. The company's platform enables user to engage in conversations, explore passions, research new hobbies, exchange goods and services, create new communities and experiences, share laughs, and find belonging. It also organizes communities based on specific interests that enable users to engage in conversations by sharing experiences, submitting links, uploading images and videos, and replying to one another. Reddit, Inc. was founded in 2005 and is headquartered in San Francisco, California.

How this company scores

ExcellentMetricSide Score: 87/100

Strongest: Profitability (25/25); weakest: Balance Sheet & Red Flags (15/25).

Profitability25/25

Growth22/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality25/25

Strengths

Growing revenueRising free cash flowStrong marginsHigh ROE

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 33.3x5y range 33.3x – 163.3x

Currently below its 6-quarter median.

P/S · 10.4x5y range 9.6x – 23.9x

Currently below its 7-quarter median.

P/B · 8.8x5y range 1.8x – 17.4x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Share Dilution

Red Flag

Shares outstanding increased 13.7% — significant dilution, likely from stock compensation or capital raises.

Price & Volume

Market Cap $29.02B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $2.78B
Q. Revenue: $804.90M
TTM EBITDA: $801.52M
TTM Op. Income: $785.00M
Q. Op. Income: $231.72M
TTM Net Income: $871.10M
Q. Net Income: $252.85M
EPS: $1.31
Shares Out.: $192.35M

$2.78B in TTM revenue grew 66.6% YoY, reaching $804.90M last quarter. TTM EBITDA of $801.52M and TTM operating income of $785.00M show growth is flowing through to the bottom line. TTM net income of $871.10M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 91.3%
EBITDA Margin: 29.3%
Op. Margin: 28.8%
Net Margin: 31.4%

Op. margin of 28.8% is up 15.2% YoY — cost efficiency is improving. Net margin at 31.4% and gross margin of 91.3% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 112% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 33.3x
P/S Ratio: 10.4x
P/B Ratio: 8.8x

At 33.3x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 10.4x and P/B of 8.8x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 6 quarters, P/E has fallen for 3 consecutive quarters — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $3.64B
Cash: $1.49B
Long-Term Debt: N/A
Book Value: $3.29B
D/E Ratio: N/A
Debt/EBITDA: 0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $261.88M
TTM Free Cash Flow: $1.02B
FCF Margin: 36.7%
FCF / Net Income: 1.2

TTM FCF of $1.02B on $261.88M in operating cash flow. The FCF / Net Income ratio of 1.2x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 7 consecutive quarters — an improving trend.