Reddit, Inc. (RDDT) is a Technology company in the Services-Computer Processing & Data Preparation industry with a market capitalisation of $30.4B. The stock trades at 36.61x trailing earnings.
Sector
Technology
Industry
Services-Computer Processing & Data Preparation
Market cap
$30.4B
P/E ratio
36.61
Forward P/E
16.29
EPS (TTM)
$4.31
Revenue (TTM)
$2.8B
Free cash flow
$678.1M
Profit margin
31.3%
Beta
2.02
Shares outstanding
146.1M
Financial health: Strong10/10
8 strengths, 0 concerns. No red flags against these benchmarks.
Current ratio: 11.56 (Strong, benchmark > 1.5) β Short-term assets cover 11.56x short-term liabilities, against Graham's 1.5x floor. It has been broadly flat over the last 3 years.
Return on equity: 30.7% (Strong, benchmark > 15%) β Earns 30.7% on shareholder equity, comfortably past the > 15% mark.
Gross margin: 91.4% (Strong, benchmark > 40%) β Keeps 91.4% of revenue after the direct cost of sales, comfortably past the > 40% mark.
Net margin: 31.4% (Strong, benchmark > 10%) β Turns 31.4% of revenue into profit, comfortably past the > 10% mark.
Free cash flow: $684.2M (Strong, benchmark positive) β Generated $684.2M of free cash flow after capital spending. It has improved over the last 4 years.
Revenue growth: 61.1% (Strong, benchmark > 10%) β Revenue changed 61.1% year on year, comfortably past the > 10% mark.
Earnings growth: 177.8% (Strong, benchmark > 10%) β Earnings changed 177.8% year on year, comfortably past the > 10% mark.
PEG ratio: 0.79 (Strong, benchmark < 1) β At 0.79, the price looks cheap relative to expected growth β Lynch treated 1.0 as fair value.