Historical Valuation
Reddit Inc (RDDT) is now in the Fair zone, suggesting that its current forward PS ratio of 16.84 is considered Fairly compared with the five-year average of 48.77. The fair price of Reddit Inc (RDDT) is between 192.89 to 300.04 according to relative valuation methord.
Relative Value
Fair Zone
192.89-300.04
Current Price:253.95
Fair
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Reddit Inc (RDDT) has a current Price-to-Book (P/B) ratio of 17.55. Compared to its 3-year average P/B ratio of 10.60 , the current P/B ratio is approximately 65.54% higher. Relative to its 5-year average P/B ratio of 10.60, the current P/B ratio is about 65.54% higher. Reddit Inc (RDDT) has a Forward Free Cash Flow (FCF) yield of approximately 1.11%. Compared to its 3-year average FCF yield of 0.58%, the current FCF yield is approximately 91.26% lower. Relative to its 5-year average FCF yield of 0.58% , the current FCF yield is about 91.26% lower.
P/B
Median3y
10.60
Median5y
10.60
FCF Yield
Median3y
0.58
Median5y
0.58
Competitors Valuation Multiple
AI Analysis for RDDT
The average P/S ratio for RDDT competitors is 27.69, providing a benchmark for relative valuation. Reddit Inc Corp (RDDT.N) exhibits a P/S ratio of 16.84, which is -39.16% above the industry average. Given its robust revenue growth of 67.91%, this premium appears sustainable.
Performance Decomposition
AI Analysis for RDDT
1Y
3Y
5Y
Market capitalization of RDDT increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of RDDT in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is RDDT currently overvalued or undervalued?
Reddit Inc (RDDT) is now in the Fair zone, suggesting that its current forward PS ratio of 16.84 is considered Fairly compared with the five-year average of 48.77. The fair price of Reddit Inc (RDDT) is between 192.89 to 300.04 according to relative valuation methord.
What is Reddit Inc (RDDT) fair value?
RDDT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Reddit Inc (RDDT) is between 192.89 to 300.04 according to relative valuation methord.
How does RDDT's valuation metrics compare to the industry average?
The average P/S ratio for RDDT's competitors is 27.69, providing a benchmark for relative valuation. Reddit Inc Corp (RDDT) exhibits a P/S ratio of 16.84, which is -39.16% above the industry average. Given its robust revenue growth of 67.91%, this premium appears sustainable.
What is the current P/B ratio for Reddit Inc (RDDT) as of Jan 09 2026?
As of Jan 09 2026, Reddit Inc (RDDT) has a P/B ratio of 17.55. This indicates that the market values RDDT at 17.55 times its book value.
What is the current FCF Yield for Reddit Inc (RDDT) as of Jan 09 2026?
As of Jan 09 2026, Reddit Inc (RDDT) has a FCF Yield of 1.11%. This means that for every dollar of Reddit Inc’s market capitalization, the company generates 1.11 cents in free cash flow.
What is the current Forward P/E ratio for Reddit Inc (RDDT) as of Jan 09 2026?
As of Jan 09 2026, Reddit Inc (RDDT) has a Forward P/E ratio of 72.57. This means the market is willing to pay $72.57 for every dollar of Reddit Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Reddit Inc (RDDT) as of Jan 09 2026?
As of Jan 09 2026, Reddit Inc (RDDT) has a Forward P/S ratio of 16.84. This means the market is valuing RDDT at $16.84 for every dollar of expected revenue over the next 12 months.