Reddit, Inc.
RDDTCommunication Services · Internet Content & Information · NYSE
$95.12
P/E 33.6×
Is Reddit, Inc. (RDDT) Undervalued? Valuation & Fair Price
At $95.12, 3 of the 4 frameworks would pass on Reddit, Inc. today — Warren Buffett, Benjamin Graham, and Phil Town (Rule #1) rate it Avoid and Peter Lynch rates it Hold. Each model calculates its own fair value and margin of safety; create a free account to see the exact buy price behind every verdict.
Valuo fair-value verdict
Reddit, Inc. looks 12% overvalued
RDDT trades at $95.12 versus a blended fair value of $83.66 across 4 investor frameworks. That's a 12% premium over our estimate — the exact buy-below price from each framework is below.
The four investor lenses
See how each legend judges RDDT
Pick a lens — the fair-value rail and its checklist update. The exact prices unlock with a free account.
Buffett: Wonderful businesses at a fair price — moat, high returns on capital, owner earnings.
Where Buffett marks fair value — the exact price is in the full analysis.
Buffett's checklist
Return on Equity
ROE Consistency
ROE Quality (Low Leverage)
Debt Levels
The full checklist, the exact fair value, and all four lenses side by side
Unlock free →The six questions · RDDT
signal free · score locked
- Is it cheap enough?Mixed
A great business at the wrong price is still a bad buy.
Price score — free accountP/E · PEG
- Is this a good business?Mixed
Returns on capital, margins, and the cash they throw off.
Quality score — free accountROIC · margins
- Can it survive a bad year?Strong
Debt, liquidity, and balance-sheet resilience.
Safety score — free accountDebt · liquidity
- Are the numbers honest?Strong
Whether reported profit is backed by real cash.
Integrity score — free accountCash-backed profit
- Is it getting better?Strong
Revenue, earnings, and cash-flow trajectory.
Growth score — free accountRevenue · earnings
- Who runs it — and are they buying?Weak
Capital allocation, dilution, and insider conviction.
Stewardship score — free accountDilution · insiders
Strong on Safety, Integrity, Growth; weak on Stewardship.
Inside · Price
Price is what you pay for the cash a business earns. Roughly under ~15× earnings is cheap; over ~30× the market is already pricing in strong growth, so you need that growth to show up.
The exact number, the reference bands, and each legend's take unlock free.
Insider & congress activity
Are insiders buying RDDT?
Over recent SEC Form 4 filings, RDDT insiders bought $0 and sold $46.9M of stock across 63 open-market trades. Insiders sell for many reasons, but they buy for one.
| Insider | Action | Shares | Value | Date |
|---|---|---|---|---|
| Wong Jennifer L.Chief Operating Officer | Sell | 26,105 | $3.9M | Oct 14, 2026 |
| Wong Jennifer L.Chief Operating Officer | Sell | 6,399 | $960K | Oct 14, 2026 |
| Wong Jennifer L.Chief Operating Officer | Sell | 11,200 | $1.7M | Oct 14, 2026 |
| Wong Jennifer L.Chief Operating Officer | Sell | 5,495 | $836K | Oct 14, 2026 |
| Wong Jennifer L.Chief Operating Officer | Sell | 5,701 | $871K | Oct 14, 2026 |
Members of Congress have also reported 6 trades in RDDT. See the full insider & congress timeline.
Source: SEC Form 4 filings. Open-market buys & sells only. Not investment advice.
See the interactive insider chart & every tradeBear · base · bull
Three ways RDDT could play out
A fair-value target for each scenario, with the assumptions behind it.
Bear case
Bear case price target — free accountGrowth disappoints and the multiple compresses — the downside if things go wrong.
Base case
Base case price target — free accountThe most likely path given current fundamentals — the scenario to anchor on.
Bull case
Bull case price target — free accountExecution beats expectations and growth holds — the upside if things go right.
Company financials
5-Year Financials
Income statement highlights — annual, USD
| Metric | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Revenue | $2.2B | $1.3B | $804M | $667M | $485M |
| Rev. Growth | +69.4% | +61.7% | +20.6% | +37.5% | — |
| Net Income | $530M | -$484M | -$91M | -$159M | -$128M |
| Net Margin | 24.1% | -37.2% | -11.3% | -23.8% | -26.4% |
| EPS (Diluted) | $2.84 | $-2.69 | $-0.56 | $-0.97 | $-0.78 |
About Reddit, Inc.
CEO
Steven Ladd Huffman
Sector
Communication Services
Industry
Internet Content & Information
Website
www.redditinc.comReddit, Inc. oversees an internet-based service dedicated to fostering diverse online communities. This platform categorizes groups by shared passions, enabling its users to participate in dialogues through recounting experiences, sharing external web addresses, uploading visual and video content, and engaging in direct replies. Founded in 2005, the corporation maintains its central operations in San Francisco, California. Reddit, Inc. also functions as a controlled subsidiary of Advance Publications, Inc.
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- Insider & congress activity
- 5-year financials
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Data as of Nov 1, 2026 · price updated Nov 3, 2026. Sourced from SEC filings & Financial Modeling Prep.
Educational Use Only · Not Financial Advice
Analysis, scores, valuations, and buy zones are derived from publicly documented investor frameworks (Buffett, Lynch, Benjamin Graham, Phil Town) for learning purposes only. They are not recommendations from licensed financial advisors. Past performance does not guarantee future results. Prices may be delayed up to 15 minutes. Always conduct your own research before making any investment decisions.