Added to YB: 2026-03-26
Pitch date: 2026-03-21
RDDT [bullish]
Reddit, Inc.
-0.26%
current return
Author Info
No bio for this author
Company Info
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.
Market Cap
$26.9B
Pitch Price
$140.00
Price Target
N/A
Dividend
N/A
EV/EBITDA
52.15
P/E
53.78
EV/Sales
11.11
Sector
Interactive Media and Services
Category
growth
Reddit: Durable Data Moat Driving High-Margin ARPU Expansion
RDDT: 22B posts over 20yrs = irreplaceable moat. Monetizes 2 ways: ads + AI training data. $20 ARPU vs Meta's $200—closing via Conversion API buildout. FY25 rev +69% on +19% DAU = 50pt ARPU expansion. 91% gross margin, 21% EBITDA inflecting to 42%+ in FY26. FY25: $2.2B rev, $458M EBITDA, 1st profit ever. FY27 est: $4.1B rev, $1.83B EBITDA, 35%+ CAGR. Down 48% from $270 peak despite 8 beats + $1B buyback. At $140: 18x FY26, 13x FY27 EBITDA.
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