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| 1 Year | 5 Year | 5 Year Annualized | Since IPO | |
|---|---|---|---|---|
| RDDT | +161.88% | N/A | N/A | +308% |
| S&P | +15.06% | +95.03% | +14.29% | +28% |
Reddit is an online platform that enables users to submit links, create content, and have discussions about the topics of their interest. Users can post links to content on the web and then the other users can vote the posted links up or down, causing them to appear more or less prominently on the site’s home page. The site has discussion areas where users can discuss the posted links, and vote for or against others’ comments. When there are enough votes against a given comment, it will not be displayed by default, although a reader can display it through a link or preference. Users who submit articles that other users like and subsequently ''vote up'' receive ''karma'', points that a user receives as a reward for submitting interesting articles. The posts on the site are classified under topics such as random, gadgets, sports, gaming, pics, videos, music, funny, movies, books, history, food, philosophy, television, jokes, art, and more. Reddit also includes several topical sections called subreddits, which focus on specific topics, including programming, science, and politics.
The social media company reports its third-quarter earnings later this month.
| Q2 2025 | YOY Change | |
|---|---|---|
| Revenue | $499.63M | 77.7% |
| Gross Profit | $449.79M | 81.4% |
| Gross Margin | 90.03% | 1.9% |
| Market Cap | $27.78B | 166.0% |
| Market Cap / Employee | $12.44M | 0.0% |
| Employees | 2.2K | 10.9% |
| Net Income | $89.30M | 984.2% |
| EBITDA | $71.65M | 362.7% |
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| Q2 2025 | YOY Change | |
|---|---|---|
| Net Cash | $734.06M | 56.9% |
| Accounts Receivable | $407.23M | 69.6% |
| Inventory | 0 | 0.0% |
| Q2 2025 | YOY Change | |
|---|---|---|
| Long Term Debt | $18.61M | -18.2% |
| Short Term Debt | $6.57M | 22.4% |
| Q2 2025 | YOY Change | |
|---|---|---|
| Return On Assets | 9.19% | 0.0% |
| Return On Invested Capital | -12.01% | -2.6% |
| Q2 2025 | YOY Change | |
|---|---|---|
| Free Cash Flow | $110.83M | 307.7% |
| Operating Free Cash Flow | $111.33M | 292.2% |
| Metric | Q1 2025 | Q2 2025 | YoY Change | ||
|---|---|---|---|---|---|
| Price to Earnings | 162.28 | 127.10 | - | ||
| Price to Book | 5.77 | 14.39 | 8.88 | 12.51 | 120.43% |
| Price to Sales | 10.23 | 22.67 | 13.33 | 16.89 | 56.61% |
| Price to Tangible Book Value | 5.93 | 14.92 | 9.17 | 12.89 | 120.15% |
| Price to Free Cash Flow TTM | 109.72 | 136.55 | 61.72 | 70.98 | - |
| Enterprise Value to EBITDA | 901.99 | 484.93 | 2212.69 | 364.76 | -211.62% |
| Free Cash Flow Yield | 0.9% | 0.7% | 1.6% | 1.4% | - |
| Return on Equity | -31.8% | -27.1% | 5.8% | 10.1% | -262.20% |
| Total Debt | $26.97M | $26.70M | $26.55M | $25.18M | -10.46% |

Wharton Professor Ethan Mollick and Reddit CEO Steve Huffman help us see a bigger picture.

Global advertising spend is growing faster than expected and beginning to eat into other ways businesses have historically spent money. Who are the winners?

You might use Reddit, but is it also worth a look for your portfolio?

Reddit's looking pretty good. And big box office numbers and streaming profits can't distract investors from a slowdown in Disney's parks segment.
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