Reddit Valuation
Is RDDT * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of RDDT * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: RDDT * (MX$1100) is trading below our estimate of fair value (MX$2134.89)
Significantly Below Fair Value: RDDT * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for RDDT *?
Other financial metrics that can be useful for relative valuation.
What is RDDT *'s n/a Ratio? | |
---|---|
n/a | 0x |
n/a | n/a |
Market Cap | US$9.36b |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 7.8x |
Enterprise Value/EBITDA | -12.4x |
PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does RDDT *'s PS Ratio compare to its peers?
Company | Forward PS | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 16x | ||
AUTO Auto Trader Group | 13.2x | 7.1% | UK£7.5b |
CAR CAR Group | 12.8x | 9.6% | AU$14.1b |
NAUKRI Info Edge (India) | 36.9x | 13.0% | ₹954.6b |
MEGA CPO Megacable Holdings S. A. B. de C. V | 1.2x | 8.6% | Mex$36.8b |
RDDT * Reddit | 10x | 18.6% | Mex$9.4b |
Price-To-Sales vs Peers: RDDT * is good value based on its Price-To-Sales Ratio (10x) compared to the peer average (16x).
Price to Earnings Ratio vs Industry
How does RDDT *'s PE Ratio compare vs other companies in the Global Interactive Media and Services Industry?
Price-To-Sales vs Industry: RDDT * is expensive based on its Price-To-Sales Ratio (10x) compared to the Global Interactive Media and Services industry average (1.6x).
Price to Sales Ratio vs Fair Ratio
What is RDDT *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PS Ratio | 10x |
Fair PS Ratio | n/a |
Price-To-Sales vs Fair Ratio: Insufficient data to calculate RDDT *'s Price-To-Sales Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
---|---|---|---|---|---|---|---|
Current | Mex$1,100.00 | Mex$1,295.25 +17.8% | 13.2% | Mex$1,623.90 | Mex$966.61 | n/a | 15 |
Aug ’25 | n/a | Mex$1,237.04 0% | 13.2% | Mex$1,564.93 | Mex$931.51 | n/a | 15 |
Jul ’25 | n/a | Mex$1,130.38 0% | 11.8% | Mex$1,380.76 | Mex$828.45 | n/a | 15 |
Jun ’25 | n/a | Mex$998.38 0% | 9.7% | Mex$1,162.20 | Mex$747.13 | n/a | 15 |
May ’25 | n/a | Mex$838.97 0% | 9.5% | Mex$937.88 | Mex$682.09 | n/a | 15 |
Analyst Forecast: Target price is less than 20% higher than the current share price.