Reddit, Inc. (RDDT)

Technology · Data Services · Price $153.95
Updated: Aug 28, 2026
Revenue (TTM)
$2.8B
Trailing 12 Months
Growth Rate
69.06%
Log-Linear Regression (10Q)
Price/Sales
10.7x
Valuation Multiple
Revenue Per Share
$14.45
Sales / Shares
Gross Margin
91.44%
Pricing Power

📈 Revenue History (10 Quarters)

🧮 RDDT Revenue Breakdown

Revenue = Product Sales + Service Revenue + Other Income
Total Revenue (TTM) $2.8B
Less: Cost of Revenue $237.8M
Equals: Gross Profit $2.5B
Then: Operating Income $785.0M
Finally: Net Income $871.1M

Understanding Revenue

Revenue, also called sales or the "top line," represents the total income a company generates from its business activities before any costs are deducted. For RDDT, the trailing twelve month revenue is $2.8B.

Why Revenue Matters

Revenue is the foundation of all financial analysis. A company cannot have sustainable profits without revenue, and revenue growth often drives stock price appreciation. However, revenue alone doesn't tell the full story - it must be analyzed alongside profitability metrics.

RDDT's revenue growth rate of 69.06% (based on log-linear regression of 10 quarters) indicates strong growth, typical of high-growth companies.

Revenue vs Profitability Metrics

Free Cash Flow: $1.0B →

The cash remaining after capital expenditures. High revenue with negative FCF may indicate heavy reinvestment or poor cash conversion.

Owner Earnings: $1.0B →

Buffett's metric for true cash generation. Compares revenue's conversion to actual owner value.

Earnings Per Share: $4.30 →

Net income per share. The bottom line result of all revenue after costs, taxes, and interest.

Net Income: $871.1M

What remains after all expenses. Net margin shows what percentage of revenue becomes profit.

Price/Sales Ratio Analysis

RDDT's P/S ratio of 10.7x means investors pay $10.66 for every $1 of annual revenue. A P/S above 10 indicates very high growth expectations.

Gross Margin: Revenue Quality

Gross margin of 91.44% shows how much of RDDT's revenue remains after direct costs. High gross margins above 60% often indicate strong pricing power, brand value, or intellectual property moats.

Summary: RDDT Revenue Trend

Reddit, Inc. (RDDT) generated $2.8B in trailing twelve-month revenue, growing at 69.06% annually — significantly above the 20% threshold Zyberno associates with high-growth businesses. Reddit, Inc.'s gross margin of 91.44% is excellent for a Technology company — above the 55% threshold Zyberno applies to technology businesses where gross margin reflects software economics, IP value, or hardware pricing power, a level typically associated with strong pricing power and durable competitive advantages. For complete financial analysis, view the full RDDT stock report on Zyberno.

Frequently Asked Questions

What is RDDT's current revenue?

Reddit, Inc.'s trailing twelve month (TTM) revenue is $2.8B, growing at 69.06% annually — significantly above the 20% threshold Zyberno associates with high-growth businesses.

Is RDDT's revenue growing?

Reddit, Inc. (RDDT) generated $2.8B in trailing twelve-month revenue, growing at 69.06% annually — significantly above the 20% threshold Zyberno associates with high-growth businesses. Reddit, Inc.'s gross margin of 91.44% is excellent for a Technology company — above the 55% threshold Zyberno applies to technology businesses where gross margin reflects software economics, IP value, or hardware pricing power, a level typically associated with strong pricing power and durable competitive advantages.

What is RDDT's gross margin?

Reddit, Inc.'s gross margin of 91.44% is excellent for a Technology company — above the 55% threshold Zyberno applies to technology businesses where gross margin reflects software economics, IP value, or hardware pricing power, a level typically associated with strong pricing power and durable competitive advantages.

What is RDDT's Price/Sales ratio?

RDDT's P/S ratio is 10.7x, meaning the market values the company at 10.7 times its annual revenue.

How does revenue differ from profit?

Revenue is the total income before any expenses, while profit (net income) is what remains after all costs. RDDT's revenue is $2.8B with a net income of $871.1M, showing a net profit margin of 31.3%.

📊 Valuation Trilogy
Three interconnected metrics built on Owner Earnings
💎
Intrinsic Value
DCF Fair Value
$164.80
🛡️
Margin of Safety
Valuation Gap
6.6%
🎯
Expected Return
Projected Annual
21.6%
Click any metric for full methodology and detailed analysis

📊 Full RDDT Stock Report

See RDDT's intrinsic value, margin of safety, DCF valuation, and complete financial analysis with 250+ metrics.

💵 RDDT Free Cash Flow

Compare to Free Cash Flow which subtracts all capital expenditures, not just maintenance CapEx.

💰 RDDT Owner Earnings

Compare to Buffett's Owner Earnings metric which uses maintenance CapEx instead of total capital expenditures.

📈 RDDT Earnings Per Share

Analyze EPS trends, P/E ratio, earnings yield, and per-share profitability metrics.

🎯 RDDT Earnings Surprise (SUE)

See whether RDDT is beating or missing its own earnings trend — Standardized Unexpected Earnings and post-earnings drift.

📊 RDDT Revenue

Analyze revenue trends, growth rate, P/S ratio, and top-line sales performance.

💰 RDDT Net Income

Analyze the bottom-line profit, P/E ratio, and net profit margin trends.

🔶 RDDT Operating Income

Analyze EBIT, operating margin, and core business profitability before interest and taxes.

💜 RDDT Gross Profit

Analyze gross margin, pricing power, and profitability before operating expenses.

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