REDDIT INC-CL A (1RDDT.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1RDDT - US75734B1008 - Common Stock
199 EUR
+4 (+2.05%)
We assign a fundamental rating of 5 out of 10 to 1RDDT. 1RDDT was compared to 18 industry peers in the Interactive Media & Services industry. While 1RDDT has a great health rating, there are worries on its profitability. 1RDDT is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
1RDDT had positive earnings in the past year.
In the past year 1RDDT had a positive cash flow from operations.
1RDDT had negative earnings in each of the past 5 years.
1RDDT had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of 12.14%, 1RDDT perfoms like the industry average, outperforming 55.00% of the companies in the same industry.
1RDDT has a Return On Equity (13.37%) which is in line with its industry peers.
1RDDT has a Return On Invested Capital of 7.45%. This is comparable to the rest of the industry: 1RDDT outperforms 45.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 13.37% | ||
| ROIC | 7.45% |
ROA(3y)-12.11%
ROA(5y)-11.08%
ROE(3y)-13.26%
ROE(5y)-12.17%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
1RDDT has a Profit Margin (18.33%) which is comparable to the rest of the industry.
Looking at the Operating Margin, with a value of 13.81%, 1RDDT is in line with its industry, outperforming 50.00% of the companies in the same industry.
1RDDT's Gross Margin of 91.21% is amongst the best of the industry. 1RDDT outperforms 85.00% of its industry peers.
In the last couple of years the Gross Margin of 1RDDT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.81% | ||
| PM (TTM) | 18.33% | ||
| GM | 91.21% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.1%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1RDDT is destroying value.
The number of shares outstanding for 1RDDT has been increased compared to 1 year ago.
1RDDT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
1RDDT has an Altman-Z score of 101.95. This indicates that 1RDDT is financially healthy and has little risk of bankruptcy at the moment.
1RDDT has a better Altman-Z score (101.95) than 100.00% of its industry peers.
There is no outstanding debt for 1RDDT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 101.95 |
ROIC/WACC0.71
WACC10.49%
2.3 Liquidity
A Current Ratio of 12.13 indicates that 1RDDT has no problem at all paying its short term obligations.
1RDDT has a better Current ratio (12.13) than 100.00% of its industry peers.
1RDDT has a Quick Ratio of 12.13. This indicates that 1RDDT is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of 1RDDT (12.13) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 12.13 | ||
| Quick Ratio | 12.13 |
3. Growth
3.1 Past
1RDDT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 153.82%, which is quite impressive.
The Revenue has grown by 69.71% in the past year. This is a very strong growth!
The Revenue has been growing by 38.93% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)153.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%400%
Revenue 1Y (TTM)69.71%
Revenue growth 3Y38.93%
Revenue growth 5YN/A
Sales Q2Q%67.91%
3.2 Future
1RDDT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.69% yearly.
The Revenue is expected to grow by 35.99% on average over the next years. This is a very strong growth
EPS Next Y130.04%
EPS Next 2Y57.65%
EPS Next 3Y38.69%
EPS Next 5YN/A
Revenue Next Year67.38%
Revenue Next 2Y52.29%
Revenue Next 3Y44.23%
Revenue Next 5Y35.99%
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1RDDT is valuated quite expensively with a Price/Earnings ratio of 134.46.
Based on the Price/Earnings ratio, 1RDDT is valued a bit more expensive than the industry average as 65.00% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 26.60, 1RDDT is valued quite expensively.
A Price/Forward Earnings ratio of 62.51 indicates a quite expensive valuation of 1RDDT.
Based on the Price/Forward Earnings ratio, 1RDDT is valued a bit more expensive than 60.00% of the companies in the same industry.
1RDDT is valuated expensively when we compare the Price/Forward Earnings ratio to 23.23, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 134.46 | ||
| Fwd PE | 62.51 |
4.2 Price Multiples
75.00% of the companies in the same industry are cheaper than 1RDDT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, 1RDDT is valued a bit more expensive than the industry average as 70.00% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 87.21 | ||
| EV/EBITDA | 146.64 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as 1RDDT's earnings are expected to grow with 38.69% in the coming years.
PEG (NY)1.03
PEG (5Y)N/A
EPS Next 2Y57.65%
EPS Next 3Y38.69%
5. Dividend
5.1 Amount
1RDDT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:1RDDT (12/17/2025, 7:00:00 PM)
199
+4 (+2.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners95.93%
Inst Owner ChangeN/A
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap37.71B
Revenue(TTM)1.90B
Net Income(TTM)349.15M
Analysts78.18
Price Target212.64 (6.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)93.69%
Min EPS beat(2)53.96%
Max EPS beat(2)133.43%
EPS beat(4)4
Avg EPS beat(4)180.09%
Min EPS beat(4)40.18%
Max EPS beat(4)492.8%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)10.03%
Min Revenue beat(2)5.08%
Max Revenue beat(2)14.99%
Revenue beat(4)4
Avg Revenue beat(4)6.87%
Min Revenue beat(4)3.47%
Max Revenue beat(4)14.99%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-2.87%
PT rev (3m)21.42%
EPS NQ rev (1m)-0.42%
EPS NQ rev (3m)21.05%
EPS NY rev (1m)7.56%
EPS NY rev (3m)23.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.54%
Revenue NY rev (1m)0.74%
Revenue NY rev (3m)3.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 134.46 | ||
| Fwd PE | 62.51 | ||
| P/S | 23.34 | ||
| P/FCF | 87.21 | ||
| P/OCF | 86.47 | ||
| P/B | 17.03 | ||
| P/tB | 17.43 | ||
| EV/EBITDA | 146.64 |
EPS(TTM)1.48
EY0.74%
EPS(NY)3.18
Fwd EY1.6%
FCF(TTM)2.28
FCFY1.15%
OCF(TTM)2.3
OCFY1.16%
SpS8.53
BVpS11.69
TBVpS11.42
PEG (NY)1.03
PEG (5Y)N/A
Graham Number19.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.14% | ||
| ROE | 13.37% | ||
| ROCE | 9.93% | ||
| ROIC | 7.45% | ||
| ROICexc | 46.72% | ||
| ROICexgc | 54.49% | ||
| OM | 13.81% | ||
| PM (TTM) | 18.33% | ||
| GM | 91.21% | ||
| FCFM | 26.76% |
ROA(3y)-12.11%
ROA(5y)-11.08%
ROE(3y)-13.26%
ROE(5y)-12.17%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.1%
GM growth 5YN/A
F-Score8
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 27.47% | ||
| Cap/Sales | 0.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 184.26% | ||
| Profit Quality | 145.98% | ||
| Current Ratio | 12.13 | ||
| Quick Ratio | 12.13 | ||
| Altman-Z | 101.95 |
F-Score8
WACC10.49%
ROIC/WACC0.71
Cap/Depr(3y)62.94%
Cap/Depr(5y)85.65%
Cap/Sales(3y)0.87%
Cap/Sales(5y)0.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)153.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%400%
EPS Next Y130.04%
EPS Next 2Y57.65%
EPS Next 3Y38.69%
EPS Next 5YN/A
Revenue 1Y (TTM)69.71%
Revenue growth 3Y38.93%
Revenue growth 5YN/A
Sales Q2Q%67.91%
Revenue Next Year67.38%
Revenue Next 2Y52.29%
Revenue Next 3Y44.23%
Revenue Next 5Y35.99%
EBIT growth 1Y143.09%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year238.67%
EBIT Next 3Y70.86%
EBIT Next 5Y47.93%
FCF growth 1Y610.36%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y650.29%
OCF growth 3YN/A
OCF growth 5YN/A
REDDIT INC-CL A / 1RDDT.MI FAQ
What is the ChartMill fundamental rating of REDDIT INC-CL A (1RDDT.MI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1RDDT.MI.
Can you provide the valuation status for REDDIT INC-CL A?
ChartMill assigns a valuation rating of 1 / 10 to REDDIT INC-CL A (1RDDT.MI). This can be considered as Overvalued.
Can you provide the profitability details for REDDIT INC-CL A?
REDDIT INC-CL A (1RDDT.MI) has a profitability rating of 3 / 10.
What is the financial health of REDDIT INC-CL A (1RDDT.MI) stock?
The financial health rating of REDDIT INC-CL A (1RDDT.MI) is 8 / 10.
What is the expected EPS growth for REDDIT INC-CL A (1RDDT.MI) stock?
The Earnings per Share (EPS) of REDDIT INC-CL A (1RDDT.MI) is expected to grow by 130.04% in the next year.