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RedditRDDT -4.13%42 EV-to-EBIT is 33.66 as of Aug. 19, 2026, which is 27% below its 10-year median of 46.09. GuruFocus rates RDDT with a GF Score™ of 42/100. The stock has 2 warning signs investors should review. Among 330 Interactive Media companies, Reddit ranks worse than 86.36% on this metric.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Reddit's Enterprise Value is $26,423 Mil.
Reddit's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was $785 Mil. Therefore, Reddit's EV-to-EBIT for today is 33.66.
The historical rank and industry rank for Reddit's EV-to-EBIT or its related term are showing as below:
RDDT'
s EV-to-EBIT Range Over the Past 10 Years
Min: -68.17 Med: 46.09 Max: 824.17
Current: 33.66
During the past 6 years, the highest EV-to-EBIT of Reddit was 824.17. The lowest was -68.17. And the median was 46.09.
RDDT's EV-to-EBIT is ranked worse than 86.36% of 330
companies
in the Interactive Media industry
Industry Median: 9.355
vs RDDT: 33.66
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Reddit's Enterprise Value for the quarter that ended in Jun. 2026 was $30,618 Mil.
Reddit's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $785 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Reddit EV-to-EBIT Related Terms
Reddit EV-to-EBIT Historical Data
* Premium members only.
The historical data trend for Reddit's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Internet Content & Information subindustry, Reddit's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Reddit EV-to-EBIT vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Reddit's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Reddit's EV-to-EBIT falls into.
Reddit's current Enterprise Value is $26,423 Mil.
Reddit's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $785 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Reddit (RDDT) has a EV-to-EBIT of 33.66 as of Aug. 19, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Reddit and its competitors. This is 27% below median its historical median of 46.09. According to the industry distribution chart, Reddit ranks #285 out of 330 companies in the Interactive Media industry, placing it in the top 86.4%.
Is Reddit's EV-to-EBIT too high?
Reddit's current EV-to-EBIT of 33.66 is 27% below median its 10-year median of 46.09. The Interactive Media industry median EV-to-EBIT is 9.36. Reddit's value of 33.66 is 259.8% above this industry median. Based on the distribution chart, Reddit ranks #285 out of 330 companies in the Interactive Media industry, which is in the bottom quartile relative to peers. Overall, Reddit has a GF Score™ of 42/100, reflecting its overall financial health beyond just this single metric.
How does Reddit's EV-to-EBIT compare to BIDU and NBIS?
According to the Interactive Media industry distribution chart, Reddit ranks #285 out of 330 companies for EV-to-EBIT. This places Reddit in the lower half of its industry. The industry median EV-to-EBIT is 9.36. Reddit's value of 33.66 is 259.8% above this benchmark. While the company's 10-year median is 46.09 vs. the industry median of 9.36, Reddit has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for an Interactive Media company?
The median EV-to-EBIT among Interactive Media companies is 9.36, based on 330 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Reddit's current EV-to-EBIT of 33.66 is 259.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Reddit and its competitors. For the Interactive Media industry, the median EV-to-EBIT is 9.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reddit's current EV-to-EBIT is 33.66, which is 27% below median its own 10-year median of 46.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reddit stock overvalued right now?
Reddit (RDDT) has a current EV-to-EBIT of 33.66. The current EV-to-EBIT is 33.66, which is 27% below median its 10-year median of 46.09 and 259.8% above the Interactive Media industry median of 9.36. Reddit's overall GF Score™ is 42/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Reddit (RDDT), the current EV-to-EBIT is 33.66 as of Aug. 19, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Reddit is a social media platform where users can engage in conversations, explore, and create communities centered around their interests. Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit has evolved into a vast network of user-generated content organized into specialized forums known as "subreddits." The platform's unique community-driven model relies on volunteer moderators to manage content and maintain subreddit guidelines. Reddit generates revenue primarily through advertising and data licensing agreements.
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