WallStSmart

iHeartMedia Inc Class A (IHRT)vsReddit, Inc. (RDDT)

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Smart Verdict

WallStSmart Research — data-driven comparison

iHeartMedia Inc Class A generates 43% more annual revenue ($3.99B vs $2.78B). RDDT leads profitability with a 31.4% profit margin vs -7.2%. RDDT appears more attractively valued with a PEG of 0.76. RDDT earns a higher WallStSmart Score of 77/100 (B+).

IHRT

Hold

42

out of 100

Grade: D

Growth: 5.3Profit: 3.0Value: 5.7Quality: 5.0
Piotroski: 3/9Altman Z: -0.45

RDDT

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 5.3Quality: 9.0
Piotroski: 4/9Altman Z: 7.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IHRTUndervalued (+37.9%)

Margin of Safety

+37.9%

Fair Value

$5.80

Current Price

$1.56

$4.24 discount

UndervaluedFair: $5.80Overvalued
RDDTFair Value (-4.7%)

Margin of Safety

-4.7%

Fair Value

$137.78

Current Price

$134.66

$3.12 premium

UndervaluedFair: $137.78Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IHRT2 strengths · Avg: 10.0/10
EPS GrowthGrowth
153.1%10/10

Earnings expanding 153.1% YoY

Debt/EquityHealth
-2.8710/10

Conservative balance sheet, low leverage

RDDT6 strengths · Avg: 9.8/10
Profit MarginProfitability
31.4%10/10

Keeps 31 of every $100 in revenue as profit

Revenue GrowthGrowth
61.1%10/10

Revenue surging 61.1% year-over-year

EPS GrowthGrowth
177.8%10/10

Earnings expanding 177.8% YoY

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
7.6610/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
26.5%9/10

Every $100 of equity generates 27 in profit

Areas to Watch

IHRT4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.7%4/10

4.7% revenue growth

Market CapQuality
$266.24M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
3.6%3/10

Operating margin of 3.6%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

RDDT1 concerns · Avg: 4.0/10
P/E RatioValuation
36.3x4/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : IHRT

The strongest argument for IHRT centers on EPS Growth, Debt/Equity.

Bull Case : RDDT

The strongest argument for RDDT centers on Profit Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 31.4% and operating margin at 28.8%. Revenue growth of 61.1% demonstrates continued momentum.

Bear Case : IHRT

The primary concerns for IHRT are Revenue Growth, Market Cap, Operating Margin.

Bear Case : RDDT

The primary concerns for RDDT are P/E Ratio.

Key Dynamics to Monitor

IHRT profiles as a turnaround stock while RDDT is a growth play — different risk/reward profiles.

IHRT carries more volatility with a beta of 2.29 — expect wider price swings.

RDDT is growing revenue faster at 61.1% — sustainability is the question.

RDDT generates stronger free cash flow (261M), providing more financial flexibility.

Bottom Line

RDDT scores higher overall (77/100 vs 42/100), backed by strong 31.4% margins and 61.1% revenue growth. IHRT offers better value entry with a 37.9% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

iHeartMedia Inc Class A

COMMUNICATION SERVICES · BROADCASTING · USA

iHeartMedia, Inc. is a global media and entertainment company. The company is headquartered in San Antonio, Texas.

Reddit, Inc.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Reddit, Inc. operates a website that organizes digital communities. The company is headquartered in San Francisco, California.

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