Netflix Inc (NFLX)vsReddit, Inc. (RDDT)
NFLX
Netflix Inc
$73.37
-2.78%
COMMUNICATION SERVICES · Cap: $317.79B
RDDT
Reddit, Inc.
$195.34
-2.48%
COMMUNICATION SERVICES · Cap: $38.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Netflix Inc generates 1796% more annual revenue ($46.89B vs $2.47B). RDDT leads profitability with a 28.6% profit margin vs 28.5%. RDDT appears more attractively valued with a PEG of 1.40. NFLX earns a higher WallStSmart Score of 77/100 (B+).
NFLX
Strong Buy77
out of 100
Grade: B+
RDDT
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-35.6%
Fair Value
$54.10
Current Price
$73.37
$19.27 premium
Intrinsic value data unavailable for RDDT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Strong operational efficiency at 32.3%
Earnings expanding 86.4% YoY
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
Revenue surging 69.1% year-over-year
Earnings expanding 675.0% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Every $100 of equity generates 22 in profit
Keeps 29 of every $100 in revenue as profit
Areas to Watch
Trading at 9.9x book value
Trading at 11.8x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : NFLX
The strongest argument for NFLX centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.5% and operating margin at 32.3%. Revenue growth of 16.2% demonstrates continued momentum.
Bull Case : RDDT
The strongest argument for RDDT centers on Revenue Growth, EPS Growth, Debt/Equity. Profitability is solid with margins at 28.6% and operating margin at 27.6%. Revenue growth of 69.1% demonstrates continued momentum.
Bear Case : NFLX
The primary concerns for NFLX are Price/Book.
Bear Case : RDDT
The primary concerns for RDDT are Price/Book, P/E Ratio. A P/E of 55.8x leaves little room for execution misses.
Key Dynamics to Monitor
RDDT carries more volatility with a beta of 1.94 — expect wider price swings.
RDDT is growing revenue faster at 69.1% — sustainability is the question.
NFLX generates stronger free cash flow (5.1B), providing more financial flexibility.
Monitor ENTERTAINMENT industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NFLX scores higher overall (77/100 vs 75/100), backed by strong 28.5% margins and 16.2% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Netflix Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Netflix, Inc. is an American over-the-top content platform and production company headquartered in Los Gatos, California. Netflix was founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California. The company's primary business is a subscription-based streaming service offering online streaming from a library of films and television series, including those produced in-house.
Visit Website →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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