Reddit, Inc. (RDDT)vsSohu.Com Inc (SOHU)
RDDT
Reddit, Inc.
$129.90
-3.79%
COMMUNICATION SERVICES · Cap: $30.04B
SOHU
Sohu.Com Inc
$12.80
+0.39%
COMMUNICATION SERVICES · Cap: $375.22M
Smart Verdict
WallStSmart Research — data-driven comparison
Reddit, Inc. generates 364% more annual revenue ($2.78B vs $599.25M). SOHU leads profitability with a 38.2% profit margin vs 31.4%. RDDT appears more attractively valued with a PEG of 0.76. RDDT earns a higher WallStSmart Score of 77/100 (B+).
RDDT
Strong Buy77
out of 100
Grade: B+
SOHU
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-4.7%
Fair Value
$137.78
Current Price
$129.90
$7.88 premium
Margin of Safety
+67.1%
Fair Value
$49.82
Current Price
$12.80
$37.02 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 31 of every $100 in revenue as profit
Revenue surging 61.1% year-over-year
Earnings expanding 177.8% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Every $100 of equity generates 27 in profit
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 38 of every $100 in revenue as profit
Safe zone — low bankruptcy risk
Areas to Watch
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
Expensive relative to growth rate
Earnings declined 75.7%
Operating margin of -13.5%
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : SOHU
The strongest argument for SOHU centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 38.2% and operating margin at -13.5%.
Bear Case : RDDT
The primary concerns for RDDT are P/E Ratio.
Bear Case : SOHU
The primary concerns for SOHU are Market Cap, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
RDDT profiles as a growth stock while SOHU is a mature play — different risk/reward profiles.
RDDT carries more volatility with a beta of 2.05 — expect wider price swings.
RDDT is growing revenue faster at 61.1% — sustainability is the question.
Monitor INTERNET CONTENT & INFORMATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RDDT scores higher overall (77/100 vs 55/100), backed by strong 31.4% margins and 61.1% revenue growth. SOHU offers better value entry with a 67.1% margin of safety. Both earn "Strong Buy" and "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.
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.
Sohu.Com Inc
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · China
Sohu.com Limited provides online media, games and search products and services on PC and mobile devices in China. The company is headquartered in Beijing, China.
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