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APP vs. RDDT: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at APP and RDDT, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

APP dominates in value with a market cap of 121.26 billion USD, eclipsing RDDT’s 17.69 billion USD by roughly 6.86×.

With betas of 2.39 for APP and 2.93 for RDDT, both show similar volatility profiles relative to the overall market.

SymbolAPPRDDT
Company NameAppLovin CorporationReddit, Inc.
CountryUSUS
SectorTechnologyCommunication Services
IndustrySoftware - ApplicationInternet Content & Information
CEOMr. Adam Arash ForoughiMr. Steven Ladd Huffman
Price358.35 USD95.85 USD
Market Cap121.26 billion USD17.69 billion USD
Beta2.392.93
ExchangeNASDAQNYSE
IPO DateApril 15, 2021March 21, 2024
ADRNoNo

Performance Comparison

This chart compares the performance of APP and RDDT over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of APP and RDDT based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • RDDT features a high P/E of 149.19, indicating strong growth expectations, compared to APP at 63.43, which trades at a more standard valuation based on its current earnings.
SymbolAPPRDDT
Price-to-Earnings Ratio (P/E, TTM)63.43149.19
Forward PEG Ratio (TTM)2.432.92
Price-to-Sales Ratio (P/S, TTM)23.6112.20
Price-to-Book Ratio (P/B, TTM)211.647.87
Price-to-Free Cash Flow Ratio (P/FCF, TTM)47.8756.47
EV-to-EBITDA (TTM)47.30591.99
EV-to-Sales (TTM)24.2311.78
EV-to-Free Cash Flow (TTM)49.1254.52

Dividend Comparison

Neither APP nor RDDT currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolAPPRDDT
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of APP and RDDT, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • APP is heavily leveraged (debt-to-equity ratio 6.45), which can boost returns but raises risk if borrowing costs climb, while RDDT at 0.01 keeps leverage at a more moderate level.
  • APP (at 7.41) covers its interest payments, while RDDT shows “--” for minimal debt service.
SymbolAPPRDDT
Current Ratio (TTM)1.6812.46
Quick Ratio (TTM)1.6812.46
Debt-to-Equity Ratio (TTM)6.450.01
Debt-to-Assets Ratio (TTM)0.650.01
Interest Coverage Ratio (TTM)7.41--