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

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Here’s a clear look at DUOL and RDDT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolDUOLRDDT
Company NameDuolingo, Inc.Reddit, Inc.
CountryUnited StatesUnited States
GICS SectorConsumer DiscretionaryCommunication Services
GICS IndustryDiversified Consumer ServicesInteractive Media & Services
Market Capitalization15.21 billion USD40.67 billion USD
ExchangeNasdaqGSNYSE
Listing DateJuly 28, 2021March 21, 2024
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of DUOL and RDDT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DUOL vs. RDDT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDUOLRDDT
5-Day Price Return-10.11%-10.11%
13-Week Price Return-35.47%126.72%
26-Week Price Return-24.81%16.13%
52-Week Price Return58.03%281.98%
Month-to-Date Return-4.24%35.32%
Year-to-Date Return2.36%32.96%
10-Day Avg. Volume2.04M7.22M
3-Month Avg. Volume1.19M8.12M
3-Month Volatility57.62%64.52%
Beta0.832.06

Profitability

Return on Equity (TTM)

DUOL

13.32%

Diversified Consumer Services Industry

Max
32.65%
Q3
29.77%
Median
16.63%
Q1
11.08%
Min
2.26%

DUOL’s Return on Equity of 13.32% is on par with the norm for the Diversified Consumer Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

RDDT

9.93%

Interactive Media & Services Industry

Max
49.37%
Q3
29.69%
Median
9.73%
Q1
2.47%
Min
-26.19%

RDDT’s Return on Equity of 9.93% is on par with the norm for the Interactive Media & Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

DUOL vs. RDDT: A comparison of their Return on Equity (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Net Profit Margin (TTM)

DUOL

13.24%

Diversified Consumer Services Industry

Max
18.84%
Q3
13.34%
Median
12.22%
Q1
7.92%
Min
3.76%

DUOL’s Net Profit Margin of 13.24% is aligned with the median group of its peers in the Diversified Consumer Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

RDDT

12.97%

Interactive Media & Services Industry

Max
50.41%
Q3
29.38%
Median
17.14%
Q1
3.13%
Min
-30.88%

RDDT’s Net Profit Margin of 12.97% is aligned with the median group of its peers in the Interactive Media & Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

DUOL vs. RDDT: A comparison of their Net Profit Margin (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Operating Profit Margin (TTM)

DUOL

9.54%

Diversified Consumer Services Industry

Max
26.63%
Q3
19.23%
Median
15.23%
Q1
8.71%
Min
-0.71%

DUOL’s Operating Profit Margin of 9.54% is around the midpoint for the Diversified Consumer Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

RDDT

7.87%

Interactive Media & Services Industry

Max
65.96%
Q3
36.95%
Median
18.60%
Q1
5.69%
Min
-18.13%

RDDT’s Operating Profit Margin of 7.87% is around the midpoint for the Interactive Media & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

DUOL vs. RDDT: A comparison of their Operating Profit Margin (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Profitability at a Glance

SymbolDUOLRDDT
Return on Equity (TTM)13.32%9.93%
Return on Assets (TTM)8.57%9.04%
Net Profit Margin (TTM)13.24%12.97%
Operating Profit Margin (TTM)9.54%7.87%
Gross Profit Margin (TTM)72.05%91.04%

Financial Strength

Current Ratio (MRQ)

DUOL

2.81

Diversified Consumer Services Industry

Max
3.40
Q3
1.97
Median
1.66
Q1
0.60
Min
0.15

DUOL’s Current Ratio of 2.81 is in the upper quartile for the Diversified Consumer Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

RDDT

12.00

Interactive Media & Services Industry

Max
4.30
Q3
2.68
Median
1.96
Q1
1.21
Min
0.45

RDDT’s Current Ratio of 12.00 is exceptionally high, placing it well outside the typical range for the Interactive Media & Services industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

DUOL vs. RDDT: A comparison of their Current Ratio (MRQ) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

DUOL

0.00

Diversified Consumer Services Industry

Max
2.92
Q3
1.22
Median
0.36
Q1
0.01
Min
0.00

Falling into the lower quartile for the Diversified Consumer Services industry, DUOL’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

RDDT

0.00

Interactive Media & Services Industry

Max
0.90
Q3
0.47
Median
0.16
Q1
0.03
Min
0.00

Falling into the lower quartile for the Interactive Media & Services industry, RDDT’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

DUOL vs. RDDT: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Interest Coverage Ratio (TTM)

DUOL

--

Diversified Consumer Services Industry

Max
13.44
Q3
10.58
Median
5.57
Q1
3.04
Min
-2.17

Interest Coverage Ratio data for DUOL is currently unavailable.

RDDT

--

Interactive Media & Services Industry

Max
67.60
Q3
29.41
Median
6.36
Q1
-0.87
Min
-37.02

Interest Coverage Ratio data for RDDT is currently unavailable.

DUOL vs. RDDT: A comparison of their Interest Coverage Ratio (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Financial Strength at a Glance

SymbolDUOLRDDT
Current Ratio (MRQ)2.8112.00
Quick Ratio (MRQ)2.7711.89
Debt-to-Equity Ratio (MRQ)0.000.00
Interest Coverage Ratio (TTM)----

Growth

Revenue Growth

DUOL vs. RDDT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DUOL vs. RDDT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DUOL

0.00%

Diversified Consumer Services Industry

Max
2.29%
Q3
0.98%
Median
0.00%
Q1
0.00%
Min
0.00%

DUOL currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

RDDT

0.00%

Interactive Media & Services Industry

Max
1.87%
Q3
1.08%
Median
0.00%
Q1
0.00%
Min
0.00%

RDDT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

DUOL vs. RDDT: A comparison of their Dividend Yield (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Dividend Payout Ratio (TTM)

DUOL

0.00%

Diversified Consumer Services Industry

Max
35.94%
Q3
25.79%
Median
0.00%
Q1
0.00%
Min
0.00%

DUOL has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

RDDT

0.00%

Interactive Media & Services Industry

Max
87.35%
Q3
38.67%
Median
0.00%
Q1
0.00%
Min
0.00%

RDDT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

DUOL vs. RDDT: A comparison of their Dividend Payout Ratio (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Dividend at a Glance

SymbolDUOLRDDT
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

DUOL

132.51

Diversified Consumer Services Industry

Max
33.95
Q3
25.14
Median
19.27
Q1
15.30
Min
5.58

At 132.51, DUOL’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Diversified Consumer Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

RDDT

188.91

Interactive Media & Services Industry

Max
87.79
Q3
54.33
Median
25.46
Q1
18.76
Min
6.96

At 188.91, RDDT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Interactive Media & Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

DUOL vs. RDDT: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Price-to-Sales Ratio (TTM)

DUOL

17.54

Diversified Consumer Services Industry

Max
3.29
Q3
2.54
Median
2.27
Q1
1.92
Min
1.28

With a P/S Ratio of 17.54, DUOL trades at a valuation that eclipses even the highest in the Diversified Consumer Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

RDDT

24.50

Interactive Media & Services Industry

Max
19.01
Q3
12.39
Median
6.49
Q1
1.94
Min
0.22

With a P/S Ratio of 24.50, RDDT trades at a valuation that eclipses even the highest in the Interactive Media & Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

DUOL vs. RDDT: A comparison of their Price-to-Sales Ratio (TTM) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Price-to-Book Ratio (MRQ)

DUOL

19.08

Diversified Consumer Services Industry

Max
7.00
Q3
6.37
Median
3.31
Q1
2.13
Min
0.98

At 19.08, DUOL’s P/B Ratio is at an extreme premium to the Diversified Consumer Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

RDDT

11.64

Interactive Media & Services Industry

Max
11.66
Q3
7.17
Median
4.17
Q1
2.80
Min
0.12

RDDT’s P/B Ratio of 11.64 is in the upper tier for the Interactive Media & Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

DUOL vs. RDDT: A comparison of their Price-to-Book Ratio (MRQ) against their respective Diversified Consumer Services and Interactive Media & Services industry benchmarks.

Valuation at a Glance

SymbolDUOLRDDT
Price-to-Earnings Ratio (TTM)132.51188.91
Price-to-Sales Ratio (TTM)17.5424.50
Price-to-Book Ratio (MRQ)19.0811.64
Price-to-Free Cash Flow Ratio (TTM)48.30102.98