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

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

Company Profile

SymbolGSRDDT
Company NameThe Goldman Sachs Group, Inc.Reddit, Inc.
CountryUnited StatesUnited States
GICS SectorFinancialsCommunication Services
GICS IndustryCapital MarketsInteractive Media & Services
Market Capitalization235.07 billion USD37.86 billion USD
ExchangeNYSENYSE
Listing DateMay 4, 1999March 21, 2024
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of GS 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.

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

Historical Performance at a Glance

SymbolGSRDDT
5-Day Price Return-0.37%0.68%
13-Week Price Return11.48%38.89%
26-Week Price Return51.89%108.76%
52-Week Price Return56.99%187.18%
Month-to-Date Return-2.49%-12.04%
Year-to-Date Return35.61%23.77%
10-Day Avg. Volume1.62M6.39M
3-Month Avg. Volume1.92M7.12M
3-Month Volatility20.42%65.58%
Beta1.382.11

Profitability

Return on Equity (TTM)

GS

12.67%

Capital Markets Industry

Max
38.97%
Q3
22.24%
Median
13.52%
Q1
8.61%
Min
-4.25%

GS’s Return on Equity of 12.67% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

RDDT

9.93%

Interactive Media & Services Industry

Max
49.37%
Q3
33.08%
Median
10.37%
Q1
5.76%
Min
-24.17%

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.

GS vs. RDDT: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Net Profit Margin (TTM)

GS

12.29%

Capital Markets Industry

Max
69.91%
Q3
37.24%
Median
24.30%
Q1
13.06%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, GS’s Net Profit Margin of 12.29% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

RDDT

12.97%

Interactive Media & Services Industry

Max
49.74%
Q3
29.54%
Median
20.53%
Q1
7.52%
Min
-14.52%

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.

GS vs. RDDT: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Operating Profit Margin (TTM)

GS

15.68%

Capital Markets Industry

Max
84.86%
Q3
47.16%
Median
32.23%
Q1
18.65%
Min
-21.87%

GS’s Operating Profit Margin of 15.68% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

RDDT

7.87%

Interactive Media & Services Industry

Max
65.96%
Q3
36.82%
Median
18.53%
Q1
7.69%
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.

GS vs. RDDT: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Profitability at a Glance

SymbolGSRDDT
Return on Equity (TTM)12.67%9.93%
Return on Assets (TTM)0.89%9.04%
Net Profit Margin (TTM)12.29%12.97%
Operating Profit Margin (TTM)15.68%7.87%
Gross Profit Margin (TTM)38.58%91.04%

Financial Strength

Current Ratio (MRQ)

GS

0.30

Capital Markets Industry

Max
3.37
Q3
1.81
Median
1.01
Q1
0.56
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

RDDT

12.00

Interactive Media & Services Industry

Max
3.92
Q3
2.72
Median
1.85
Q1
1.20
Min
0.25

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.

GS vs. RDDT: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

GS

9.08

Capital Markets Industry

Max
6.52
Q3
2.79
Median
0.96
Q1
0.28
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

RDDT

0.00

Interactive Media & Services Industry

Max
0.85
Q3
0.49
Median
0.29
Q1
0.04
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.

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

Interest Coverage Ratio (TTM)

GS

--

Capital Markets Industry

Max
107.59
Q3
48.41
Median
10.85
Q1
4.56
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

RDDT

--

Interactive Media & Services Industry

Max
23.65
Q3
16.48
Median
6.73
Q1
-0.87
Min
-3.62

Interest Coverage Ratio data for RDDT is currently unavailable.

GS vs. RDDT: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Financial Strength at a Glance

SymbolGSRDDT
Current Ratio (MRQ)0.3012.00
Quick Ratio (MRQ)0.3011.89
Debt-to-Equity Ratio (MRQ)9.080.00
Interest Coverage Ratio (TTM)----

Growth

Revenue Growth

GS 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

GS 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)

GS

1.97%

Capital Markets Industry

Max
9.02%
Q3
4.54%
Median
2.55%
Q1
1.27%
Min
0.00%

GS’s Dividend Yield of 1.97% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

RDDT

0.00%

Interactive Media & Services Industry

Max
3.07%
Q3
1.27%
Median
0.28%
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.

GS vs. RDDT: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Dividend Payout Ratio (TTM)

GS

29.94%

Capital Markets Industry

Max
199.38%
Q3
99.28%
Median
60.67%
Q1
32.00%
Min
0.00%

GS’s Dividend Payout Ratio of 29.94% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

RDDT

0.00%

Interactive Media & Services Industry

Max
101.53%
Q3
40.64%
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.

GS vs. RDDT: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Interactive Media & Services industry benchmarks.

Dividend at a Glance

SymbolGSRDDT
Dividend Yield (TTM)1.97%0.00%
Dividend Payout Ratio (TTM)29.94%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

GS

15.19

Capital Markets Industry

Max
51.69
Q3
29.42
Median
17.58
Q1
12.55
Min
5.59

GS’s P/E Ratio of 15.19 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

RDDT

175.00

Interactive Media & Services Industry

Max
50.72
Q3
41.60
Median
25.84
Q1
18.18
Min
1.76

At 175.00, 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.

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

Price-to-Sales Ratio (TTM)

GS

1.87

Capital Markets Industry

Max
14.65
Q3
7.29
Median
4.53
Q1
2.26
Min
0.04

In the lower quartile for the Capital Markets industry, GS’s P/S Ratio of 1.87 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

RDDT

22.70

Interactive Media & Services Industry

Max
23.76
Q3
11.40
Median
7.69
Q1
2.49
Min
0.00

RDDT’s P/S Ratio of 22.70 is in the upper echelon for the Interactive Media & Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

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

Price-to-Book Ratio (MRQ)

GS

1.75

Capital Markets Industry

Max
10.83
Q3
5.12
Median
2.66
Q1
1.19
Min
0.37

GS’s P/B Ratio of 1.75 is within the conventional range for the Capital Markets industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

RDDT

11.64

Interactive Media & Services Industry

Max
16.71
Q3
9.00
Median
3.97
Q1
2.19
Min
0.33

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.

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

Valuation at a Glance

SymbolGSRDDT
Price-to-Earnings Ratio (TTM)15.19175.00
Price-to-Sales Ratio (TTM)1.8722.70
Price-to-Book Ratio (MRQ)1.7511.64
Price-to-Free Cash Flow Ratio (TTM)4.6095.40