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

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

Company Profile

SymbolRDDTTMUS
Company NameReddit, Inc.T-Mobile US, Inc.
CountryUnited StatesUnited States
GICS SectorCommunication ServicesCommunication Services
GICS IndustryInteractive Media & ServicesWireless Telecommunication Services
Market Capitalization40.67 billion USD283.55 billion USD
ExchangeNYSENasdaqGS
Listing DateMarch 21, 2024April 19, 2007
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of RDDT and TMUS 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.

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

Historical Performance at a Glance

SymbolRDDTTMUS
5-Day Price Return-10.11%-1.27%
13-Week Price Return126.72%4.65%
26-Week Price Return16.13%-4.28%
52-Week Price Return281.98%28.90%
Month-to-Date Return35.32%5.68%
Year-to-Date Return32.96%14.14%
10-Day Avg. Volume7.22M3.68M
3-Month Avg. Volume8.12M4.41M
3-Month Volatility64.52%23.82%
Beta2.060.61

Profitability

Return on Equity (TTM)

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.

TMUS

19.69%

Wireless Telecommunication Services Industry

Max
27.67%
Q3
18.94%
Median
13.35%
Q1
6.38%
Min
-8.07%

In the upper quartile for the Wireless Telecommunication Services industry, TMUS’s Return on Equity of 19.69% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RDDT vs. TMUS: A comparison of their Return on Equity (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Net Profit Margin (TTM)

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.

TMUS

14.53%

Wireless Telecommunication Services Industry

Max
17.18%
Q3
13.67%
Median
9.33%
Q1
4.43%
Min
-5.10%

A Net Profit Margin of 14.53% places TMUS in the upper quartile for the Wireless Telecommunication Services industry, signifying strong profitability and more effective cost management than most of its peers.

RDDT vs. TMUS: A comparison of their Net Profit Margin (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Operating Profit Margin (TTM)

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.

TMUS

23.08%

Wireless Telecommunication Services Industry

Max
29.85%
Q3
23.51%
Median
20.46%
Q1
16.06%
Min
9.07%

TMUS’s Operating Profit Margin of 23.08% is around the midpoint for the Wireless Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

RDDT vs. TMUS: A comparison of their Operating Profit Margin (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Profitability at a Glance

SymbolRDDTTMUS
Return on Equity (TTM)9.93%19.69%
Return on Assets (TTM)9.04%5.78%
Net Profit Margin (TTM)12.97%14.53%
Operating Profit Margin (TTM)7.87%23.08%
Gross Profit Margin (TTM)91.04%63.61%

Financial Strength

Current Ratio (MRQ)

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.

TMUS

1.21

Wireless Telecommunication Services Industry

Max
1.26
Q3
1.00
Median
0.71
Q1
0.60
Min
0.36

TMUS’s Current Ratio of 1.21 is in the upper quartile for the Wireless Telecommunication Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

RDDT vs. TMUS: A comparison of their Current Ratio (MRQ) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

TMUS

1.45

Wireless Telecommunication Services Industry

Max
2.92
Q3
2.15
Median
1.57
Q1
0.91
Min
0.44

TMUS’s Debt-to-Equity Ratio of 1.45 is typical for the Wireless Telecommunication Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

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

Interest Coverage Ratio (TTM)

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.

TMUS

5.31

Wireless Telecommunication Services Industry

Max
12.67
Q3
6.16
Median
3.95
Q1
1.81
Min
-1.20

TMUS’s Interest Coverage Ratio of 5.31 is positioned comfortably within the norm for the Wireless Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.

RDDT vs. TMUS: A comparison of their Interest Coverage Ratio (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Financial Strength at a Glance

SymbolRDDTTMUS
Current Ratio (MRQ)12.001.21
Quick Ratio (MRQ)11.891.08
Debt-to-Equity Ratio (MRQ)0.001.45
Interest Coverage Ratio (TTM)--5.31

Growth

Revenue Growth

RDDT vs. TMUS: 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

RDDT vs. TMUS: 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)

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.

TMUS

1.29%

Wireless Telecommunication Services Industry

Max
7.63%
Q3
5.13%
Median
3.22%
Q1
2.33%
Min
0.00%

TMUS’s Dividend Yield of 1.29% is in the lower quartile for the Wireless Telecommunication Services industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

RDDT vs. TMUS: A comparison of their Dividend Yield (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Dividend Payout Ratio (TTM)

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.

TMUS

30.87%

Wireless Telecommunication Services Industry

Max
145.86%
Q3
109.87%
Median
78.85%
Q1
48.65%
Min
0.00%

TMUS’s Dividend Payout Ratio of 30.87% is in the lower quartile for the Wireless Telecommunication Services industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

RDDT vs. TMUS: A comparison of their Dividend Payout Ratio (TTM) against their respective Interactive Media & Services and Wireless Telecommunication Services industry benchmarks.

Dividend at a Glance

SymbolRDDTTMUS
Dividend Yield (TTM)0.00%1.29%
Dividend Payout Ratio (TTM)0.00%30.87%

Valuation

Price-to-Earnings Ratio (TTM)

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.

TMUS

23.93

Wireless Telecommunication Services Industry

Max
34.45
Q3
23.52
Median
16.68
Q1
13.97
Min
7.48

A P/E Ratio of 23.93 places TMUS in the upper quartile for the Wireless Telecommunication Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

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

Price-to-Sales Ratio (TTM)

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.

TMUS

3.48

Wireless Telecommunication Services Industry

Max
2.56
Q3
1.94
Median
1.37
Q1
1.22
Min
0.62

With a P/S Ratio of 3.48, TMUS trades at a valuation that eclipses even the highest in the Wireless Telecommunication Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

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

Price-to-Book Ratio (MRQ)

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.

TMUS

4.43

Wireless Telecommunication Services Industry

Max
4.87
Q3
2.93
Median
2.02
Q1
1.33
Min
0.40

TMUS’s P/B Ratio of 4.43 is in the upper tier for the Wireless Telecommunication 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.

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

Valuation at a Glance

SymbolRDDTTMUS
Price-to-Earnings Ratio (TTM)188.9123.93
Price-to-Sales Ratio (TTM)24.503.48
Price-to-Book Ratio (MRQ)11.644.43
Price-to-Free Cash Flow Ratio (TTM)102.9823.69