r/stocks
RDDT FY2026 EPS update ($6.77) and 8-month price target ($304)
Bullish on RDDT with a $304 price target by FY2026 end, based on avg EPS est. of $6.77 and 45x P/E multiple.
- Consensus EPS estimates for FY2026 are robust, averaging $6.77 from reputable sources like S&P Global and Finviz.
- Applying a reasonable 45x P/E multiple to the EPS estimate yields a significant upside potential to $304.
- Historical trend shows Reddit consistently beating EPS estimates, suggesting conservative guidance.
- Reliance on future earnings estimates introduces execution risk if user growth or monetization stalls.
- A 45x P/E multiple assumes sustained high growth, which may be vulnerable to macroeconomic downturns.
Stock Analysis updated its FY2026 RDDT EPS estimate to $7.02. Stock Analysis uses consensus estimates from S&P Global, a top-3 institutional market-data provider alongside Bloomberg and the London stock exchange group.
Finviz updated its FY2026 RDDT EPS estimate to $6.51. Finviz aggregates estimates from exchanges and institutional data providers.
The average of the 2 is $6.77. Applying a 45x P/E multiple (midpoint of a 40-50) implies a price target of $304 (+76% from the current price) by the end of FY2026, which Reddit reports around 2027-02-03 (less than 8 months from now).
Reddit tends to beat EPS estimates.
I have been buying Meta and reddit like it's my job. I'm out of money now
You know it doesn’t need to keep a 45x PE right?
Right, at 70% growth yoy it should be higher
Subscription? For what? Facebook, IG? Maybe glasses or something? I'm OOTL.
Can you give an example of how they manipulate revenue? Seems unlikely.
34$ is my target
What are you on about? Reddit absolutely makes money.
Subscriptions to farm your data lmfao
Perhaps they can fudge non GAAP earnings but they are profitable on a GAAP basis. Im long Reddit but I like to hear all sides.
I’m bullish on meta but think the sub will flop
It's extra revenue with no additional cost. Yeh it won't be crazy amount of subscribers it's still more money. I don't expect a market reaction over that tho.
Been stacking rddt for a year now. Ready for it to blast off
I pay for the damn subscription service, I figured I might as well hold leaps
Also congress won’t pass shit to break up these mega tech companies like meta as they swallow everything. Honestly there was a point I thought meta might just buy Reddit because they seemingly buy everything else.
Meta isn’t a monopoly. You can advertise on any platform but none have half the planet as audience.
Back to Reddit - I’m interested to see if the rumor they might be getting equity from Google has any legs. It makes sense to me - Google doesn’t have a social media prescience and its AI points to Reddit as its #1 source, while Reddit benefits from the Google traffic directed its way.