Alphabet Inc Class A (GOOGL)vsReddit, Inc. (RDDT)
GOOGL
Alphabet Inc Class A
$356.13
+6.73%
COMMUNICATION SERVICES · Cap: $4.17T
RDDT
Reddit, Inc.
$140.67
-20.99%
COMMUNICATION SERVICES · Cap: $32.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Alphabet Inc Class A generates 16981% more annual revenue ($422.50B vs $2.47B). GOOGL leads profitability with a 37.9% profit margin vs 28.6%. RDDT appears more attractively valued with a PEG of 1.33. GOOGL earns a higher WallStSmart Score of 76/100 (B+).
GOOGL
Strong Buy76
out of 100
Grade: B+
RDDT
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+46.8%
Fair Value
$627.15
Current Price
$356.13
$271.02 discount
Intrinsic value data unavailable for RDDT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 38 in profit
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 36.1%
Earnings expanding 82.0% YoY
Safe zone — low bankruptcy risk
Revenue surging 69.1% year-over-year
Earnings expanding 675.0% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Every $100 of equity generates 22 in profit
Keeps 29 of every $100 in revenue as profit
Areas to Watch
Moderate valuation
Trading at 9.0x book value
Negative free cash flow — burning cash
Trading at 8.5x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : GOOGL
The strongest argument for GOOGL centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 37.9% and operating margin at 36.1%. Revenue growth of 21.8% demonstrates continued momentum.
Bull Case : RDDT
The strongest argument for RDDT centers on Revenue Growth, EPS Growth, Debt/Equity. Profitability is solid with margins at 28.6% and operating margin at 27.6%. Revenue growth of 69.1% demonstrates continued momentum.
Bear Case : GOOGL
The primary concerns for GOOGL are P/E Ratio, Price/Book, Free Cash Flow.
Bear Case : RDDT
The primary concerns for RDDT are Price/Book, P/E Ratio. A P/E of 53.2x leaves little room for execution misses.
Key Dynamics to Monitor
RDDT carries more volatility with a beta of 1.94 — expect wider price swings.
RDDT is growing revenue faster at 69.1% — sustainability is the question.
RDDT generates stronger free cash flow (311M), providing more financial flexibility.
Monitor INTERNET CONTENT & INFORMATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GOOGL scores higher overall (76/100 vs 75/100), backed by strong 37.9% margins and 21.8% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Alphabet Inc Class A
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.
Visit Website →Reddit, Inc.
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Reddit, Inc. operates a website that organizes digital communities. The company is headquartered in San Francisco, California.
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