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WB vs RDDT
Revenue, margins, valuation, and 5-year total return — side by side.
Internet Content & Information
WB vs RDDT — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Internet Content & Information | Internet Content & Information |
| Market Cap | $1.33B | $31.89B |
| Revenue (TTM) | $1.76B | $2.47B |
| Net Income (TTM) | $372M | $708M |
| Gross Margin | 78.2% | 91.4% |
| Operating Margin | 29.2% | 25.1% |
| Forward P/E | 5.2x | 40.6x |
| Total Debt | $1.91B | $23M |
| Cash & Equiv. | $1.89B | $954M |
WB vs RDDT — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | Mar 24 | May 26 | Return |
|---|---|---|---|
| Weibo Corporation (WB) | 100 | 93.2 | -6.8% |
| Reddit, Inc. (RDDT) | 100 | 337.6 | +237.6% |
Price return only. Dividends and distributions are not included.
Quick Verdict: WB vs RDDT
Each card shows where this stock fits in a portfolio — not just who wins on paper.
WB is the clearest fit if your priority is income & stability and sleep-well-at-night.
- Dividend streak 0 yrs, beta 0.93, yield 8.7%
- Lower volatility, beta 0.93, Low D/E 53.2%, current ratio 3.61x
- Beta 0.93, yield 8.7%, current ratio 3.61x
RDDT carries the broadest edge in this set and is the clearest fit for growth exposure and long-term compounding.
- Rev growth 69.4%, EPS growth 197.4%, 3Y rev CAGR 48.9%
- 230.1% 10Y total return vs WB's -49.3%
- 69.4% revenue growth vs WB's -0.3%
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 69.4% revenue growth vs WB's -0.3% | |
| Value | Lower P/E (5.2x vs 40.6x) | |
| Quality / Margins | 28.6% margin vs WB's 21.1% | |
| Stability / Safety | Beta 0.93 vs RDDT's 1.79 | |
| Dividends | 8.7% yield; the other pay no meaningful dividend | |
| Momentum (1Y) | +51.4% vs WB's +5.3% | |
| Efficiency (ROA) | 23.1% ROA vs WB's 5.7%, ROIC 18.4% vs 10.3% |
WB vs RDDT — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
WB vs RDDT — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
RDDT leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
RDDT and WB operate at a comparable scale, with $2.5B and $1.8B in trailing revenue. RDDT is the more profitable business, keeping 28.6% of every revenue dollar as net income compared to WB's 21.1%. On growth, RDDT holds the edge at +69.1% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $1.8B | $2.5B |
| EBITDAEarnings before interest/tax | $535M | $633M |
| Net IncomeAfter-tax profit | $372M | $708M |
| Free Cash FlowCash after capex | $0 | $869M |
| Gross MarginGross profit ÷ Revenue | +78.2% | +91.4% |
| Operating MarginEBIT ÷ Revenue | +29.2% | +25.1% |
| Net MarginNet income ÷ Revenue | +21.1% | +28.6% |
| FCF MarginFCF ÷ Revenue | +33.0% | +35.1% |
| Rev. Growth (YoY)Latest quarter vs prior year | +1.6% | +69.1% |
| EPS Growth (YoY)Latest quarter vs prior year | +11.9% | +6.2% |
Valuation Metrics
WB leads this category, winning 6 of 6 comparable metrics.
Valuation Metrics
At 7.3x trailing earnings, WB trades at a 89% valuation discount to RDDT's 63.5x P/E. On an enterprise value basis, WB's 2.4x EV/EBITDA is more attractive than RDDT's 67.6x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $1.3B | $31.9B |
| Enterprise ValueMkt cap + debt − cash | $1.3B | $31.0B |
| Trailing P/EPrice ÷ TTM EPS | 7.30x | 63.55x |
| Forward P/EPrice ÷ next-FY EPS est. | 5.22x | 40.64x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 2.38x | 67.60x |
| Price / SalesMarket cap ÷ Revenue | 0.76x | 14.48x |
| Price / BookPrice ÷ Book value/share | 0.63x | 11.49x |
| Price / FCFMarket cap ÷ FCF | 2.30x | 46.60x |
Profitability & Efficiency
RDDT leads this category, winning 7 of 7 comparable metrics.
Profitability & Efficiency
RDDT delivers a 25.5% return on equity — every $100 of shareholder capital generates $25 in annual profit, vs $10 for WB. RDDT carries lower financial leverage with a 0.01x debt-to-equity ratio, signaling a more conservative balance sheet compared to WB's 0.53x.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +10.3% | +25.5% |
| ROA (TTM)Return on assets | +5.7% | +23.1% |
| ROICReturn on invested capital | +10.3% | +18.4% |
| ROCEReturn on capital employed | +9.0% | +17.2% |
| Piotroski ScoreFundamental quality 0–9 | 7 | 7 |
| Debt / EquityFinancial leverage | 0.53x | 0.01x |
| Net DebtTotal debt minus cash | $15M | -$930M |
| Cash & Equiv.Liquid assets | $1.9B | $954M |
| Total DebtShort + long-term debt | $1.9B | $23M |
| Interest CoverageEBIT ÷ Interest expense | 5.11x | — |
Total Returns (Dividends Reinvested)
RDDT leads this category, winning 5 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in RDDT five years ago would be worth $33,008 today (with dividends reinvested), compared to $2,403 for WB. Over the past 12 months, RDDT leads with a +51.4% total return vs WB's +5.3%. The 3-year compound annual growth rate (CAGR) favors RDDT at 48.9% vs WB's -10.6% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -13.9% | -31.2% |
| 1-Year ReturnPast 12 months | +5.3% | +51.4% |
| 3-Year ReturnCumulative with dividends | -28.6% | +230.1% |
| 5-Year ReturnCumulative with dividends | -76.0% | +230.1% |
| 10-Year ReturnCumulative with dividends | -49.3% | +230.1% |
| CAGR (3Y)Annualised 3-year return | -10.6% | +48.9% |
Risk & Volatility
WB leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
WB is the less volatile stock with a 0.93 beta — it tends to amplify market swings less than RDDT's 1.79 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. WB currently trades 65.4% from its 52-week high vs RDDT's 58.8% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.93x | 1.79x |
| 52-Week HighHighest price in past year | $12.96 | $282.95 |
| 52-Week LowLowest price in past year | $8.10 | $94.89 |
| % of 52W HighCurrent price vs 52-week peak | +65.4% | +58.8% |
| RSI (14)Momentum oscillator 0–100 | 40.0 | 62.8 |
| Avg Volume (50D)Average daily shares traded | 1.1M | 4.5M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates WB as "Buy" and RDDT as "Buy". Consensus price targets imply 102.8% upside for WB (target: $17) vs 37.0% for RDDT (target: $228). WB is the only dividend payer here at 8.65% yield — a key consideration for income-focused portfolios.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $17.18 | $228.11 |
| # AnalystsCovering analysts | 22 | 26 |
| Dividend YieldAnnual dividend ÷ price | +8.7% | — |
| Dividend StreakConsecutive years of raises | 0 | — |
| Dividend / ShareAnnual DPS | $0.73 | — |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | 0.0% |
RDDT leads in 3 of 6 categories (Income & Cash Flow, Profitability & Efficiency). WB leads in 2 (Valuation Metrics, Risk & Volatility).
WB vs RDDT: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is WB or RDDT a better buy right now?
For growth investors, Reddit, Inc.
(RDDT) is the stronger pick with 69. 4% revenue growth year-over-year, versus -0. 3% for Weibo Corporation (WB). Weibo Corporation (WB) offers the better valuation at 7. 3x trailing P/E (5. 2x forward), making it the more compelling value choice. Analysts rate Weibo Corporation (WB) a "Buy" — based on 22 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — WB or RDDT?
On trailing P/E, Weibo Corporation (WB) is the cheapest at 7.
3x versus Reddit, Inc. at 63. 5x. On forward P/E, Weibo Corporation is actually cheaper at 5. 2x.
03Which is the better long-term investment — WB or RDDT?
Over the past 5 years, Reddit, Inc.
(RDDT) delivered a total return of +230. 1%, compared to -76. 0% for Weibo Corporation (WB). Over 10 years, the gap is even starker: RDDT returned +230. 1% versus WB's -49. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — WB or RDDT?
By beta (market sensitivity over 5 years), Weibo Corporation (WB) is the lower-risk stock at 0.
93β versus Reddit, Inc. 's 1. 79β — meaning RDDT is approximately 94% more volatile than WB relative to the S&P 500. On balance sheet safety, Reddit, Inc. (RDDT) carries a lower debt/equity ratio of 1% versus 53% for Weibo Corporation — giving it more financial flexibility in a downturn.
05Which is growing faster — WB or RDDT?
By revenue growth (latest reported year), Reddit, Inc.
(RDDT) is pulling ahead at 69. 4% versus -0. 3% for Weibo Corporation (WB). On earnings-per-share growth, the picture is similar: Reddit, Inc. grew EPS 197. 4% year-over-year, compared to -18. 9% for Weibo Corporation. Over a 3-year CAGR, RDDT leads at 48. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — WB or RDDT?
Reddit, Inc.
(RDDT) is the more profitable company, earning 24. 1% net margin versus 17. 1% for Weibo Corporation — meaning it keeps 24. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: WB leads at 28. 2% versus 20. 1% for RDDT. At the gross margin level — before operating expenses — RDDT leads at 91. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is WB or RDDT more undervalued right now?
On forward earnings alone, Weibo Corporation (WB) trades at 5.
2x forward P/E versus 40. 6x for Reddit, Inc. — 35. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WB: 102. 8% to $17. 18.
08Which pays a better dividend — WB or RDDT?
In this comparison, WB (8.
7% yield) pays a dividend. RDDT does not pay a meaningful dividend and should not be held primarily for income.
09Is WB or RDDT better for a retirement portfolio?
For long-horizon retirement investors, Weibo Corporation (WB) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.
93), 8. 7% yield). Reddit, Inc. (RDDT) carries a higher beta of 1. 79 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (WB: -49. 3%, RDDT: +230. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between WB and RDDT?
Both stocks operate in the Communication Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: WB is a small-cap deep-value stock; RDDT is a mid-cap high-growth stock. WB pays a dividend while RDDT does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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- Sector: Communication Services
- Market Cap > $100B
- Net Margin > 12%
- Dividend Yield > 3.4%
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