Compare DouYu International Holdings Limited (DOYU) vs Reddit, Inc. (RDDT) Stock

Reddit, Inc. (RDDT) offers the better valuation at 57.1x trailing P/E (36.7x forward), making it the more compelling value choice. Analysts rate Reddit, Inc. (RDDT) a "Buy" — based on 25 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.

On forward P/E, DouYu International Holdings Limited is actually cheaper at 2.9x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, Reddit, Inc. (RDDT) delivered a total return of +196.7%, compared to -82.9% for DouYu International Holdings Limited (DOYU). A $10,000 investment in RDDT five years ago would be worth approximately $30K today (assuming dividends reinvested). Over 10 years, the gap is even starker: RDDT returned +196.7% versus DOYU's -78.7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), DouYu International Holdings Limited (DOYU) is the lower-risk stock at 0.97β versus Reddit, Inc.'s 2.05β — meaning RDDT is approximately 111% more volatile than DOYU relative to the S&P 500. On balance sheet safety, DouYu International Holdings Limited (DOYU) carries a lower debt/equity ratio of 0% versus 1% for Reddit, Inc. — giving it more financial flexibility in a downturn.

Reddit, Inc. (RDDT) is the more profitable company, earning 24.1% net margin versus -7.0% for DouYu International Holdings Limited — meaning it keeps 24.1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: RDDT leads at 20.1% versus -13.2% for DOYU. 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.

On forward earnings alone, DouYu International Holdings Limited (DOYU) trades at 2.9x forward P/E versus 36.7x for Reddit, Inc. — 33.7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for DOYU: 84.3% to $9.03.

In this comparison, DOYU (20.3% yield) pays a dividend. RDDT does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, DouYu International Holdings Limited (DOYU) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.97), 20.3% yield). Reddit, Inc. (RDDT) carries a higher beta of 2.05 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (DOYU: -78.7%, RDDT: +196.7%), 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.

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: DOYU is a small-cap income-oriented stock; RDDT is a small-cap quality compounder stock. DOYU 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.