Reddit, a social media giant known for its vast content aggregation, recently achieved a significant milestone as an IPO-listed company in March 2024. Despite experiencing volatility, Reddit’s stock price has seen impressive growth, reaching over $113 per share. However, analysts have raised questions about the high price-to-earnings (P/E) ratio of 173.94 compared to its peers in the internet content and information sector. This article explores Reddit’s financial performance and assesses whether its high P/E is justified based on key factors like user engagement, ad revenue, and future growth potential. To provide context, the author does not hold or have a position in any securities discussed. All stock prices were quoted at the time of writing.