RDDT vs. APLD

Last updated Jun 13, 2026

RDDT (Reddit, Inc.) and APLD (Applied Digital Corporation) are both stocks. RDDT operates in Internet Content & Information (Communication Services), while APLD operates in Information Technology Services (Technology). Over the past year, RDDT returned 39.50% vs 241.33% for APLD. At a 0.28 correlation, their price movements are largely independent.

Performance

RDDT vs. APLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Reddit, Inc. (RDDT) and Applied Digital Corporation (APLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RDDT achieves a -29.48% return, which is significantly lower than APLD's 74.14% return.

RDDT

• 1D: -6.44%
• 1M: 5.18%
• YTD: -29.48%
• 6M: -27.89%
• 1Y: 39.50%
• 3Y*: —
• 5Y*: —
• 10Y*: —

APLD

• 1D: 2.97%
• 1M: -6.11%
• YTD: 74.14%
• 6M: 53.27%
• 1Y: 241.33%
• 3Y*: 69.23%
• 5Y*: 112.30%
• 10Y*: 125.13%

*Multi-year figures are annualized to reflect compound growth (CAGR)

RDDT vs. APLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024
RDDT Reddit, Inc.	-29.48%	40.64%	247.74%
APLD Applied Digital Corporation	74.14%	220.94%	64.30%

Correlation

The correlation between RDDT and APLD is 0.23, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.23
Correlation (All Time) Calculated using the full available price history since Mar 21, 2024	0.28

Fundamentals

Market Cap RDDT : $32.83B APLD : $11.60B
EPS RDDT : $3.56 APLD : -$0.72
PS Ratio RDDT : 13.03 APLD : 28.94
PB Ratio RDDT : 10.32 APLD : 7.37
Total Revenue (TTM) RDDT : $2.47B APLD : $390.57M
Gross Profit (TTM) RDDT : $2.26B APLD : $124.93M
EBITDA (TTM) RDDT : $655.01M APLD : -$154.66M

Return for Risk

RDDT vs. APLD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

RDDT

RDDT Risk / Return Rank: 60
RDDT Sharpe Ratio Rank: 63
RDDT Sortino Ratio Rank: 62
RDDT Omega Ratio Rank: 59
RDDT Calmar Ratio Rank: 59
RDDT Martin Ratio Rank: 57

APLD

APLD Risk / Return Rank: 90
APLD Sharpe Ratio Rank: 92
APLD Sortino Ratio Rank: 89
APLD Omega Ratio Rank: 85
APLD Calmar Ratio Rank: 92
APLD Martin Ratio Rank: 91

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

RDDT vs. APLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Reddit, Inc. (RDDT) and Applied Digital Corporation (APLD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	RDDT	APLD	Difference
Sharpe ratio: Return per unit of total volatility	0.60	2.27	-1.67
Sortino ratio: Return per unit of downside risk	1.25	2.92	-1.67
Omega ratio: Gain probability vs. loss probability	1.15	1.33	-0.18
Calmar ratio: Return relative to maximum drawdown	0.72	4.83	-4.11
Martin ratio: Return relative to average drawdown	1.32	11.72	-10.40

RDDT vs. APLD - Sharpe Ratio Comparison

The current RDDT Sharpe Ratio is 0.60, which is lower than the APLD Sharpe Ratio of 2.27. The chart below compares the historical Sharpe Ratios of RDDT and APLD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

RDDT vs. APLD - Drawdown Comparison

The maximum RDDT drawdown since its inception was -61.41%, smaller than the maximum APLD drawdown of -99.73%. Use the drawdown chart below to compare losses from any high point for RDDT and APLD.

Drawdown Indicators

	RDDT	APLD	Difference
Max Drawdown Largest peak-to-trough decline	-61.41%	-99.73%	+38.32%
Max Drawdown (1Y) Largest decline over 1 year	-54.99%	-50.31%	-4.68%
Max Drawdown (3Y) Largest decline over 3 years	—	-76.66%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-82.61%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-89.80%	—
Current Drawdown Current decline from peak	-40.12%	-14.00%	-26.12%
Average Drawdown Average peak-to-trough decline	-24.49%	-74.86%	+50.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	29.98%	21.22%	+8.76%

Volatility

RDDT vs. APLD - Volatility Comparison

The current volatility for Reddit, Inc. (RDDT) is 20.93%, while Applied Digital Corporation (APLD) has a volatility of 33.15%. This indicates that RDDT experiences smaller price fluctuations and is considered to be less risky than APLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RDDT	APLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	20.93%	33.15%	-12.22%
Volatility (6M) Calculated over the trailing 6-month period	46.09%	80.49%	-34.40%
Volatility (1Y) Calculated over the trailing 1-year period	65.69%	107.13%	-41.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	81.25%	165.20%	-83.95%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	81.25%	301.46%	-220.21%

Dividends

RDDT vs. APLD - Dividend Comparison

Neither RDDT nor APLD has paid dividends to shareholders.

Tickers have no history of dividend payments

Financials

RDDT vs. APLD - Profitability Comparison

The chart below illustrates the profitability comparison between Reddit, Inc. and Applied Digital Corporation over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

RDDT - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Reddit, Inc. reported a gross profit of 607.14M and revenue of 663.41M. Therefore, the gross margin over that period was 91.5%.

APLD - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Applied Digital Corporation reported a gross profit of 82.52M and revenue of 161.76M. Therefore, the gross margin over that period was 51.0%.

RDDT - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Reddit, Inc. reported an operating income of 182.91M and revenue of 663.41M, resulting in an operating margin of 27.6%.

APLD - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Applied Digital Corporation reported an operating income of -62.13M and revenue of 161.76M, resulting in an operating margin of -38.4%.

RDDT - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Reddit, Inc. reported a net income of 203.98M and revenue of 663.41M, resulting in a net margin of 30.8%.

APLD - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Applied Digital Corporation reported a net income of -104.11M and revenue of 161.76M, resulting in a net margin of -64.4%.

Frequently Asked Questions

Can I hold both RDDT and APLD in my portfolio?

RDDT and APLD have a correlation of 0.23, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RDDT or APLD?

APLD has higher volatility (33.15%) compared to RDDT (20.93%). In terms of maximum drawdown, RDDT dropped -61.41% vs APLD's -99.73%.

Which has better risk-adjusted returns?

APLD currently has the higher Sharpe Ratio (2.27 vs 0.60), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.