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Correlation Analysis

Meta Platforms, Inc. Class A Common Stock vs Reddit, Inc.

META vs RDDT

+0.829

Strong positive

When one moves up, the other tends to follow.

META logo

Meta Platforms, Inc. Class A Common Stock

META

Meta is the largest social media company in the world, boasting close to 4 billion monthly active users worldwide. The firm's "Family of Apps," its core business, consists of Facebook, Instagram, Messenger, and WhatsApp. End users can leverage these applications for a variety of different purposes, from keeping in touch with friends to following celebrities and running digital businesses for free. Meta packages customer data, gleaned from its application ecosystem and sells ads to digital advertisers. While the firm has been investing heavily in its Reality Labs business, it remains a very small part of Meta's overall sales.

Market cap 1.4T

R

Reddit, Inc.

RDDT

Reddit is a social media platform where users can engage in conversations, explore, and create communities centered around their interests. Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit has evolved into a vast network of user-generated content organized into specialized forums known as "subreddits." The platform's unique community-driven model relies on volunteer moderators to manage content and maintain subreddit guidelines. Reddit generates revenue through advertising, Premium Memberships, and data licensing agreements.

Market cap 26.4B · 2,555 employees

Mar 21, 2024 — Apr 7, 2026Daily512 observationsStockStockTechnology

Time Series

Rebased to 100

Green: METAGray: RDDT36 of 512 points (sampled)

Who Moves First

in sync

META and RDDT tend to move at the same time.

Best correlation after shifting: +0.829 (13 shifts scanned)

Do They Crash Together?

Correlation by Market Regime

How these series behave when markets are rising, falling, or diverging. A correlation that holds in drawdowns is very different from one that only works in rallies.

Both Rising

+0.471

14 periods · Return correlation when both series rose

Both Falling

+0.360

9 periods · Return correlation when both series fell

Diverging

-0.678

12 periods · Return correlation when series moved apart

R-Squared

68.7%

Share of variance in one series explained by the other.

Trend Agreement

66.1%

How often both series moved in the same direction period-to-period.

Overlap Quality

512

Robust shared window — 512 usable pairs.

Significance

p < 0.001

95% CI: [0.800, 0.854]

Scatter

XY Regression

41450060070080080926.150100150200250260.2Meta Platforms, Inc. Class A Common StockReddit, Inc.Data pointsFit (r = 0.829)

Pipeline

Data quality details

Pipeline Summary

512 paired observations survived the daily window.

Raw input

1,107

512

Normalized

1,107

512

Prepared

1,107

512

Aligned

512

512

Invalid removed

0

A: 0 / B: 0

Duplicates removed

0

A: 0 / B: 0

Alignment drops

595

A: 595 / B: 0

Series A

META logo

Meta Platforms, Inc. Class A Common Stock

META

Market cap 1.4T

Stock · 1,107 raw → 1,107 prepared

Series B

R

Reddit, Inc.

RDDT

Market cap 26.4B · 2,555 employees

Stock · 512 raw → 512 prepared

Sign agreement

100.0%

How often both values share the same sign.

Zero crossings

28

Estimated crossover points between normalized spreads.

Slope

0.5985

Linear regression slope.

Intercept

-229.2476

Linear regression intercept.

Related Extremes

Highest and Lowest Correlated

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