Red Hat

+25%

est. 2Y upside i

Rank

#2115

Sector

Enterprise Software

Est. Liquidity

~3Y

Data Quality

Data: Medium

Red Hat offers a stable but modest upside potential of 25% over 2 years, heavily weighted to a bear scenario (50% chance of -9%).

Last updated: July 3, 2026

Bull (15%)+83%

IBM spins off Red Hat or strong hybrid cloud adoption drives multiple expansion to 8x forward revenue, implying $62.2B exit value.

Base (35%)+49%

Multiple converges to ~6.5x as growth stabilizes, yielding $50.5B exit value.

Bear (50%)-9%

Intense competition from hyperscalers and Oracle Linux, along with sluggish growth, compresses multiple to 4x, resulting in $31.1B exit.

Est. time to liquidity~3.0 years

Preference Stack Risk

low

Funding Intensity

No preference stack as Red Hat is profitable and funded by IBM, so total funding is negligible.

Dilution Risk

low

No near-term fundraising anticipated due to profitability and IBM backing.

Secondary Liquidity

none

No secondary trading exists for Red Hat equity.

Other — 1 role

Last updated: July 3, 2026

Questions to Ask at the Interview

Strategic questions based on Red Hat's data — designed to show you've done your homework.

1
“How does Red Hat differentiate from native cloud provider offerings like AWS Linux?”
2
“Can subscription revenue growth accelerate with hybrid cloud adoption despite slowing macro?”
3
“How will joining a subsidiary affect equity liquidity and career progression?”

Our model estimates +25% upside. What do you think?

Anonymous. Do not share material non-public information.

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Disclaimer: This analysis is AI-generated and does not constitute financial or career advice. Always conduct your own due diligence.