Reddit Inc. (NYSE: RDDT) reported a 37% return in 2025, marking a significant recovery from earlier struggles. The platform has experienced explosive growth, with a reported 116 million daily active unique users (DAUQ) in Q3 2025, a 20% year-over-year increase. International DAUQ growth reached approximately 31%, driven by expansions in France, Brazil, and India.
The company’s revenue surged to $585 million, up more than 66% year-over-year, with international revenue growing 74%. Earnings per share (EPS) rose by 400% compared to the previous year. Projections for Q4 2025 anticipate revenue between $655 million and $665 million. While the average revenue per user (ARPU) improved by 41% to $5.04, it still lags behind competitors like Meta Platforms Inc.
Analysts are optimistic looking ahead to 2026, with 18 out of 29 assigning a Buy rating. The company’s potential may hinge on its management of AI technologies while maintaining user engagement with human-generated content. The current consensus price target stands at $230.28, suggesting limited short-term upside.
