Reddit Stock Rises After First Post-IPO Earnings Report

Reddit stock is higher after the company's impressive Q1 results and strong Q2 outlook. Here's what you need to know.

lifesized Snoo, the mascot of Reddit, ringing the opening bell of the New York Stock Exchange, after the Reddit IPO
(Image credit: Michael Nagle/Bloomberg via Getty Images)

Reddit (RDDT) stock jumped 5% in early trading Wednesday after the social media platform beat top- and bottom-line expectations in its first earnings report as a public company. Shares have since pared a portion of these earlier gains, but are still comfortably higher. 

In the three months ended March 31, Reddit's revenue surged 48.4% year-over-year to $243 million. The top-line results were driven by a 37.1% increase in daily active uniques (DAUq) to 82.7 million and an 8.1% increase in average revenue per user to $2.94. Reddit defines DAUqs as users the company "can identify with a unique identifier who has visited a page on the Reddit website or opened a Reddit application at least once during a 24-hour period."

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Joey Solitro

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.