Reddit (RDDT) shares experienced a significant rally in the first week of January 2026, driven by growing investor confidence following strong Q3 2025 earnings and its emerging strategic role as an 'AI Citation King'.

  • Q3 2025 earnings reported a massive 400% year-over-year jump in EPS.
  • The company secured lucrative data licensing deals with industry leaders, including Google and OpenAI, leveraging its extensive content for AI training.
  • This strategic pivot, combined with AI-optimized advertising, positions RDDT as a structural powerhouse in the social media and AI ecosystems.