Reddit Inc ( RDDT ) shares are surging 10.2% to $124.32 Wednesday afternoon, extending a rally that has seen the stock climb 25% over the past month.

The recent, sharp rise follows the company's stronger-than-expected first-quarter earnings, released after the market closed on May 1, which showcased accelerating revenue, improved profitability and robust user growth.

What To Know: Reddit ( RDDT ) posted earnings of 13 cents per share, beating consensus estimates of 2 cents. Revenue came in at $392.36 million, topping expectations of $370.01 million and marking a 61% year-over-year gain in advertising revenue.

The company also reported 108.1 million daily active users, up 31% from the previous year, and a net income of $26.2 million, a sharp reversal from a $575.1 million loss in the prior-year period.

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CEO Steve Huffman highlighted the platform's growing appeal, citing weekly active users exceeding 400 million. CFO Drew Vollero noted strong momentum in ad pricing and international expansion, with Reddit ( RDDT ) guiding second-quarter revenue between $410 million and $430 million.

Analysts responded positively. Seaport Global upgraded Reddit ( RDDT ) to Buy, while Needham and JP Morgan raised price targets to $145. The consensus signals growing confidence in Reddit's ( RDDT ) monetization strategy, international push and long-term growth potential despite macro and search-related headwinds.

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How To Buy RDDT Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Reddit’s case, it is in the Communication Services sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

According to data from Benzinga Pro, RDDT has a 52-week high of $230.41 and a 52-week low of $49.13.