14 Best Multibagger Stocks to Buy According to Hedge Funds

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9. Reddit, Inc. (NYSE:RDDT)

Number of Hedge Funds: 72

1Y Return: 140%

Reddit, Inc. (NYSE:RDDT) is one of the best multibagger stocks according to hedge funds. On July 23, 2025, Needham analyst Laura Martin raised her price target on Reddit from $145 to $165, while maintaining a “Buy” rating.

Reddit’s latest quarter came in ahead of expectations, and momentum looks set to continue. Daily active users are climbing, and ad revenue, especially from direct-response formats, is gaining traction. The pivot toward full-funnel advertisers, paired with launches like Reddit Search and Reddit Answers, is deepening engagement and improving content discovery. Financially, the company is benefiting from expanding margins and accelerating free cash flow. Meanwhile, AI is playing a growing role: new translation features aim to accelerate global user growth, and early results from Reddit Insights suggest the platform is beginning to monetize generative AI effectively.

Reddit, Inc. (NYSE: RDDT) is a social media platform based in San Francisco that hosts user-generated content across thousands of interest-based forums called subreddits, and primarily generates revenue through digital advertising.

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