Why did RDVT's stock price hit a 52-week high?

Red Violet (RDVT) recently reached a 52-week high stock price of $51.35 on June 27, 2025, which can be attributed to several key factors:

1. Strong Revenue Growth: Red Violet has experienced a significant increase in revenue, with a 26% rise reaching a record $22 million in Q1 2025. This growth is a testament to the company's successful expansion and adoption by medium and large enterprise customers.
2. Positive Earnings Outlook: The company is expected to post quarterly earnings of $0.28 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $24.5 million, up 28.5% from the year-ago quarter. This positive earnings outlook can boost investor confidence and drive stock price higher.
3. Strategic Investments: Red Violet has been investing in proprietary data generation, automation, and AI-driven risk solutions. These strategic investments in cutting-edge technologies position the company well for future growth and can attract investors looking for growth opportunities.
4. Market Position and Customer Base: The company has seen growth in its IDI billable customer base and FOREWARN users, indicating a successful customer expansion strategy. A strong market position and customer base can lead to increased investor confidence in the company's stability and growth potential.
5. Industry Position and Innovation: Red Violet's focus on moving upmarket and its successful investment in moving upmarket have led to a strong traction among medium and larger enterprise customers. The company's multi-year product roadmap and focus on AI-driven solutions also position it well for future innovation and competitiveness in its industry.

In conclusion, RDVT's stock price hit a 52-week high due to a combination of strong revenue growth, positive earnings outlook, strategic investments, market position, customer base expansion, and industry position and innovation.