10 Hottest Smid-Cap Stocks So Far In 2025

8. ThredUp (NASDAQ:TDUP)

YTD Performance: 61.35%

ThredUp (NASDAQ:TDUP) is an online marketplace to sell used items, like shoes and clothing. It’s basically a big online thrift shop. They make most of their money through their consignment model. Consignment revenue made up about 82% of their total revenue. They also send people clean out kits for people who want to declutter and get rid of used clothes.

2024 wasn’t that eventful for ThredUp. This stock crashed hard back in July 2024 and was struggling up until November when it finally recovered. In Q4 though, ThredUp announced that its revenue is going to come in between $66.7 million and $67.2 million. This is a 9% jump year-over-year and beat earlier guidance of $58 million to $60 million. ThredUp has also pulled back from its European operations by divesting a subsidiary called Remix Global EAD and is looking to focus more on the U.S. market. I believe all of these are very positive developments, especially the fact that gross margin for the quarter is looking like it will land around 80.2% to 80.4%.

James Reinhart, ThredUp’s co-founder and CEO, said: “I am encouraged by our preliminary fourth quarter results that exceeded all elements of our guidance, and the return to solid growth in our core business”