From Brotato Wiki
Ricochet is an in-game item that can be bought from Shop or can be found in a Crate. Most Items increase the Stats of the player while some of them provide unique effects.
The Ricochet increases the amount of bounces for projectiles by 1. This includes ranged weapons and projectiles spawned by weapons such as Cacti Club.
It is a very useful item to help single target ranged weapons keep up with large hordes of enemies.
Projectiles have a default damage falloff of 50% when bouncing, unless the weapon have bouncing by default such as the Slingshot or the projectiles spawned by Lightning Shiv.
So the extra hit granted by Ricochet will only deal 50% damage on most weapons. Note that Ricochet should be avoided on weapons that relies on piercing, such as Crossbow or Shredder, as it will halve the damage of all the following piercing shots.
Projectiles with both bounce and pierce will only pierce after they're done bouncing.