Rapid7 (NASDAQ:RPD) Upgraded at Wall Street Zen

Key Points

• Wall Street Zen upgraded Rapid7 from “hold” to “buy,” although broader analyst sentiment remains “Reduce,” with 17 hold and five sell ratings and an average price target of $11.98.
• Rapid7 reported quarterly EPS of $0.44, beating the $0.35 consensus estimate, while revenue of $210.88 million also exceeded expectations; however, revenue declined 1.5% year over year.
• Institutional ownership stands at 95.66%, with major investors including Bank of America, Bank of New York Mellon and Man Group recently establishing positions in the company.

Rapid7 (NASDAQ:RPD - Get Free Report) was upgraded by stock analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a report issued on Saturday, Wall Street Zen reports.

A number of other brokerages have also recently weighed in on RPD. Stephens reissued a "positive" rating on shares of Rapid7 in a research report on Tuesday, August 11th. Raymond James Financial restated an "outperform" rating and issued a $15.00 price objective on shares of Rapid7 in a research report on Tuesday, August 11th. Robert W. Baird raised their price objective on Rapid7 from $8.00 to $10.00 and gave the stock a "neutral" rating in a research note on Tuesday, August 11th. Jefferies Financial Group reiterated a "hold" rating and set a $12.00 target price on shares of Rapid7 in a report on Tuesday, August 11th. Finally, Mizuho boosted their target price on Rapid7 from $8.00 to $11.00 and gave the company a "neutral" rating in a research note on Wednesday, July 15th. One investment analyst has rated the stock with a Buy rating, seventeen have issued a Hold rating and five have issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Reduce" and an average price target of $11.98.

Rapid7 Trading Up 1.1%

NASDAQ:RPD opened at $12.19 on Friday. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.50. Rapid7 has a 1-year low of $4.97 and a 1-year high of $20.17. The firm has a market capitalization of $821.62 million, a price-to-earnings ratio of 39.32 and a beta of 1.02. The business's 50-day moving average price is $11.72 and its two-hundred day moving average price is $8.89.

Rapid7 (NASDAQ:RPD - Get Free Report) last announced its quarterly earnings results on Monday, August 10th. The technology company reported $0.44 earnings per share for the quarter, beating analysts' consensus estimates of $0.35 by $0.09. Rapid7 had a net margin of 2.35% and a return on equity of 27.89%. The business had revenue of $210.88 million for the quarter, compared to the consensus estimate of $208.23 million. During the same period last year, the company posted $0.58 EPS. Rapid7's revenue for the quarter was down 1.5% on a year-over-year basis. Rapid7 has set its Q3 2026 guidance at 0.440-0.470 EPS. On average, equities analysts expect that Rapid7 will post 0.76 earnings per share for the current year.

Institutional Investors Weigh In On Rapid7

A number of hedge funds and other institutional investors have recently made changes to their positions in RPD. Bank of America Corp DE bought a new stake in Rapid7 in the 2nd quarter valued at approximately $6,861,000. Bank of New York Mellon Corp bought a new position in shares of Rapid7 during the 2nd quarter worth approximately $3,844,000. Man Group plc bought a new position in shares of Rapid7 during the 2nd quarter worth approximately $3,409,000. Circumference Group LLC acquired a new stake in shares of Rapid7 in the fourth quarter valued at approximately $3,800,000. Finally, Quantinno Capital Management LP raised its holdings in shares of Rapid7 by 776.1% in the first quarter. Quantinno Capital Management LP now owns 260,359 shares of the technology company's stock valued at $1,435,000 after purchasing an additional 230,641 shares during the last quarter. 95.66% of the stock is currently owned by institutional investors and hedge funds.

About Rapid7

Rapid7, Inc is a cybersecurity software and services company that helps organizations identify, assess and manage security risks across their technology environments. Its offerings are designed to provide visibility into vulnerabilities, threats and incidents across on-premises infrastructure, cloud environments, applications and user endpoints.

The company's portfolio includes vulnerability risk management, security information and event management, extended detection and response, managed detection and response, cloud security, application security and threat intelligence solutions.

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