Hsbc Holdings PLC Acquires 30,217 Shares of Rapid7, Inc. $RPD

Key Points

• Hsbc Holdings PLC increased its stake in Rapid7, Inc. by 221.8% during the first quarter, owning 43,840 shares worth approximately $1,146,000 as reported in SEC filings.
• Rapid7 reported earnings of $0.58 per share, surpassing analyst estimates and showing a 3.0% increase in quarterly revenue compared to the previous year.
• Insider trading activity included Director Jana Partners Management purchasing 250,000 shares for approximately $5.3 million, indicating strong insider confidence in the company's prospects.

Hsbc Holdings PLC lifted its stake in Rapid7, Inc. (NASDAQ:RPD - Free Report) by 221.8% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 43,840 shares of the technology company's stock after purchasing an additional 30,217 shares during the period. Hsbc Holdings PLC owned approximately 0.07% of Rapid7 worth $1,146,000 as of its most recent SEC filing.

Other institutional investors and hedge funds also recently modified their holdings of the company. Teacher Retirement System of Texas lifted its holdings in shares of Rapid7 by 24.1% during the 1st quarter. Teacher Retirement System of Texas now owns 54,091 shares of the technology company's stock worth $1,434,000 after acquiring an additional 10,487 shares during the period. Mirae Asset Global Investments Co. Ltd. boosted its position in Rapid7 by 18.5% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 10,548 shares of the technology company's stock valued at $291,000 after purchasing an additional 1,648 shares during the period. New York State Teachers Retirement System acquired a new position in Rapid7 during the 1st quarter valued at approximately $29,000. Principal Financial Group Inc. boosted its position in Rapid7 by 1.1% during the 1st quarter. Principal Financial Group Inc. now owns 54,915 shares of the technology company's stock valued at $1,456,000 after purchasing an additional 609 shares during the period. Finally, ProShare Advisors LLC raised its stake in Rapid7 by 49.0% during the 4th quarter. ProShare Advisors LLC now owns 17,434 shares of the technology company's stock valued at $701,000 after acquiring an additional 5,736 shares in the last quarter. Hedge funds and other institutional investors own 95.66% of the company's stock.

Analyst Ratings Changes

A number of analysts have recently issued reports on RPD shares. Raymond James Financial reduced their target price on Rapid7 from $40.00 to $30.00 and set an "outperform" rating for the company in a report on Friday, August 8th. Zacks Research lowered shares of Rapid7 from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 26th. Canaccord Genuity Group cut their target price on shares of Rapid7 from $39.00 to $32.00 and set a "hold" rating for the company in a research report on Monday, August 11th. Jefferies Financial Group set a $27.00 price objective on shares of Rapid7 and gave the stock a "buy" rating in a report on Friday, August 8th. Finally, Barclays cut their price target on shares of Rapid7 from $26.00 to $25.00 and set an "equal weight" rating for the company in a research note on Tuesday, May 13th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $26.89.

Insiders Place Their Bets

In other Rapid7 news, Director Jana Partners Management, Lp purchased 250,000 shares of the firm's stock in a transaction dated Wednesday, August 13th. The shares were bought at an average price of $21.26 per share, for a total transaction of $5,315,000.00. Following the purchase, the director owned 6,518,604 shares in the company, valued at approximately $138,585,521.04. This trade represents a 3.99% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Scott M. Murphy sold 1,370 shares of Rapid7 stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $20.25, for a total value of $27,742.50. Following the sale, the chief accounting officer directly owned 27,592 shares in the company, valued at $558,738. The trade was a 4.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have bought 772,194 shares of company stock valued at $15,135,356. Corporate insiders own 2.40% of the company's stock.

Rapid7 Stock Down 0.9%

NASDAQ RPD traded down $0.19 during trading hours on Monday, reaching $20.71. 778,094 shares of the company's stock were exchanged, compared to its average volume of 987,683. The company's 50-day moving average is $21.92 and its two-hundred day moving average is $24.35. Rapid7, Inc. has a one year low of $17.83 and a one year high of $44.48. The company has a debt-to-equity ratio of 9.84, a quick ratio of 1.36 and a current ratio of 1.36. The company has a market capitalization of $1.34 billion, a price-to-earnings ratio of 50.51 and a beta of 0.94.

Rapid7 (NASDAQ:RPD - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The technology company reported $0.58 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.44 by $0.14. The company had revenue of $214.19 million for the quarter, compared to analysts' expectations of $212.17 million. Rapid7 had a return on equity of 149.12% and a net margin of 3.41%.The business's revenue was up 3.0% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.58 EPS. Rapid7 has set its FY 2025 guidance at 1.900-2.030 EPS. Q3 2025 guidance at 0.440-0.470 EPS. On average, analysts forecast that Rapid7, Inc. will post 0.35 EPS for the current fiscal year.

About Rapid7

Rapid7, Inc provides cybersecurity solutions under the Rapid7, Nexpose, and Metasploit brand names. The company offers endpoint to cloud data collection and sharing applications, such as Rapid7 Insight Agent, a software-based agent that is used on assets across on-premises and cloud environments to centralize and monitor data on company's platform; Rapid7 Insight Network Sensor that analyzes raw end-to-end network traffic to increase visibility into user activity, pinpoint real threats, and investigations; Rapid7 Cloud Event Data Harvesting that offers visibility into changes made to cloud resources; and third-party integrations and ecosystem, as well as orchestration and automation solutions.