Russell Investments Group Ltd. Grows Stock Position in Rapid7, Inc. $RPD

Key Points

• Russell Investments Group Ltd. significantly increased its stake in Rapid7, acquiring an additional 51,446 shares, resulting in a total ownership of approximately 52,304 shares valued at about $1.39 million.
• Several institutional investors have also made notable changes to their positions in Rapid7, with 95.66% of the stock now owned by institutional investors.
• After its recent earnings report, Rapid7's earnings per share exceeded analysts' estimates at $0.58, and the company has guided for FY 2025 EPS between 1.900 and 2.030.

Russell Investments Group Ltd. boosted its stake in shares of Rapid7, Inc. (NASDAQ:RPD - Free Report) by 5,996.0% during the 1st quarter, according to its most recent 13F filing with the SEC. The firm owned 52,304 shares of the technology company's stock after buying an additional 51,446 shares during the period. Russell Investments Group Ltd. owned approximately 0.08% of Rapid7 worth $1,387,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently bought and sold shares of the stock. Teacher Retirement System of Texas grew its position in Rapid7 by 24.1% in the 1st quarter. Teacher Retirement System of Texas now owns 54,091 shares of the technology company's stock valued at $1,434,000 after acquiring an additional 10,487 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. grew its position in Rapid7 by 18.5% in 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 acquiring an additional 1,648 shares during the last quarter. New York State Teachers Retirement System bought a new position in Rapid7 in the 1st quarter valued at $29,000. Invesco Ltd. grew its position in Rapid7 by 5.4% in the 4th quarter. Invesco Ltd. now owns 36,487 shares of the technology company's stock valued at $1,468,000 after acquiring an additional 1,860 shares during the last quarter. Finally, Principal Financial Group Inc. grew its position in Rapid7 by 1.1% in the 1st quarter. Principal Financial Group Inc. now owns 54,915 shares of the technology company's stock valued at $1,456,000 after acquiring an additional 609 shares during the last quarter. Hedge funds and other institutional investors own 95.66% of the company's stock.

Rapid7 Stock Down 2.6%

Shares of NASDAQ RPD traded down $0.54 during mid-day trading on Tuesday, reaching $20.17. 631,493 shares of the company were exchanged, compared to its average volume of 958,998. The company has a quick ratio of 1.36, a current ratio of 1.36 and a debt-to-equity ratio of 9.84. The stock has a market cap of $1.31 billion, a price-to-earnings ratio of 49.20 and a beta of 0.94. Rapid7, Inc. has a 1 year low of $17.83 and a 1 year high of $44.48. The firm has a 50-day moving average of $21.85 and a 200 day moving average of $24.32.

Rapid7 (NASDAQ:RPD - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The technology company reported $0.58 earnings per share for the quarter, topping analysts' consensus estimates of $0.44 by $0.14. The firm had revenue of $214.19 million during 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 firm's quarterly revenue was up 3.0% on a year-over-year basis. During the same period 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, research analysts expect that Rapid7, Inc. will post 0.35 earnings per share for the current year.

Insiders Place Their Bets

In related news, CAO Scott M. Murphy sold 1,370 shares of the company's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $20.25, for a total transaction of $27,742.50. Following the completion of the sale, the chief accounting officer directly owned 27,592 shares in the company, valued at $558,738. This represents a 4.73% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, Director Jana Partners Management, Lp acquired 250,000 shares of the firm's stock in a transaction that occurred on Wednesday, August 13th. The shares were bought at an average price of $21.26 per share, with a total value of $5,315,000.00. Following the completion of the purchase, the director directly owned 6,518,604 shares in the company, valued at $138,585,521.04. The trade was a 3.99% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders have purchased a total of 772,194 shares of company stock valued at $15,135,356 over the last 90 days. 2.40% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

Several equities analysts have commented on RPD shares. Wall Street Zen raised Rapid7 from a "hold" rating to a "buy" rating in a research report on Sunday, August 3rd. Citigroup cut their price objective on Rapid7 from $35.00 to $30.00 and set a "buy" rating on the stock in a research report on Monday, August 18th. Zacks Research downgraded Rapid7 from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 26th. JPMorgan Chase & Co. cut their price objective on Rapid7 from $28.00 to $23.00 and set a "neutral" rating on the stock in a research report on Monday, August 4th. Finally, DA Davidson reissued an "underperform" rating and set a $21.00 price target (down previously from $29.00) on shares of Rapid7 in a research report on Tuesday, May 13th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $26.56.

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.