Russell Investments Group Ltd. Increases Stake 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. lifted its stake in shares of Rapid7, Inc. (NASDAQ:RPD - Free Report) by 5,996.0% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 52,304 shares of the technology company's stock after purchasing an additional 51,446 shares during the quarter. Russell Investments Group Ltd. owned about 0.08% of Rapid7 worth $1,387,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. New York State Teachers Retirement System bought a new position in shares of Rapid7 during the 1st quarter worth about $29,000. Versant Capital Management Inc boosted its position in shares of Rapid7 by 5,311.1% during the 1st quarter. Versant Capital Management Inc now owns 1,461 shares of the technology company's stock worth $39,000 after purchasing an additional 1,434 shares in the last quarter. DekaBank Deutsche Girozentrale bought a new position in shares of Rapid7 during the 1st quarter worth about $74,000. New Age Alpha Advisors LLC bought a new position in shares of Rapid7 during the 1st quarter worth about $115,000. Finally, GAMMA Investing LLC boosted its position in shares of Rapid7 by 2,069.2% during the 1st quarter. GAMMA Investing LLC now owns 5,488 shares of the technology company's stock worth $145,000 after purchasing an additional 5,235 shares in the last quarter. Institutional investors own 95.66% of the company's stock.

Insiders Place Their Bets

In other news, CAO Scott M. Murphy sold 1,370 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $20.25, for a total transaction of $27,742.50. Following the completion of the transaction, 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 position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jana Partners Management, Lp acquired 358,738 shares of the company's stock in a transaction dated Monday, August 11th. The shares were bought at an average cost of $18.23 per share, with a total value of $6,539,793.74. Following the completion of the acquisition, the director directly owned 6,105,148 shares in the company, valued at $111,296,848.04. The trade was a 6.24% increase in their position. The disclosure for this purchase can be found here. Insiders have bought a total of 772,194 shares of company stock valued at $15,135,356 over the last 90 days. Company insiders own 2.40% of the company's stock.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Royal Bank Of Canada dropped their price target on shares of Rapid7 from $27.00 to $23.00 and set a "sector perform" rating on the stock in a research report on Friday, August 8th. Piper Sandler dropped their price target on shares of Rapid7 from $35.00 to $30.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 13th. Raymond James Financial dropped their price target on shares of Rapid7 from $40.00 to $30.00 and set an "outperform" rating on the stock in a research report on Friday, August 8th. UBS Group dropped their price target on shares of Rapid7 from $39.00 to $34.00 and set a "buy" rating on the stock in a research report on Friday, August 8th. Finally, DA Davidson reaffirmed an "underperform" rating and issued a $21.00 price target (down previously from $29.00) on shares of Rapid7 in a research report 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 issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $26.89.

Rapid7 Stock Performance

Shares of RPD stock traded down $0.19 during trading hours on Monday, hitting $20.71. 778,094 shares of the company were exchanged, compared to its average volume of 987,683. The company has a current ratio of 1.36, a quick ratio of 1.36 and a debt-to-equity ratio of 9.84. The stock has a market capitalization of $1.34 billion, a price-to-earnings ratio of 50.51 and a beta of 0.94. The firm has a fifty day simple moving average of $21.97 and a 200 day simple moving average of $24.46. Rapid7, Inc. has a 52-week low of $17.83 and a 52-week high of $44.48.

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

Rapid7 Profile

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.