Rapid7, Inc. (NASDAQ:RPD) Receives $26.89 Consensus Target Price from Brokerages

Key Points

• Rapid7, Inc. has received an average recommendation of "Hold" from 20 research firms, with 14 hold ratings, 4 buy ratings, and 1 strong buy rating.
• The average 12-month price target for Rapid7 among analysts is approximately $26.89, indicating varying expectations for the stock's performance.
• In its latest quarterly earnings report, Rapid7 reported $0.58 earnings per share, exceeding estimates, with a revenue increase of 3.0% year-over-year.

Rapid7, Inc. (NASDAQ:RPD - Get Free Report) has been assigned an average rating of "Hold" from the twenty brokerages that are currently covering the stock, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, fourteen have given a hold rating, four have issued a buy rating and one has assigned a strong buy rating to the company. The average 1 year target price among brokers that have issued a report on the stock in the last year is $26.5556.

A number of analysts have recently commented on RPD shares. Scotiabank cut their target price on shares of Rapid7 from $29.00 to $20.00 and set a "sector perform" rating for the company in a research note on Monday, August 11th. Susquehanna reduced their price objective on shares of Rapid7 from $30.00 to $18.00 and set a "neutral" rating on the stock in a research note on Monday, August 11th. DA Davidson reaffirmed an "underperform" rating and set a $21.00 price target (down previously from $29.00) on shares of Rapid7 in a research note on Tuesday, May 13th. Royal Bank Of Canada reduced their target price on shares of Rapid7 from $27.00 to $23.00 and set a "sector perform" rating for the company in a research note 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 on the stock in a report on Tuesday, May 13th.

Rapid7 Stock Up 1.7%

Shares of RPD stock traded up $0.34 during trading hours on Monday, hitting $20.18. 36,430 shares of the company's stock traded hands, compared to its average volume of 857,102. The stock has a market cap of $1.31 billion, a price-to-earnings ratio of 49.22 and a beta of 0.94. 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's fifty day simple moving average is $21.73 and its two-hundred day simple moving average is $24.19. Rapid7 has a 12-month low of $17.83 and a 12-month high of $44.48.

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 (EPS) for the quarter, beating analysts' consensus estimates of $0.44 by $0.14. Rapid7 had a net margin of 3.41% and a return on equity of 149.12%. The firm had revenue of $214.19 million during the quarter, compared to the consensus estimate of $212.17 million. During the same quarter in the previous year, the firm posted $0.58 EPS. The company's revenue for the quarter was up 3.0% compared to the same quarter last year. 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 expect that Rapid7 will post 0.35 EPS for the current year.

Insider Activity

In related news, CAO Scott M. Murphy sold 1,370 shares of the business's stock in a transaction that occurred 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 owned 27,592 shares in the company, valued at approximately $558,738. The trade was a 4.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jana Partners Management, Lp bought 358,738 shares of Rapid7 stock in a transaction that occurred on Monday, August 11th. The shares were acquired at an average price of $18.23 per share, with a total value of $6,539,793.74. Following the acquisition, the director directly owned 6,105,148 shares of the company's stock, 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 purchased a total of 772,194 shares of company stock valued at $15,135,356 over the last three months. 2.40% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Penserra Capital Management LLC boosted its stake in Rapid7 by 45.3% during the second quarter. Penserra Capital Management LLC now owns 2,731,192 shares of the technology company's stock worth $63,172,000 after acquiring an additional 851,108 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in Rapid7 by 112.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,286,300 shares of the technology company's stock worth $60,610,000 after buying an additional 1,209,856 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of Rapid7 by 114.9% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,136,438 shares of the technology company's stock valued at $49,409,000 after purchasing an additional 1,142,148 shares during the last quarter. First Trust Advisors LP boosted its holdings in shares of Rapid7 by 4.6% during the second quarter. First Trust Advisors LP now owns 1,543,770 shares of the technology company's stock worth $35,707,000 after purchasing an additional 67,801 shares during the period. Finally, Geode Capital Management LLC boosted its stake in shares of Rapid7 by 1.7% during the 2nd quarter. Geode Capital Management LLC now owns 1,538,756 shares of the technology company's stock valued at $35,596,000 after purchasing an additional 25,546 shares in the last quarter. 95.66% of the stock is owned by institutional investors and hedge funds.

Rapid7 Company 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.