Rapid7, Inc. (NASDAQ:RPD) Receives Consensus Rating of "Hold" from Analysts

Key Points

• Rapid7, Inc. has received a consensus rating of "Hold" from analysts, with one sell rating, fourteen hold ratings, four buy ratings, and one strong buy rating among twenty research firms.
• The average price target for Rapid7 stock over the past year is $26.56, with the stock opening at $19.34 recently, and a reported debt-to-equity ratio of 9.84.
• For its recent quarter, Rapid7 reported earnings per share of $0.58, surpassing estimates, and had a gross revenue increase of 3.0% year-over-year.

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

A number of equities analysts have recently issued reports on RPD shares. Zacks Research downgraded shares of Rapid7 from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, August 26th. Morgan Stanley decreased their price target on shares of Rapid7 from $28.00 to $22.00 and set an "equal weight" rating for the company in a report on Tuesday, September 2nd. Wall Street Zen raised shares of Rapid7 from a "hold" rating to a "buy" rating in a report on Sunday, August 3rd. Scotiabank dropped their price target on shares of Rapid7 from $29.00 to $20.00 and set a "sector perform" rating on the stock in a research report on Monday, August 11th. Finally, Mizuho dropped their target price on shares of Rapid7 from $27.00 to $25.00 and set a "neutral" rating on the stock in a research report on Friday, August 8th.

Rapid7 Stock Performance

Rapid7 stock opened at $19.34 on Friday. The company has a debt-to-equity ratio of 9.84, a current ratio of 1.36 and a quick ratio of 1.36. Rapid7 has a 1-year low of $17.83 and a 1-year high of $44.48. The firm has a market capitalization of $1.25 billion, a P/E ratio of 47.17 and a beta of 0.94. The company's 50-day moving average is $20.63 and its 200 day moving average is $23.11.

Rapid7 (NASDAQ:RPD - Get Free Report) last released 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 for the quarter, compared to the consensus estimate of $212.17 million. During the same period last year, the firm earned $0.58 earnings per share. The company's quarterly 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 forecast that Rapid7 will post 0.35 EPS for the current year.

Insider Transactions at Rapid7

In other Rapid7 news, 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 transaction of $27,742.50. Following the transaction, the chief accounting officer directly owned 27,592 shares of the company's stock, valued at $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 is accessible through the SEC website. Also, Director Jana Partners Management, Lp purchased 358,738 shares of Rapid7 stock in a transaction dated Monday, August 11th. The stock was bought at an average cost of $18.23 per share, for a total transaction of $6,539,793.74. Following the completion of the purchase, the director directly owned 6,105,148 shares in the company, valued at approximately $111,296,848.04. This trade represents a 6.24% increase in their position. The disclosure for this purchase can be found here. Insiders have purchased 772,194 shares of company stock worth $15,135,356 over the last 90 days. 2.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in RPD. New York State Teachers Retirement System acquired a new position in Rapid7 during the 1st quarter worth approximately $29,000. BI Asset Management Fondsmaeglerselskab A S purchased a new position in Rapid7 during the 1st quarter worth $38,000. Versant Capital Management Inc raised its position in 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 buying an additional 1,434 shares during the last quarter. Headlands Technologies LLC purchased a new position in shares of Rapid7 in the 2nd quarter valued at about $44,000. Finally, DekaBank Deutsche Girozentrale purchased a new position in shares of Rapid7 in the 1st quarter valued at about $74,000. Institutional investors and hedge funds own 95.66% of the company's stock.

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.

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