Rapid7, Inc. (NASDAQ:RPD) Receives Consensus Recommendation of "Reduce" from Analysts

Key Points

• Analysts have issued a consensus "Reduce" rating on Rapid7 from 22 brokerages (3 sell, 17 hold, 2 buy), with an average 12‑month target of about $12.53.
• Multiple firms have cut price targets recently (e.g., RBC to $12, DA Davidson to $6.50, UBS $9, Morgan Stanley $10, Stephens $12), signaling weakening analyst sentiment.
• Shares opened at $6.31 with a market cap of roughly $416M and a 52‑week range of $5.92–$30.95; Rapid7 slightly beat the quarter with $0.44 EPS vs. $0.40 expected and $217.4M revenue, and provided FY2026 EPS guidance of 1.50–1.60.

Shares of Rapid7, Inc. (NASDAQ:RPD - Get Free Report) have been given an average recommendation of "Reduce" by the twenty-two brokerages that are covering the company, Marketbeat Ratings reports. Three investment analysts have rated the stock with a sell rating, seventeen have issued a hold rating and two have assigned a buy rating to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $12.5263.

Several equities research analysts recently weighed in on RPD shares. Royal Bank Of Canada decreased their price target on Rapid7 from $16.00 to $12.00 and set a "sector perform" rating for the company in a report on Wednesday, February 11th. DA Davidson dropped their price objective on shares of Rapid7 from $14.00 to $6.50 and set an "underperform" rating on the stock in a research note on Wednesday, February 11th. UBS Group restated a "neutral" rating and set a $9.00 price objective on shares of Rapid7 in a research report on Wednesday, February 11th. Morgan Stanley set a $10.00 target price on shares of Rapid7 in a research note on Thursday, February 12th. Finally, Stephens lowered their target price on shares of Rapid7 from $19.00 to $12.00 and set an "equal weight" rating on the stock in a report on Wednesday, February 11th.

Rapid7 Stock Performance

NASDAQ RPD opened at $6.31 on Friday. The firm has a market cap of $415.77 million, a P/E ratio of 17.53 and a beta of 0.88. Rapid7 has a 52-week low of $5.92 and a 52-week high of $30.95. The business's 50-day moving average price is $9.25 and its 200 day moving average price is $14.38. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 5.77.

Rapid7 (NASDAQ:RPD - Get Free Report) last posted its quarterly earnings data on Tuesday, February 10th. The technology company reported $0.44 earnings per share for the quarter, topping analysts' consensus estimates of $0.40 by $0.04. Rapid7 had a return on equity of 47.33% and a net margin of 2.72%.The company had revenue of $217.39 million during the quarter, compared to analysts' expectations of $215.17 million. During the same period last year, the firm earned $0.48 EPS. The firm's revenue for the quarter was up .5% on a year-over-year basis. Rapid7 has set its FY 2026 guidance at 1.500-1.600 EPS and its Q1 2026 guidance at 0.290-0.320 EPS. On average, equities research analysts expect that Rapid7 will post 0.35 earnings per share for the current year.

Institutional Investors Weigh In On Rapid7

A number of institutional investors have recently added to or reduced their stakes in the business. Prudential Financial Inc. raised its stake in shares of Rapid7 by 8.8% during the 2nd quarter. Prudential Financial Inc. now owns 8,513 shares of the technology company's stock worth $197,000 after buying an additional 690 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its holdings in shares of Rapid7 by 6.3% in the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 12,427 shares of the technology company's stock valued at $221,000 after buying an additional 732 shares during the period. CI Investments Inc. boosted its stake in shares of Rapid7 by 48.4% in the third quarter. CI Investments Inc. now owns 2,281 shares of the technology company's stock valued at $43,000 after buying an additional 744 shares in the last quarter. Y.D. More Investments Ltd boosted its stake in shares of Rapid7 by 10.8% in the third quarter. Y.D. More Investments Ltd now owns 9,625 shares of the technology company's stock valued at $187,000 after buying an additional 939 shares in the last quarter. Finally, Police & Firemen s Retirement System of New Jersey grew its holdings in Rapid7 by 8.1% during the second quarter. Police & Firemen s Retirement System of New Jersey now owns 14,253 shares of the technology company's stock worth $330,000 after acquiring an additional 1,074 shares during the period. Hedge funds and other institutional investors own 95.66% of the company's stock.

Rapid7 Company Profile

Rapid7, Inc is a publicly traded cybersecurity company headquartered in Boston, Massachusetts. Since its founding in 2000, the company has specialized in delivering cloud-based security data and analytics solutions designed to help organizations detect, investigate, and remediate cyber threats. Rapid7 operates under the NASDAQ symbol “RPD” and serves a broad range of industries, including technology, financial services, healthcare, retail, and the public sector.

The core of Rapid7's offering is its Insight platform, a unified, cloud-native security operations and analytics suite.

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