Rapid7's (RPD) Underperform Rating Reiterated at DA Davidson

Rapid7 (NASDAQ:RPD - Get Free Report)'s stock had its "underperform" rating reaffirmed by research analysts at DA Davidson in a report released on Tuesday, MarketBeat Ratings reports. They currently have a $21.00 target price on the technology company's stock, down from their prior target price of $29.00. DA Davidson's price target indicates a potential downside of 11.47% from the company's current price. DA Davidson also issued estimates for Rapid7's Q2 2025 earnings at $0.08 EPS, FY2025 earnings at $0.41 EPS and FY2026 earnings at $0.36 EPS.

Several other research firms also recently weighed in on RPD. JPMorgan Chase & Co. dropped their price objective on Rapid7 from $36.00 to $29.00 and set a "neutral" rating for the company in a research note on Monday, May 12th. Stifel Nicolaus reduced their target price on Rapid7 from $42.00 to $38.00 and set a "hold" rating on the stock in a research note on Thursday, February 13th. Raymond James dropped their price target on Rapid7 from $55.00 to $45.00 and set an "outperform" rating for the company in a research report on Thursday, February 13th. Truist Financial decreased their price objective on Rapid7 from $38.00 to $35.00 and set a "hold" rating on the stock in a research note on Thursday, February 13th. Finally, Jefferies Financial Group cut their target price on shares of Rapid7 from $45.00 to $35.00 and set a "buy" rating for the company in a research note on Monday, March 31st. One investment analyst has rated the stock with a sell rating, fourteen have given a hold rating, six have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, Rapid7 has an average rating of "Hold" and a consensus target price of $33.32.

Rapid7 Trading Up 0.7%

Shares of NASDAQ:RPD traded up $0.17 on Tuesday, reaching $23.72. 831,416 shares of the company were exchanged, compared to its average volume of 855,003. Rapid7 has a 1-year low of $21.61 and a 1-year high of $44.48. The firm has a market cap of $1.52 billion, a price-to-earnings ratio of 60.82 and a beta of 1.06. The company has a 50-day moving average of $25.24 and a 200-day moving average of $33.78.

Rapid7 (NASDAQ:RPD - Get Free Report) last released its quarterly earnings data on Monday, May 12th. The technology company reported $0.49 EPS for the quarter, topping analysts' consensus estimates of $0.37 by $0.12. Rapid7 had a net margin of 3.46% and a negative return on equity of 130.41%. The firm had revenue of $210.25 million for the quarter, compared to the consensus estimate of $208.25 million. During the same quarter in the previous year, the firm earned $0.55 earnings per share. The firm's revenue was up 2.5% on a year-over-year basis. As a group, analysts forecast that Rapid7 will post 0.35 earnings per share for the current year.

Insider Activity at Rapid7

In other news, insider Christina Luconi sold 12,551 shares of the stock in a transaction on Monday, April 7th. The shares were sold at an average price of $23.12, for a total value of $290,179.12. Following the completion of the sale, the insider now owns 58,165 shares of the company's stock, valued at $1,344,774.80. This represents a 17.75% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 2.60% of the stock is owned by insiders.

Institutional Trading of Rapid7

Large investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its stake in shares of Rapid7 by 0.7% during the fourth quarter. Vanguard Group Inc. now owns 8,618,480 shares of the technology company's stock worth $346,721,000 after purchasing an additional 60,095 shares in the last quarter. JANA Partners Management LP lifted its position in Rapid7 by 0.9% during the 4th quarter. JANA Partners Management LP now owns 3,690,129 shares of the technology company's stock worth $148,454,000 after acquiring an additional 34,589 shares in the last quarter. Penserra Capital Management LLC boosted its holdings in Rapid7 by 95.8% in the 1st quarter. Penserra Capital Management LLC now owns 1,880,084 shares of the technology company's stock worth $49,841,000 after acquiring an additional 919,955 shares during the period. Shapiro Capital Management LLC grew its position in Rapid7 by 295.9% in the fourth quarter. Shapiro Capital Management LLC now owns 1,290,945 shares of the technology company's stock valued at $51,935,000 after acquiring an additional 964,899 shares in the last quarter. Finally, First Trust Advisors LP raised its stake in shares of Rapid7 by 6.8% during the fourth quarter. First Trust Advisors LP now owns 1,255,731 shares of the technology company's stock valued at $50,518,000 after purchasing an additional 79,836 shares during the period. 95.66% of the stock is currently 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.