Rapid7 (NASDAQ:RPD) Shares Gap Down After Analyst Downgrade

Rapid7, Inc. (NASDAQ:RPD - Get Free Report)'s stock price gapped down before the market opened on Tuesday after Canaccord Genuity Group lowered their price target on the stock from $43.00 to $39.00. The stock had previously closed at $26.74, but opened at $25.17. Canaccord Genuity Group currently has a hold rating on the stock. Rapid7 shares last traded at $24.80, with a volume of 143,711 shares trading hands.

Several other equities research analysts also recently commented on RPD. Susquehanna dropped their target price on Rapid7 from $40.00 to $30.00 and set a "neutral" rating on the stock in a report on Tuesday, May 13th. Piper Sandler lowered their price objective on Rapid7 from $35.00 to $30.00 and set a "neutral" rating for the company in a research note on Tuesday, May 13th. Morgan Stanley raised their price objective on Rapid7 from $26.00 to $28.00 and gave the company an "equal weight" rating in a research note on Tuesday, May 13th. Truist Financial lowered their price objective on Rapid7 from $38.00 to $35.00 and set a "hold" rating for the company in a research note on Thursday, February 13th. Finally, UBS Group lowered their price objective on Rapid7 from $52.00 to $45.00 and set a "buy" rating for the company in a research note on Thursday, February 13th. One investment analyst has rated the stock with a sell rating, fourteen have given a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $33.32.

Insider Transactions at Rapid7

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

Institutional Investors Weigh In On Rapid7

Institutional investors and hedge funds have recently modified their holdings of the stock. New York State Teachers Retirement System acquired a new position in Rapid7 during the first quarter valued at $29,000. BI Asset Management Fondsmaeglerselskab A S acquired a new position in Rapid7 during the first quarter valued at $38,000. Versant Capital Management Inc raised its position in Rapid7 by 5,311.1% during the first quarter. Versant Capital Management Inc now owns 1,461 shares of the technology company's stock valued at $39,000 after buying an additional 1,434 shares during the period. Skandinaviska Enskilda Banken AB publ grew its stake in Rapid7 by 68.8% in the fourth quarter. Skandinaviska Enskilda Banken AB publ now owns 1,116 shares of the technology company's stock valued at $46,000 after purchasing an additional 455 shares in the last quarter. Finally, Pacer Advisors Inc. grew its stake in Rapid7 by 30.4% in the fourth quarter. Pacer Advisors Inc. now owns 1,487 shares of the technology company's stock valued at $60,000 after purchasing an additional 347 shares in the last quarter. 95.66% of the stock is owned by institutional investors and hedge funds.

Rapid7 Price Performance

The business has a 50 day simple moving average of $25.24 and a 200 day simple moving average of $33.78. The stock has a market cap of $1.52 billion, a PE ratio of 60.82 and a beta of 1.06.

Rapid7 (NASDAQ:RPD - Get Free Report) last issued its earnings results on Monday, May 12th. The technology company reported $0.49 EPS for the quarter, beating analysts' consensus estimates of $0.37 by $0.12. Rapid7 had a negative return on equity of 130.41% and a net margin of 3.46%. 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 company posted $0.55 earnings per share. The business's quarterly revenue was up 2.5% compared to the same quarter last year. As a group, sell-side analysts forecast that Rapid7, Inc. will post 0.35 earnings per share for the current fiscal year.

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.