Rapid7 (NASDAQ:RPD) Issues Q3 2025 Earnings Guidance

Key Points

• Rapid7 has updated its Q3 2025 earnings guidance, projecting earnings per share between $0.440 and $0.470, slightly above the consensus estimate of $0.458, and revenue guidance of $215.0 million to $217.0 million.
• Institutional investors now hold 95.66% of Rapid7's stock, with Royal Bank of Canada and Woodline Partners significantly increasing their positions in the company.
• Despite a recent trading drop of 0.9%, Rapid7's stock has shown resilience, with a market cap of $1.27 billion and a 52-week trading range between $19.21 and $44.48.

Rapid7 (NASDAQ:RPD - Get Free Report) updated its third quarter 2025 earnings guidance on Thursday. The company provided earnings per share guidance of 0.440-0.470 for the period, compared to the consensus earnings per share estimate of 0.458. The company issued revenue guidance of $215.0 million-$217.0 million, compared to the consensus revenue estimate of $216.8 million. Rapid7 also updated its FY 2025 guidance to 1.900-2.030 EPS.

Analysts Set New Price Targets

Several analysts recently commented on the stock. Susquehanna reduced their price objective on shares of Rapid7 from $30.00 to $18.00 and set a "neutral" rating for the company in a research note on Monday. Scotiabank dropped their target price on shares of Rapid7 from $38.00 to $29.00 and set a "sector perform" rating for the company in a report on Tuesday, May 13th. Piper Sandler dropped their target price on shares of Rapid7 from $35.00 to $30.00 and set a "neutral" rating for the company in a report on Tuesday, May 13th. Jefferies Financial Group set a $27.00 target price on shares of Rapid7 and gave the company a "buy" rating in a report on Friday. Finally, Robert W. Baird raised their target price on shares of Rapid7 from $26.00 to $28.00 and gave the company a "neutral" rating in a report on Tuesday, May 13th. One investment analyst has rated the stock with a sell rating, thirteen have given a hold rating, five have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $28.56.

Rapid7 Trading Up 1.6%

Shares of RPD traded up $0.29 during mid-day trading on Monday, hitting $18.17. The company had a trading volume of 478,931 shares, compared to its average volume of 854,343. The business's 50-day simple moving average is $22.87 and its 200-day simple moving average is $26.31. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 16.87. Rapid7 has a 1-year low of $17.83 and a 1-year high of $44.48. The stock has a market cap of $1.17 billion, a PE ratio of 44.36 and a beta of 0.96.

Rapid7 (NASDAQ:RPD - Get Free Report) last released its earnings results on Thursday, August 7th. The technology company reported $0.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.14. Rapid7 had a net margin of 3.41% and a return on equity of 269.59%. The business had revenue of $214.19 million for the quarter, compared to analysts' expectations of $212.17 million. During the same period last year, the company earned $0.58 earnings per share. The company's quarterly revenue was up 3.0% on a year-over-year basis. Sell-side analysts forecast that Rapid7 will post 0.35 earnings per share for the current year.

Institutional Investors Weigh In On Rapid7

Several hedge funds have recently modified their holdings of the stock. Woodline Partners LP boosted its position in shares of Rapid7 by 48.0% in the first quarter. Woodline Partners LP now owns 86,712 shares of the technology company's stock worth $2,299,000 after acquiring an additional 28,115 shares during the last quarter. AQR Capital Management LLC acquired a new position in Rapid7 during the first quarter valued at approximately $424,000. Finally, Royal Bank of Canada lifted its position in Rapid7 by 26.8% during the first quarter. Royal Bank of Canada now owns 326,910 shares of the technology company's stock valued at $8,667,000 after buying an additional 69,122 shares in the last quarter. 95.66% of the stock is owned by institutional investors and hedge funds.

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.