Scotiabank Has Positive Estimate for Rapid7 FY2026 Earnings

Key Points

• Scotiabank raised its FY2026 EPS estimate for Rapid7 to $0.61 (from $0.60) and maintains a "Sector Perform" rating with a $7.00 price target.
• Rapid7 beat Q1 estimates, reporting $0.36 EPS vs. $0.30 consensus and $209.69M in revenue, and issued FY2026 guidance of $1.52–$1.60 EPS (Q2 guidance $0.33–$0.36).
• Overall analyst sentiment is cautious: multiple recent price-target cuts leave a MarketBeat consensus rating of "Reduce" with a $9.39 target, while the stock trades near $6.71 (52‑week range $4.97–$27.10) and a market cap of about $448M.

Rapid7, Inc. (NASDAQ:RPD - Free Report) - Analysts at Scotiabank boosted their FY2026 EPS estimates for shares of Rapid7 in a research report issued on Wednesday, May 6th. Scotiabank analyst P. Colville now forecasts that the technology company will earn $0.61 per share for the year, up from their prior estimate of $0.60. Scotiabank has a "Sector Perform" rating and a $7.00 price target on the stock. The consensus estimate for Rapid7's current full-year earnings is $0.55 per share.

A number of other research firms have also recently commented on RPD. Stephens cut their price target on shares of Rapid7 from $19.00 to $12.00 and set an "equal weight" rating for the company in a research note on Wednesday, February 11th. Citigroup cut their price target on shares of Rapid7 from $15.00 to $11.50 and set a "neutral" rating for the company in a research note on Thursday, February 12th. Jefferies Financial Group set a $9.00 price target on shares of Rapid7 in a research note on Wednesday, February 11th. Zacks Research cut shares of Rapid7 from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, January 27th. Finally, Barclays cut their price target on shares of Rapid7 from $8.00 to $6.50 and set an "underweight" rating for the company in a research note on Thursday. Two research analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Reduce" and a consensus target price of $9.39.

Rapid7 Price Performance

RPD stock opened at $6.71 on Friday. The company has a debt-to-equity ratio of 1.69, a current ratio of 0.78 and a quick ratio of 1.28. Rapid7 has a one year low of $4.97 and a one year high of $27.10. The stock has a market cap of $448.04 million, a PE ratio of 19.17 and a beta of 0.89. The firm has a 50 day simple moving average of $6.05 and a two-hundred day simple moving average of $11.16.

Rapid7 (NASDAQ:RPD - Get Free Report) last posted its earnings results on Tuesday, May 5th. The technology company reported $0.36 earnings per share for the quarter, topping analysts' consensus estimates of $0.30 by $0.06. The business had revenue of $209.69 million for the quarter, compared to analyst estimates of $207.94 million. Rapid7 had a net margin of 2.61% and a return on equity of 34.35%. Rapid7's revenue was down .3% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.49 EPS. Rapid7 has set its FY 2026 guidance at 1.520-1.600 EPS and its Q2 2026 guidance at 0.330-0.360 EPS.

Institutional Investors Weigh In On Rapid7

A number of institutional investors have recently made changes to their positions in RPD. Royal Bank of Canada boosted its stake in shares of Rapid7 by 26.8% in the 1st quarter. Royal Bank of Canada now owns 326,910 shares of the technology company's stock valued at $8,667,000 after purchasing an additional 69,122 shares in the last quarter. AQR Capital Management LLC bought a new stake in Rapid7 during the 1st quarter valued at $424,000. Woodline Partners LP raised its holdings in Rapid7 by 48.0% during the 1st quarter. Woodline Partners LP now owns 86,712 shares of the technology company's stock valued at $2,299,000 after buying an additional 28,115 shares during the last quarter. Prudential Financial Inc. raised its holdings in Rapid7 by 8.8% during the 2nd quarter. Prudential Financial Inc. now owns 8,513 shares of the technology company's stock valued at $197,000 after buying an additional 690 shares during the last quarter. Finally, Invesco Ltd. raised its holdings in Rapid7 by 27.2% during the 2nd quarter. Invesco Ltd. now owns 62,786 shares of the technology company's stock valued at $1,452,000 after buying an additional 13,418 shares during the last quarter. Hedge funds and other institutional investors own 95.66% of the company's stock.

About Rapid7

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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