Rapid7 (NASDAQ:RPD) Downgraded to “Hold” Rating by Wall Street Zen

Rapid7 (NASDAQ:RPD) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a note issued to investors on Saturday.

RPD has been the subject of a number of other reports. Weiss Ratings reissued a “sell (d+)” rating on shares of Rapid7 in a research note on Wednesday. Zacks Research raised Rapid7 from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, October 14th. Truist Financial cut their price target on shares of Rapid7 from $22.00 to $18.00 and set a “hold” rating on the stock in a research report on Wednesday. UBS Group decreased their target price on shares of Rapid7 from $34.00 to $29.00 and set a “buy” rating for the company in a research note on Tuesday, October 21st. Finally, Morgan Stanley lowered their price target on Rapid7 from $28.00 to $22.00 and set an “equal weight” rating on the stock in a research report on Tuesday, September 2nd. Two research analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, thirteen have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $22.78.

Rapid7 Trading Down 1.4%

Rapid7 stock opened at $14.20 on Friday. Rapid7 has a 12 month low of $13.97 and a 12 month high of $44.48. The company has a quick ratio of 1.36, a current ratio of 1.36 and a debt-to-equity ratio of 9.84. The business has a 50 day moving average price of $18.90 and a two-hundred day moving average price of $21.43. The stock has a market cap of $919.39 million, a price-to-earnings ratio of 34.63 and a beta of 0.94.

Rapid7 (NASDAQ:RPD) last issued its earnings results on Tuesday, November 4th. The technology company reported $0.57 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.45 by $0.12. Rapid7 had a return on equity of 149.12% and a net margin of 3.41%.The business had revenue of $217.96 million during the quarter, compared to analysts’ expectations of $216.14 million. During the same period in the prior year, the firm posted $0.66 EPS. Rapid7’s quarterly revenue was up 1.5% compared to the same quarter last year. Rapid7 has set its FY 2025 guidance at 2.020-2.090 EPS. Q4 2025 guidance at 0.370-0.44 EPS. As a group, equities analysts forecast that Rapid7 will post 0.35 EPS for the current year.

Insider Activity

In other Rapid7 news, CAO Scott M. Murphy sold 1,370 shares of the firm’s stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $20.25, for a total value of $27,742.50. Following the completion of the transaction, the chief accounting officer directly owned 27,592 shares of the company’s stock, valued at $558,738. This trade represents a 4.73% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jana Partners Management, Lp purchased 250,000 shares of the company’s stock in a transaction dated Wednesday, August 13th. The shares were acquired at an average price of $21.26 per share, with a total value of $5,315,000.00. Following the transaction, the director owned 6,518,604 shares in the company, valued at approximately $138,585,521.04. The trade was a 3.99% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders have bought 772,194 shares of company stock valued at $15,135,356. 2.40% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Rapid7

Institutional investors have recently modified their holdings of the company. New York State Teachers Retirement System bought a new position in Rapid7 during the first quarter valued at approximately $29,000. Teacher Retirement System of Texas lifted its stake in shares of Rapid7 by 24.1% in the 1st quarter. Teacher Retirement System of Texas now owns 54,091 shares of the technology company’s stock valued at $1,434,000 after purchasing an additional 10,487 shares during the period. Principal Financial Group Inc. grew its position in shares of Rapid7 by 1.1% in the 1st quarter. Principal Financial Group Inc. now owns 54,915 shares of the technology company’s stock worth $1,456,000 after buying an additional 609 shares during the period. DekaBank Deutsche Girozentrale bought a new position in shares of Rapid7 during the first quarter valued at approximately $74,000. Finally, Victory Capital Management Inc. increased its position in Rapid7 by 20.3% during the 1st quarter. Victory Capital Management Inc. now owns 21,040 shares of the technology company’s stock valued at $558,000 after buying an additional 3,554 shares in the last quarter. 95.66% of the stock is currently owned by institutional investors.

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.