Rapid7, Inc. (NASDAQ:RPD) Receives Average Rating of “Reduce” from Analysts

Rapid7, Inc. (NASDAQ:RPD) has earned an average rating of “Reduce” from the twenty-two brokerages that are presently covering the firm, Marketbeat Ratings reports. Three analysts have rated the stock with a sell rating, seventeen have assigned a hold rating and two have given a buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $12.5263.

A number of brokerages recently weighed in on RPD. Berenberg Bank assumed coverage on shares of Rapid7 in a report on Tuesday, November 18th. They set a “hold” rating and a $16.00 target price on the stock. Stephens decreased their price objective on shares of Rapid7 from $19.00 to $12.00 and set an “equal weight” rating for the company in a research report on Wednesday, February 11th. Morgan Stanley set a $10.00 target price on shares of Rapid7 in a report on Thursday, February 12th. Needham & Company LLC reiterated a “hold” rating on shares of Rapid7 in a research note on Wednesday, February 11th. Finally, Zacks Research downgraded Rapid7 from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, January 27th.

Insider Buying and Selling

In related news, Director Jana Partners Management, Lp acquired 41,545 shares of the firm’s stock in a transaction on Friday, November 28th. The shares were purchased at an average cost of $15.71 per share, for a total transaction of $652,671.95. Following the completion of the acquisition, the director directly owned 6,760,149 shares in the company, valued at approximately $106,201,940.79. This trade represents a 0.62% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Thomas E. Schodorf acquired 6,300 shares of the company’s stock in a transaction dated Wednesday, November 26th. The stock was bought at an average cost of $15.70 per share, for a total transaction of $98,910.00. Following the completion of the transaction, the director directly owned 34,440 shares of the company’s stock, valued at approximately $540,708. This trade represents a 22.39% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last three months, insiders have acquired 50,845 shares of company stock valued at $797,212. 2.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of RPD. Sound Income Strategies LLC bought a new stake in shares of Rapid7 during the fourth quarter worth approximately $40,000. CI Investments Inc. lifted its holdings in Rapid7 by 48.4% during the 3rd quarter. CI Investments Inc. now owns 2,281 shares of the technology company’s stock worth $43,000 after purchasing an additional 744 shares during the last quarter. Abich Financial Wealth Management LLC acquired a new stake in Rapid7 during the 3rd quarter worth approximately $44,000. Headlands Technologies LLC bought a new stake in Rapid7 in the 2nd quarter valued at $44,000. Finally, Parallel Advisors LLC grew its holdings in Rapid7 by 81.6% in the 4th quarter. Parallel Advisors LLC now owns 3,036 shares of the technology company’s stock valued at $46,000 after buying an additional 1,364 shares in the last quarter. 95.66% of the stock is owned by institutional investors.

Rapid7 Trading Down 7.3%

NASDAQ:RPD opened at $6.57 on Monday. The company has a market cap of $432.90 million, a P/E ratio of 18.25 and a beta of 0.79. Rapid7 has a twelve month low of $6.56 and a twelve month high of $33.24. The business has a 50 day moving average price of $12.54 and a two-hundred day moving average price of $16.15. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 5.77.

Rapid7 (NASDAQ:RPD) last announced its quarterly earnings data on Tuesday, February 10th. The technology company reported $0.44 EPS for the quarter, topping analysts’ consensus estimates of $0.40 by $0.04. The business had revenue of $217.39 million for the quarter, compared to analyst estimates of $215.17 million. Rapid7 had a net margin of 2.72% and a return on equity of 47.33%. The firm’s revenue for the quarter was up .5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.48 earnings per share. Rapid7 has set its FY 2026 guidance at 1.500-1.600 EPS and its Q1 2026 guidance at 0.290-0.320 EPS. As a group, analysts expect that Rapid7 will post 0.35 EPS for the current fiscal year.

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.