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

Rapid7, Inc. (NASDAQ:RPD) has received a consensus rating of “Reduce” from the twenty-two ratings firms that are currently covering the firm, Marketbeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, eighteen have assigned a hold recommendation and one has issued a buy recommendation on the company. The average 1 year price objective among brokerages that have updated their coverage on the stock in the last year is $8.7105.

Several equities research analysts have recently weighed in on the company. Barclays lowered their price objective on Rapid7 from $8.00 to $6.50 and set an “underweight” rating on the stock in a research note on Thursday, May 7th. William Blair lowered Rapid7 from an “outperform” rating to a “market perform” rating in a research note on Tuesday, April 28th. Weiss Ratings reiterated a “sell (d)” rating on shares of Rapid7 in a research report on Friday, March 27th. Mizuho dropped their price objective on Rapid7 from $12.00 to $8.00 and set a “neutral” rating for the company in a research note on Tuesday, April 14th. Finally, Stifel Nicolaus reduced their target price on shares of Rapid7 from $9.00 to $7.00 and set a “hold” rating on the stock in a research note on Wednesday, May 6th.

Rapid7 Price Performance

NASDAQ:RPD opened at $7.51 on Wednesday. The company has a debt-to-equity ratio of 1.69, a quick ratio of 0.78 and a current ratio of 0.78. The company has a 50-day moving average of $6.37 and a 200-day moving average of $9.75. Rapid7 has a 52 week low of $4.97 and a 52 week high of $25.85. The company has a market capitalization of $501.90 million, a price-to-earnings ratio of 21.46 and a beta of 1.03.

Rapid7 (NASDAQ:RPD) last posted its earnings results on Tuesday, May 5th. The technology company reported $0.36 earnings per share for the quarter, beating analysts’ consensus estimates of $0.30 by $0.06. Rapid7 had a net margin of 2.61% and a return on equity of 34.35%. The business had revenue of $209.69 million for the quarter, compared to analysts’ expectations of $207.94 million. During the same quarter in the previous year, the firm posted $0.49 earnings per share. The firm’s revenue for the quarter was down .3% on a year-over-year basis. Rapid7 has set its FY 2026 guidance at 1.520-1.600 EPS and its Q2 2026 guidance at 0.330-0.360 EPS. As a group, equities research analysts anticipate that Rapid7 will post 0.63 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Rapid7

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RPD. Prudential Financial Inc. increased its holdings in shares of Rapid7 by 8.8% during the second quarter. Prudential Financial Inc. now owns 8,513 shares of the technology company’s stock worth $197,000 after buying an additional 690 shares in the last quarter. Wealth Enhancement Advisory Services LLC boosted its holdings in shares of Rapid7 by 6.3% in the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 12,427 shares of the technology company’s stock worth $221,000 after acquiring an additional 732 shares in the last quarter. CI Investments Inc. grew its position 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 acquiring an additional 744 shares during the last quarter. Y.D. More Investments Ltd grew its position in Rapid7 by 10.8% during the 3rd quarter. Y.D. More Investments Ltd now owns 9,625 shares of the technology company’s stock worth $187,000 after acquiring an additional 939 shares during the last quarter. Finally, Parallel Advisors LLC increased its holdings in Rapid7 by 81.6% during the 4th quarter. Parallel Advisors LLC now owns 3,036 shares of the technology company’s stock valued at $46,000 after purchasing an additional 1,364 shares in the last quarter. 95.66% of the stock is currently owned by institutional investors and hedge funds.

Rapid7 Company Profile

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.