Rapid7 (NASDAQ:RPD) Trading 9.5% Higher – Time to Buy?

Rapid7, Inc. (NASDAQ:RPD) traded up 9.5% during mid-day trading on Friday . The stock traded as high as $8.05 and last traded at $8.1460. 972,295 shares were traded during mid-day trading, a decline of 50% from the average session volume of 1,948,723 shares. The stock had previously closed at $7.44.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on the company. Barclays dropped their price target on Rapid7 from $8.00 to $6.50 and set an “underweight” rating on the stock in a report on Thursday, May 7th. Stephens dropped their price target on Rapid7 from $19.00 to $12.00 and set an “equal weight” rating on the stock in a report on Wednesday, February 11th. William Blair cut Rapid7 from an “outperform” rating to a “market perform” rating in a report on Tuesday, April 28th. Raymond James Financial set a $8.00 price target on Rapid7 in a report on Wednesday, May 6th. Finally, Truist Financial dropped their price target on Rapid7 from $8.00 to $6.00 and set a “hold” rating on the stock in a report on Friday, April 24th. Two research analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus target price of $8.71.

Rapid7 Stock Performance

The firm’s 50 day simple moving average is $6.17 and its 200-day simple moving average is $9.99. 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 market capitalization of $560.04 million, a price-to-earnings ratio of 23.94 and a beta of 0.89.

Rapid7 (NASDAQ:RPD) last announced its earnings results on Tuesday, May 5th. The technology company reported $0.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.30 by $0.06. Rapid7 had a net margin of 2.61% and a return on equity of 34.35%. The company had revenue of $209.69 million for the quarter, compared to the consensus estimate of $207.94 million. During the same period in the previous year, the business earned $0.49 EPS. The company’s revenue 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. Analysts expect that Rapid7, Inc. will post 0.63 EPS for the current year.

Institutional Trading of Rapid7

Large investors have recently added to or reduced their stakes in the company. Headlands Technologies LLC acquired a new stake in Rapid7 during the 2nd quarter valued at $44,000. CI Investments Inc. raised its stake in Rapid7 by 48.4% during the 3rd quarter. CI Investments Inc. now owns 2,281 shares of the technology company’s stock valued at $43,000 after purchasing an additional 744 shares during the period. Abich Financial Wealth Management LLC acquired a new stake in Rapid7 during the 3rd quarter valued at $44,000. Sound Income Strategies LLC acquired a new stake in Rapid7 during the 4th quarter valued at $40,000. Finally, Parallel Advisors LLC raised its stake 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 during the period. 95.66% of the stock is 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.