Wall Street Zen Upgrades Rapid7 (NASDAQ:RPD) to “Buy”

Rapid7 (NASDAQ:RPD) was upgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a report issued on Saturday.

Several other research firms have also recently commented on RPD. Jefferies Financial Group set a $9.00 price target on shares of Rapid7 in a research note on Wednesday, February 11th. Barclays dropped their price objective on shares of Rapid7 from $15.00 to $8.00 and set an “underweight” rating for the company in a research report on Thursday, February 12th. Stifel Nicolaus reduced their price objective on Rapid7 from $18.00 to $9.00 and set a “hold” rating on the stock in a report on Wednesday, February 11th. Mizuho decreased their price objective on Rapid7 from $16.00 to $12.00 and set a “neutral” rating on the stock in a research report on Wednesday, February 11th. Finally, Needham & Company LLC reissued a “hold” rating on shares of Rapid7 in a research note on Wednesday, February 11th. Two analysts have rated the stock with a Buy rating, seventeen have assigned a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Rapid7 has an average rating of “Reduce” and an average price target of $12.53.

Rapid7 Price Performance

Shares of RPD stock opened at $6.31 on Friday. The stock’s fifty day moving average is $9.10 and its 200-day moving average is $14.20. The company has a debt-to-equity ratio of 5.77, a quick ratio of 1.28 and a current ratio of 1.28. The stock has a market capitalization of $415.77 million, a PE ratio of 17.53 and a beta of 0.89. Rapid7 has a 52 week low of $5.92 and a 52 week high of $30.95.

Rapid7 (NASDAQ:RPD) last released its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.44 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.40 by $0.04. The business had revenue of $217.39 million during the quarter, compared to analysts’ expectations of $215.17 million. Rapid7 had a return on equity of 47.33% and a net margin of 2.72%.The firm’s revenue for the quarter was up .5% compared to the same quarter last year. During the same period in the previous year, the business 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. Equities research analysts expect that Rapid7 will post 0.35 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in shares of Rapid7 by 114.9% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,136,438 shares of the technology company’s stock worth $49,409,000 after purchasing an additional 1,142,148 shares during the period. LSV Asset Management acquired a new position in shares of Rapid7 in the 3rd quarter valued at approximately $14,719,000. JANA Partners Management LP grew its position in shares of Rapid7 by 13.5% in the 3rd quarter. JANA Partners Management LP now owns 6,502,108 shares of the technology company’s stock valued at $121,915,000 after purchasing an additional 772,194 shares during the period. First Trust Advisors LP increased its stake in Rapid7 by 48.3% during the 4th quarter. First Trust Advisors LP now owns 2,326,056 shares of the technology company’s stock worth $35,356,000 after purchasing an additional 758,009 shares in the last quarter. Finally, Vanguard Group Inc. increased its stake in Rapid7 by 7.6% during the 4th quarter. Vanguard Group Inc. now owns 9,273,763 shares of the technology company’s stock worth $140,961,000 after purchasing an additional 653,498 shares in the last quarter. 95.66% of the stock is owned by institutional investors and hedge funds.

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.