Rapid7 (NASDAQ:RPD) Receives “Neutral” Rating from UBS Group

UBS Group reaffirmed their neutral rating on shares of Rapid7 (NASDAQ:RPD) in a report issued on Wednesday, Marketbeat reports. The firm currently has a $9.00 price objective on the technology company’s stock.

Several other analysts also recently weighed in on RPD. Jefferies Financial Group set a $9.00 price target on shares of Rapid7 in a research note on Wednesday. JPMorgan Chase & Co. reduced their target price on Rapid7 from $22.00 to $20.00 and set a “neutral” rating on the stock in a report on Wednesday, November 5th. Weiss Ratings reissued a “sell (d)” rating on shares of Rapid7 in a research report on Monday, December 29th. Barclays downgraded Rapid7 from an “equal weight” rating to an “underweight” rating and reduced their price target for the company from $18.00 to $15.00 in a report on Monday, January 5th. Finally, Truist Financial lowered their price objective on Rapid7 from $14.00 to $8.00 and set a “hold” rating on the stock in a research report on Wednesday. Two research analysts have rated the stock with a Buy rating, seventeen have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Reduce” and an average target price of $13.87.

Rapid7 Stock Performance

Shares of RPD traded up $0.13 on Wednesday, reaching $7.51. 192,542 shares of the company’s stock traded hands, compared to its average volume of 1,385,109. The stock has a market cap of $491.89 million, a PE ratio of 20.87 and a beta of 0.79. The stock’s 50 day simple moving average is $13.83 and its two-hundred day simple moving average is $16.88. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 7.01. Rapid7 has a 52-week low of $7.16 and a 52-week high of $36.45.

Rapid7 (NASDAQ:RPD) last announced its quarterly earnings data on Tuesday, February 10th. The technology company reported $0.44 EPS for the quarter, topping the consensus estimate of $0.40 by $0.04. Rapid7 had a net margin of 2.72% and a return on equity of 55.81%. The business had revenue of $217.39 million for the quarter, compared to analyst estimates of $215.17 million. During the same quarter in the previous year, the firm posted $0.48 earnings per share. The company’s revenue for the quarter was up .5% on a year-over-year basis. Rapid7 has set its FY 2026 guidance at 1.500-1.600 EPS and its Q1 2026 guidance at 0.290-0.320 EPS. On average, analysts forecast that Rapid7 will post 0.35 earnings per share for the current fiscal year.

Insider Activity at Rapid7

In other Rapid7 news, CEO Corey E. Thomas acquired 14,500 shares of the company’s stock in a transaction dated Monday, November 24th. The stock was purchased at an average price of $13.82 per share, with a total value of $200,390.00. Following the completion of the purchase, the chief executive officer directly owned 595,066 shares in the company, valued at approximately $8,223,812.12. The trade was a 2.50% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Mike Burns purchased 2,000 shares of the stock in a transaction that occurred on Thursday, November 20th. The stock was acquired at an average cost of $13.80 per share, for a total transaction of $27,600.00. Following the completion of the acquisition, the director owned 5,000 shares in the company, valued at $69,000. This represents a 66.67% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have bought 67,345 shares of company stock worth $1,025,202 in the last 90 days. Company insiders own 2.40% of the company’s stock.

Institutional Investors Weigh In On Rapid7

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Acadian Asset Management LLC raised its stake in shares of Rapid7 by 136.7% in the second quarter. Acadian Asset Management LLC now owns 169,955 shares of the technology company’s stock valued at $3,924,000 after acquiring an additional 98,161 shares during the period. Penserra Capital Management LLC increased its stake in Rapid7 by 45.3% in the 2nd quarter. Penserra Capital Management LLC now owns 2,731,192 shares of the technology company’s stock worth $63,172,000 after buying an additional 851,108 shares during the period. Assenagon Asset Management S.A. boosted its holdings in shares of Rapid7 by 366.2% in the third quarter. Assenagon Asset Management S.A. now owns 144,707 shares of the technology company’s stock valued at $2,713,000 after purchasing an additional 113,664 shares during the period. CenterBook Partners LP lifted its holdings in shares of Rapid7 by 68.9% in the 2nd quarter. CenterBook Partners LP now owns 253,629 shares of the technology company’s stock worth $5,866,000 after buying an additional 103,504 shares during the period. Finally, First Trust Advisors LP raised its holdings in shares of Rapid7 by 4.6% in the second quarter. First Trust Advisors LP now owns 1,543,770 shares of the technology company’s stock valued at $35,707,000 after acquiring an additional 67,801 shares in the last quarter. 95.66% of the stock is currently owned by hedge funds and other institutional investors.

Key Rapid7 News

Here are the key news stories impacting Rapid7 this week:

• Positive Sentiment: Q4 results beat consensus on the headline metrics: $0.44 EPS vs. $0.40 expected and $217.4M revenue vs. ~$215M expected — showing the business can still deliver beats on the quarter. Rapid7 Q4 / FY2025 Results
• Positive Sentiment: Solid cash and cash-equivalents and free cash flow: FY‑2025 free cash flow ~$130M and total cash & short‑term investments remain a meaningful liquidity cushion. Quiver Quant Summary
• Neutral Sentiment: Business momentum and product progress: continued ARR (annualized recurring revenue) of $840M, new MDR integration with Microsoft, ARMO partnership and partner awards — these validate the AI/MDR strategy but haven’t yet driven faster ARR growth. Partner of the Year Awards
• Negative Sentiment: Weak forward guidance was the main catalyst: Q1‑2026 revenue guidance ($207M–$209M) and EPS ($0.29–$0.32) were below Street revenue/eps expectations, and FY‑2026 revenue guidance ($835M–$843M) came in well below consensus — investors reacted to the decelerating top‑line outlook. RPD Q4 Deep Dive: Flat Sales, AI Investments, and Weak Guidance Shape Outlook
• Negative Sentiment: Growth concerns: ARR was flat year‑over‑year and full‑year revenue rose only ~2% — investors worried this points to stagnation in subscription growth despite product/partnership momentum. Rapid7 Results & Metrics
• Negative Sentiment: Analyst reactions amplified the sell‑off: multiple firms trimmed targets or reaffirmed neutral/hold (RBC, Mizuho, Scotiabank, Truist, UBS) citing the weak guide and growth outlook — these cuts increased selling pressure on the stock. Benzinga: analyst updates The Fly: UBS on RPD

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.