Rapid7 (NASDAQ:RPD) Trading Down 6.3% – Time to Sell?

Rapid7, Inc. (NASDAQ:RPD)’s share price traded down 6.3% during mid-day trading on Tuesday . The stock traded as low as $10.23 and last traded at $10.3020. 180,290 shares changed hands during mid-day trading, a decline of 92% from the average daily volume of 2,125,784 shares. The stock had previously closed at $11.00.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Stephens reiterated a “positive” rating on shares of Rapid7 in a research report on Tuesday, August 11th. Morgan Stanley lowered Rapid7 from an “equal weight” rating to an “underweight” rating and set a $9.00 price objective on the stock. in a research note on Tuesday, July 21st. Jefferies Financial Group reaffirmed a “hold” rating and issued a $12.00 price target on shares of Rapid7 in a research note on Tuesday, August 11th. Citigroup reiterated a “neutral” rating on shares of Rapid7 in a research note on Wednesday, August 12th. Finally, Susquehanna boosted their target price on shares of Rapid7 from $7.00 to $15.00 and gave the company a “neutral” rating in a research note on Wednesday, August 12th. One investment analyst has rated the stock with a Buy rating, eighteen have given a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Reduce” and an average price target of $11.98.

Rapid7 Stock Performance

The stock’s 50 day simple moving average is $11.35 and its two-hundred day simple moving average is $8.24. The company has a market capitalization of $711.74 million, a P/E ratio of 34.06 and a beta of 1.01. The company has a debt-to-equity ratio of 1.50, a current ratio of 0.80 and a quick ratio of 0.80.

Rapid7 (NASDAQ:RPD) last released its quarterly earnings results on Monday, August 10th. The technology company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.35 by $0.09. Rapid7 had a net margin of 2.35% and a return on equity of 27.89%. The business had revenue of $210.88 million for the quarter, compared to analysts’ expectations of $208.23 million. During the same period in the prior year, the firm earned $0.58 earnings per share. Rapid7’s revenue was down 1.5% compared to the same quarter last year. Rapid7 has set its Q3 2026 guidance at 0.440-0.470 EPS. As a group, research analysts expect that Rapid7, Inc. will post 0.74 earnings per share for the current year.

Hedge Funds Weigh In On Rapid7

Large investors have recently made changes to their positions in the company. Sequoia Financial Advisors LLC bought a new position in Rapid7 in the second quarter valued at about $211,000. WINTON GROUP Ltd raised its holdings in Rapid7 by 124.1% during the 2nd quarter. WINTON GROUP Ltd now owns 26,600 shares of the technology company’s stock worth $215,000 after purchasing an additional 14,732 shares during the last quarter. Integrated Wealth Concepts LLC bought a new stake in Rapid7 during the 2nd quarter worth about $38,000. Allworth Financial LP lifted its position in Rapid7 by 511.3% during the 2nd quarter. Allworth Financial LP now owns 5,245 shares of the technology company’s stock valued at $42,000 after purchasing an additional 4,387 shares during the period. Finally, Corient Private Wealth LP acquired a new position in Rapid7 during the 2nd quarter valued at about $429,000. Institutional investors and hedge funds own 95.66% of the company’s stock.

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.