Rapid7 (NASDAQ:RPD) Reaches New 12-Month Low – Should You Sell?

Rapid7, Inc. (NASDAQ:RPD)’s stock price reached a new 52-week low during trading on Monday . The stock traded as low as $13.41 and last traded at $13.47, with a volume of 628563 shares traded. The stock had previously closed at $14.03.

Analysts Set New Price Targets

Several analysts have recently issued reports on the company. Wall Street Zen cut Rapid7 from a “buy” rating to a “hold” rating in a research note on Saturday, November 8th. Morgan Stanley decreased their price objective on Rapid7 from $28.00 to $22.00 and set an “equal weight” rating for the company in a research note on Tuesday, September 2nd. Piper Sandler lowered their price objective on Rapid7 from $30.00 to $19.00 and set a “neutral” rating for the company in a research report on Wednesday, November 5th. Raymond James Financial reduced their target price on shares of Rapid7 from $40.00 to $30.00 and set an “outperform” rating on the stock in a report on Friday, August 8th. Finally, Mizuho lowered their price target on shares of Rapid7 from $27.00 to $25.00 and set a “neutral” rating for the company in a report on Friday, August 8th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, fourteen have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $22.78.

Rapid7 Stock Performance

The stock has a market cap of $881.37 million, a PE ratio of 32.83 and a beta of 0.94. The stock has a fifty day moving average of $18.27 and a 200-day moving average of $21.06. The company has a quick ratio of 1.36, a current ratio of 1.36 and a debt-to-equity ratio of 9.84.

Rapid7 (NASDAQ:RPD) last announced its earnings results on Tuesday, November 4th. The technology company reported $0.57 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.12. Rapid7 had a return on equity of 149.12% and a net margin of 3.41%.The company had revenue of $217.96 million for the quarter, compared to the consensus estimate of $216.14 million. During the same period last year, the business posted $0.66 EPS. The company’s revenue was up 1.5% on a year-over-year basis. Rapid7 has set its FY 2025 guidance at 2.020-2.090 EPS. Q4 2025 guidance at 0.370-0.44 EPS. On average, equities analysts forecast that Rapid7, Inc. will post 0.35 EPS for the current year.

Insiders Place Their Bets

In other Rapid7 news, CAO Scott M. Murphy sold 1,370 shares of the business’s stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $20.25, for a total transaction of $27,742.50. Following the transaction, the chief accounting officer owned 27,592 shares in the company, valued at approximately $558,738. The trade was a 4.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Corporate 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 bought and sold shares of RPD. Qube Research & Technologies Ltd grew its stake in shares of Rapid7 by 11.2% during the 3rd quarter. Qube Research & Technologies Ltd now owns 594,904 shares of the technology company’s stock worth $11,154,000 after purchasing an additional 59,783 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Rapid7 by 1.6% during the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,170,876 shares of the technology company’s stock worth $40,716,000 after buying an additional 34,438 shares in the last quarter. JANA Partners Management LP grew its position in Rapid7 by 13.5% during the third quarter. JANA Partners Management LP now owns 6,502,108 shares of the technology company’s stock worth $121,915,000 after buying an additional 772,194 shares during the period. Jain Global LLC purchased a new position in Rapid7 in the third quarter valued at about $323,000. Finally, Hound Partners LLC lifted its position in shares of Rapid7 by 1.1% during the 3rd quarter. Hound Partners LLC now owns 154,920 shares of the technology company’s stock valued at $2,905,000 after acquiring an additional 1,745 shares during the period. Institutional investors and hedge funds own 95.66% of the company’s stock.

About Rapid7

Rapid7, Inc provides cybersecurity solutions under the Rapid7, Nexpose, and Metasploit brand names. The company offers endpoint to cloud data collection and sharing applications, such as Rapid7 Insight Agent, a software-based agent that is used on assets across on-premises and cloud environments to centralize and monitor data on company's platform; Rapid7 Insight Network Sensor that analyzes raw end-to-end network traffic to increase visibility into user activity, pinpoint real threats, and investigations; Rapid7 Cloud Event Data Harvesting that offers visibility into changes made to cloud resources; and third-party integrations and ecosystem, as well as orchestration and automation solutions.