Rapid7 (NASDAQ:RPD) Shares Gap Down – Time to Sell?

Rapid7, Inc. (NASDAQ:RPD) shares gapped down before the market opened on Tuesday . The stock had previously closed at $12.79, but opened at $12.12. Rapid7 shares last traded at $12.1450, with a volume of 397,145 shares.

Analysts Set New Price Targets

A number of research firms recently commented on RPD. Robert W. Baird increased their price objective on Rapid7 from $8.00 to $10.00 and gave the stock a “neutral” rating in a report on Tuesday, August 11th. Wall Street Zen raised shares of Rapid7 from a “hold” rating to a “buy” rating in a research report on Saturday, August 15th. Weiss Ratings restated a “sell (d)” rating on shares of Rapid7 in a research note on Wednesday, June 24th. Canaccord Genuity Group raised their price target on shares of Rapid7 from $7.00 to $14.00 and gave the company a “hold” rating in a report on Tuesday, August 11th. Finally, Royal Bank Of Canada raised their price target on shares of Rapid7 from $11.00 to $12.00 and gave the company a “sector perform” rating in a report on Tuesday, August 11th. One equities research analyst has rated the stock with a Buy rating, seventeen have given a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Reduce” and a consensus target price of $11.98.

Rapid7 Stock Performance

The stock has a fifty day moving average price of $11.44 and a 200 day moving average price of $8.35. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.50. The firm has a market cap of $845.20 million, a price-to-earnings ratio of 40.25 and a beta of 1.01.

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

Institutional Trading of Rapid7

A number of institutional investors and hedge funds have recently modified their holdings of the company. LSV Asset Management boosted its holdings in shares of Rapid7 by 25.1% during the 4th quarter. LSV Asset Management now owns 982,397 shares of the technology company’s stock worth $14,932,000 after buying an additional 197,397 shares during the period. Bank of America Corp DE bought a new position in Rapid7 in the 2nd quarter worth $6,861,000. SG Americas Securities LLC raised its holdings in Rapid7 by 32.4% in the 1st quarter. SG Americas Securities LLC now owns 817,649 shares of the technology company’s stock worth $4,505,000 after acquiring an additional 200,033 shares during the period. Invenomic Capital Management LP lifted its position in Rapid7 by 1.8% during the 4th quarter. Invenomic Capital Management LP now owns 627,983 shares of the technology company’s stock worth $9,545,000 after acquiring an additional 11,283 shares during the last quarter. Finally, Bank of New York Mellon Corp acquired a new position in Rapid7 during the 2nd quarter worth $3,844,000. 95.66% of the stock is currently owned by institutional investors and hedge funds.

Rapid7 Company Profile

Rapid7, Inc (NASDAQ:RPD) is a cybersecurity company that helps organizations identify, assess and manage security risks across their IT environments. Its offerings are designed to provide visibility into vulnerabilities, endpoints, users, applications, cloud infrastructure and other technology assets, enabling customers to prioritize threats and respond to security incidents.

The company delivers many of its products through the Rapid7 Insight platform. Key offerings include InsightVM for vulnerability risk management, InsightIDR for security information and event detection and response, InsightCloudSec for cloud security and risk management, and InsightConnect for security orchestration and automation.