Rapid7 (NASDAQ:RPD) Trading Up 9.1% – Should You Buy?

Shares of Rapid7, Inc. (NASDAQ:RPD) were up 9.1% during trading on Thursday . The stock traded as high as $13.36 and last traded at $13.3910. Approximately 1,046,506 shares traded hands during mid-day trading, a decline of 52% from the average daily volume of 2,172,773 shares. The stock had previously closed at $12.27.

Trending Headlines about Rapid7

Here are the key news stories impacting Rapid7 this week:

• Positive Sentiment: Quarterly earnings exceeded expectations. Rapid7 reported adjusted earnings of $0.44 per share versus the $0.35 consensus estimate, while revenue of $210.88 million also topped forecasts. Management issued third-quarter adjusted EPS guidance of $0.44-$0.47, supporting the recent upward move despite modest year-over-year revenue pressure. Rapid7 Shares Gap Up Following Earnings Beat
• Positive Sentiment: Analysts raised or maintained optimistic valuation views. Stephens increased its price target to $12, while reports from JPMorgan and Robert W. Baird described the stock as having potential for strong appreciation. These calls may be helping improve sentiment after the earnings release. Stephens Boosts Rapid7 Price Target JPMorgan Forecasts Strong Price Appreciation Baird Forecasts Strong Price Appreciation
• Positive Sentiment: AI security research highlights a potential growth opportunity. Rapid7 and Omdia found that executive security leaders are 1.6 times more likely than operational managers to be highly concerned about how AI vendors handle security data. The governance gap could increase demand for Rapid7’s AI-powered cybersecurity and risk-management offerings. Rapid7-Omdia AI Governance Research
• Neutral Sentiment: Rapid7 announced a 2026 restructuring to refocus its core platform. The plan may improve strategic focus and operating efficiency, but restructuring can also create near-term execution challenges and expenses. Rapid7 Announces 2026 Restructuring
• Negative Sentiment: Analyst sentiment is not unanimous. Conflicting views on Rapid7 suggest that concerns about slowing revenue, profitability and valuation remain, potentially limiting the stock’s upside after its recent rebound. Conflicting Analyst Sentiment on Rapid7

Analyst Upgrades and Downgrades

RPD has been the subject of a number of recent research reports. Robert W. Baird upped their price objective on shares of Rapid7 from $8.00 to $10.00 and gave the stock a “neutral” rating in a report on Tuesday. 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 report on Tuesday, July 21st. Susquehanna boosted their target price on Rapid7 from $7.00 to $15.00 and gave the stock a “neutral” rating in a report on Wednesday. Stephens reissued a “positive” rating on shares of Rapid7 in a research report on Tuesday. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Rapid7 in a report on Wednesday, June 24th. One equities research analyst has rated the stock with a Buy rating, eighteen have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to data from MarketBeat.com, Rapid7 has a consensus rating of “Reduce” and a consensus target price of $11.98.

Rapid7 Trading Up 9.8%

The company has a debt-to-equity ratio of 1.69, a quick ratio of 0.78 and a current ratio of 0.78. The company’s 50 day moving average is $9.43 and its 200 day moving average is $7.95. The stock has a market capitalization of $907.74 million, a price-to-earnings ratio of 43.31 and a beta of 0.97.

Rapid7 (NASDAQ:RPD) last posted its quarterly earnings data on Monday, August 10th. The technology company reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.35 by $0.09. Rapid7 had a net margin of 2.35% and a return on equity of 29.93%. The company had revenue of $210.88 million for the quarter, compared to the consensus estimate of $208.23 million. During the same quarter in the previous year, the firm posted $0.58 EPS. The business’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. On average, research analysts forecast that Rapid7, Inc. will post 0.63 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Parallel Advisors LLC lifted its position in Rapid7 by 108.8% in the first quarter. Parallel Advisors LLC now owns 6,340 shares of the technology company’s stock worth $35,000 after purchasing an additional 3,304 shares during the period. Allworth Financial LP acquired a new stake in Rapid7 during the second quarter valued at approximately $42,000. Headlands Technologies LLC acquired a new position in shares of Rapid7 in the 2nd quarter worth approximately $44,000. GAMMA Investing LLC raised its holdings in shares of Rapid7 by 20.6% in the 2nd quarter. GAMMA Investing LLC now owns 5,866 shares of the technology company’s stock worth $48,000 after buying an additional 1,000 shares in the last quarter. Finally, KBC Group NV lifted its position in shares of Rapid7 by 124.0% during the 4th quarter. KBC Group NV now owns 3,310 shares of the technology company’s stock worth $50,000 after buying an additional 1,832 shares during the period. 95.66% of the stock is currently owned by institutional investors and hedge funds.

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.