Rapid7 (NASDAQ:RPD) Trading Up 9.1% – Here’s Why

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

Key Stories Impacting Rapid7

Here are the key news stories impacting Rapid7 this week:

• Positive Sentiment: Rapid7 reported quarterly earnings of $0.44 per share, exceeding the $0.35 consensus estimate, while revenue of $210.88 million also topped expectations. The results and subsequent guidance of $0.44–$0.47 in quarterly EPS provide support for the stock. Rapid7 Shares Gap Up Following Earnings Beat
• Positive Sentiment: Rapid7’s research with Omdia identified a significant gap in corporate AI governance, with executive security leaders reporting greater concern and engagement. The findings could reinforce demand for Rapid7’s security and risk-management products as businesses expand AI adoption. Rapid7-Omdia AI Governance Research
• Positive Sentiment: Stephens raised its price target to $12, while reports from Robert W. Baird and JPMorgan described potential for meaningful price appreciation. These targets suggest some analysts view the recent weakness as an opportunity. Stephens Raises Rapid7 Price Target
• Neutral Sentiment: Stifel Nicolaus maintained a Hold rating, indicating that the earnings improvement has not yet changed its overall risk-reward assessment. Stifel Maintains Hold Rating
• Neutral Sentiment: Zacks’ value-focused review highlights valuation, growth and estimate-revision trends but does not provide a clear new catalyst. Zacks Rapid7 Value Review
• Negative Sentiment: Rapid7’s 2026 restructuring is intended to refocus the company on its core platform, but restructuring costs and execution risks may pressure near-term results. Revenue also declined 1.5% year over year, tempering the earnings beat. Rapid7 Announces 2026 Restructuring

Analysts Set New Price Targets

A number of equities analysts have issued reports on the company. Barclays increased their target price on Rapid7 from $6.50 to $12.00 and gave the stock an “underweight” rating in a report on Tuesday. Citigroup restated a “neutral” rating on shares of Rapid7 in a report on Wednesday. Scotiabank upped their price objective on Rapid7 from $7.00 to $10.15 and gave the stock a “sector perform” rating in a research report on Tuesday. Weiss Ratings reiterated a “sell (d)” rating on shares of Rapid7 in a report on Wednesday, June 24th. Finally, Robert W. Baird lifted their target price on Rapid7 from $8.00 to $10.00 and gave the company a “neutral” rating in a research report on Tuesday. One equities research 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. According to data from MarketBeat.com, the company has an average rating of “Reduce” and an average price target of $11.98.

Rapid7 Trading Down 5.7%

The firm has a market cap of $876.20 million, a P/E ratio of 41.94 and a beta of 0.97. The business’s 50-day moving average is $9.66 and its two-hundred day moving average is $8.00. The company has a debt-to-equity ratio of 1.50, a current ratio of 0.80 and a quick ratio of 0.78.

Rapid7 (NASDAQ:RPD) last issued its quarterly earnings results on Monday, August 10th. The technology company reported $0.44 earnings per share (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 firm had revenue of $210.88 million for the quarter, compared to analyst estimates of $208.23 million. During the same period in the previous year, the business earned $0.58 EPS. The company’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, analysts predict that Rapid7, Inc. will post 0.69 earnings per share for the current fiscal year.

Institutional Trading of Rapid7

Several institutional investors and hedge funds have recently bought and sold shares of RPD. Royal Bank of Canada grew its stake in Rapid7 by 26.8% in the first quarter. Royal Bank of Canada now owns 326,910 shares of the technology company’s stock valued at $8,667,000 after purchasing an additional 69,122 shares in the last quarter. AQR Capital Management LLC bought a new stake in shares of Rapid7 during the 1st quarter worth approximately $424,000. Woodline Partners LP boosted its holdings in shares of Rapid7 by 48.0% in the 1st quarter. Woodline Partners LP now owns 86,712 shares of the technology company’s stock valued at $2,299,000 after buying an additional 28,115 shares during the last quarter. Prudential Financial Inc. boosted its holdings in shares of Rapid7 by 8.8% in the 2nd quarter. Prudential Financial Inc. now owns 8,513 shares of the technology company’s stock valued at $197,000 after buying an additional 690 shares during the last quarter. Finally, Invesco Ltd. grew its stake in shares of Rapid7 by 27.2% in the second quarter. Invesco Ltd. now owns 62,786 shares of the technology company’s stock valued at $1,452,000 after buying an additional 13,418 shares in the last quarter. Institutional investors 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.