Rapid7 (NASDAQ:RPD) Issues Q4 Earnings Guidance

Rapid7 (NASDAQ:RPD) issued an update on its fourth quarter earnings guidance on Wednesday morning. The company provided EPS guidance of $0.48-0.51 for the period, compared to the consensus EPS estimate of $0.53. The company issued revenue guidance of $211-213 million, compared to the consensus revenue estimate of $212.10 million. Rapid7 also updated its FY 2024 guidance to 2.280-2.310 EPS.

Rapid7 Price Performance

RPD traded down $0.74 during trading hours on Friday, reaching $40.54. 1,005,345 shares of the stock traded hands, compared to its average volume of 848,452. The firm’s fifty day simple moving average is $37.97 and its two-hundred day simple moving average is $38.79. The company has a market cap of $2.54 billion, a price-to-earnings ratio of 64.35 and a beta of 0.96. Rapid7 has a fifty-two week low of $32.94 and a fifty-two week high of $61.88.

Rapid7 (NASDAQ:RPD) last posted its quarterly earnings data on Tuesday, August 6th. The technology company reported $0.58 EPS for the quarter, beating analysts’ consensus estimates of $0.52 by $0.06. Rapid7 had a net margin of 5.65% and a negative return on equity of 99.08%. The firm had revenue of $207.99 million for the quarter, compared to the consensus estimate of $204.04 million. During the same period in the prior year, the firm posted ($0.33) EPS. The firm’s revenue was up 9.2% compared to the same quarter last year. On average, research analysts predict that Rapid7 will post 0.8 earnings per share for the current year.

Wall Street Analyst Weigh In

RPD has been the topic of a number of research analyst reports. Royal Bank of Canada downgraded shares of Rapid7 from an “outperform” rating to a “sector perform” rating and reduced their price objective for the company from $50.00 to $40.00 in a research note on Friday, September 20th. Piper Sandler reduced their price objective on shares of Rapid7 from $42.00 to $40.00 and set a “neutral” rating on the stock in a research note on Thursday. DA Davidson increased their price objective on shares of Rapid7 from $35.00 to $39.00 and gave the company a “neutral” rating in a research note on Thursday. Jefferies Financial Group initiated coverage on shares of Rapid7 in a research note on Wednesday, October 16th. They set a “buy” rating and a $50.00 price objective on the stock. Finally, Canaccord Genuity Group upgraded shares of Rapid7 from a “hold” rating to a “buy” rating and reduced their price target for the stock from $52.00 to $43.00 in a research report on Wednesday, August 7th. Fifteen equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $44.59.

Insider Transactions at Rapid7

In other news, Director Reeny Sondhi sold 3,663 shares of Rapid7 stock in a transaction that occurred on Monday, September 30th. The shares were sold at an average price of $40.00, for a total value of $146,520.00. Following the transaction, the director now directly owns 17,460 shares of the company’s stock, valued at $698,400. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 2.60% of the stock is currently owned by insiders.

Rapid7 Company Profile

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.