Rapid7 (NASDAQ:RPD) Rating Lowered to Sector Perform at Royal Bank of Canada

Rapid7 (NASDAQ:RPD) was downgraded by Royal Bank of Canada from an “outperform” rating to a “sector perform” rating in a report released on Friday, Marketbeat.com reports. They presently have a $40.00 target price on the technology company’s stock, down from their prior target price of $50.00. Royal Bank of Canada’s price objective would suggest a potential upside of 13.64% from the stock’s current price.

A number of other equities research analysts also recently weighed in on the stock. UBS Group lowered their price objective on shares of Rapid7 from $65.00 to $59.00 and set a “buy” rating for the company in a research report on Wednesday, August 7th. Canaccord Genuity Group raised shares of Rapid7 from a “hold” rating to a “buy” rating and lowered their price objective for the company from $52.00 to $43.00 in a research report on Wednesday, August 7th. Robert W. Baird downgraded shares of Rapid7 from an “outperform” rating to a “neutral” rating and lowered their price objective for the company from $56.00 to $45.00 in a research report on Thursday, August 1st. Canaccord Genuity Group raised shares of Rapid7 from a “hold” rating to a “buy” rating and lowered their price objective for the company from $52.00 to $43.00 in a research report on Wednesday, August 7th. Finally, Needham & Company LLC reaffirmed a “hold” rating on shares of Rapid7 in a research report on Wednesday, August 7th. Fourteen analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $46.13.

Rapid7 Stock Performance

RPD opened at $35.20 on Friday. The company has a 50-day moving average of $37.02 and a 200-day moving average of $41.15. The company has a market capitalization of $2.19 billion, a P/E ratio of -17.17 and a beta of 0.96. Rapid7 has a 1-year low of $32.94 and a 1-year high of $61.88.

Rapid7 (NASDAQ:RPD) last released its earnings results on Tuesday, August 6th. The technology company reported $0.58 earnings per share for the quarter, topping the consensus estimate of $0.52 by $0.06. Rapid7 had a negative net margin of 5.64% and a negative return on equity of 67.88%. The company had revenue of $207.99 million during the quarter, compared to the consensus estimate of $204.04 million. During the same quarter in the previous year, the firm earned ($0.33) EPS. The company’s revenue was up 9.2% on a year-over-year basis. As a group, sell-side analysts expect that Rapid7 will post 0.8 earnings per share for the current fiscal year.

Institutional Trading of Rapid7

A number of institutional investors have recently made changes to their positions in the stock. Healthcare of Ontario Pension Plan Trust Fund lifted its stake in shares of Rapid7 by 97.2% in the 2nd quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 92,700 shares of the technology company’s stock worth $4,007,000 after acquiring an additional 45,700 shares during the period. Algert Global LLC lifted its stake in shares of Rapid7 by 158.6% in the 2nd quarter. Algert Global LLC now owns 121,953 shares of the technology company’s stock worth $5,272,000 after acquiring an additional 74,793 shares during the period. Susquehanna Fundamental Investments LLC acquired a new stake in shares of Rapid7 in the 2nd quarter worth approximately $6,106,000. The Manufacturers Life Insurance Company raised its holdings in shares of Rapid7 by 7.1% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 36,410 shares of the technology company’s stock worth $1,574,000 after purchasing an additional 2,402 shares in the last quarter. Finally, Point72 Asia Singapore Pte. Ltd. raised its holdings in shares of Rapid7 by 275.4% in the 2nd quarter. Point72 Asia Singapore Pte. Ltd. now owns 13,408 shares of the technology company’s stock worth $580,000 after purchasing an additional 9,836 shares in the last quarter. 95.66% of the stock is owned by institutional investors and hedge funds.

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.