Rapid7 (NASDAQ:RPD) Releases Q4 2025 Earnings Guidance

Rapid7 (NASDAQ:RPD) updated its fourth quarter 2025 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 0.370-0.44 for the period, compared to the consensus estimate of 0.310. The company issued revenue guidance of $214.0 million-$216.0 million, compared to the consensus revenue estimate of $218.2 million. Rapid7 also updated its FY 2025 guidance to 2.020-2.090 EPS.

Analysts Set New Price Targets

A number of research firms have commented on RPD. Morgan Stanley dropped their price objective on shares of Rapid7 from $28.00 to $22.00 and set an “equal weight” rating on the stock in a research note on Tuesday, September 2nd. UBS Group dropped their price target on shares of Rapid7 from $34.00 to $29.00 and set a “buy” rating on the stock in a research note on Tuesday, October 21st. Raymond James Financial dropped their price target on shares of Rapid7 from $40.00 to $30.00 and set an “outperform” rating on the stock in a research note on Friday, August 8th. JPMorgan Chase & Co. dropped their price target on shares of Rapid7 from $28.00 to $23.00 and set a “neutral” rating on the stock in a research note on Monday, August 4th. Finally, Susquehanna dropped their price target on shares of Rapid7 from $30.00 to $18.00 and set a “neutral” rating on the stock in a research note on Monday, August 11th. Two equities research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating, thirteen have given a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $26.28.

Rapid7 Price Performance

RPD traded down $0.88 on Tuesday, hitting $17.80. 1,475,098 shares of the company were exchanged, compared to its average volume of 871,221. The company has a debt-to-equity ratio of 9.84, a quick ratio of 1.36 and a current ratio of 1.36. The business’s fifty day moving average is $19.34 and its 200 day moving average is $21.62. Rapid7 has a fifty-two week low of $17.73 and a fifty-two week high of $44.48. The firm has a market capitalization of $1.15 billion, a P/E ratio of 43.42 and a beta of 0.92.

Rapid7 (NASDAQ:RPD) last issued its earnings results on Tuesday, November 4th. The technology company reported $0.23 earnings per share for the quarter, missing the consensus estimate of $0.45 by ($0.22). Rapid7 had a return on equity of 149.12% and a net margin of 3.41%. Rapid7 has set its FY 2025 guidance at 2.020-2.090 EPS. Q4 2025 guidance at 0.370-0.44 EPS. As a group, sell-side analysts anticipate that Rapid7 will post 0.35 EPS for the current year.

Insiders Place Their Bets

In related news, CAO Scott M. Murphy sold 1,370 shares of Rapid7 stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $20.25, for a total transaction of $27,742.50. Following the completion of the sale, the chief accounting officer owned 27,592 shares in the company, valued at approximately $558,738. This trade represents a 4.73% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Jana Partners Management, Lp bought 250,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 13th. The stock was purchased at an average cost of $21.26 per share, with a total value of $5,315,000.00. Following the purchase, the director directly owned 6,518,604 shares in the company, valued at $138,585,521.04. The trade was a 3.99% increase in their position. The SEC filing for this purchase provides additional information. In the last quarter, insiders have acquired 772,194 shares of company stock worth $15,135,356. 2.40% of the stock is owned by insiders.

Hedge Funds Weigh In On Rapid7

A number of institutional investors have recently modified their holdings of RPD. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Rapid7 by 114.9% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,136,438 shares of the technology company’s stock valued at $49,409,000 after buying an additional 1,142,148 shares during the period. Qube Research & Technologies Ltd raised its holdings in Rapid7 by 37.0% in the 2nd quarter. Qube Research & Technologies Ltd now owns 535,121 shares of the technology company’s stock valued at $12,377,000 after acquiring an additional 144,627 shares during the last quarter. CANADA LIFE ASSURANCE Co lifted its stake in shares of Rapid7 by 2.6% during the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 387,483 shares of the technology company’s stock worth $8,955,000 after purchasing an additional 9,827 shares during the period. Royal Bank of Canada lifted its stake in shares of Rapid7 by 26.8% during the 1st quarter. Royal Bank of Canada now owns 326,910 shares of the technology company’s stock worth $8,667,000 after purchasing an additional 69,122 shares during the period. Finally, Vident Advisory LLC lifted its stake in shares of Rapid7 by 138.3% during the 2nd quarter. Vident Advisory LLC now owns 207,639 shares of the technology company’s stock worth $4,803,000 after purchasing an additional 120,512 shares during the period. Institutional investors and hedge funds own 95.66% of the company’s stock.

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.