Royal Bank of Canada Lowers Rapid7 (NASDAQ:RPD) to Sector Perform

Rapid7 (NASDAQ:RPD) was downgraded by analysts at Royal Bank of Canada from an “outperform” rating to a “sector perform” rating in a research report issued on Friday, Marketbeat Ratings reports. They currently have a $40.00 price target on the technology company’s stock, down from their prior price target of $50.00. Royal Bank of Canada’s price objective points to a potential upside of 16.45% from the company’s previous close.

RPD has been the subject of several other reports. Robert W. Baird cut Rapid7 from an “outperform” rating to a “neutral” rating and reduced their target price for the stock from $56.00 to $45.00 in a research report on Thursday, August 1st. JPMorgan Chase & Co. reduced their price target on shares of Rapid7 from $46.00 to $39.00 and set a “neutral” rating on the stock in a research report on Friday, August 2nd. 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 report on Wednesday, August 7th. Baird R W lowered shares of Rapid7 from a “strong-buy” rating to a “hold” rating in a report on Thursday, August 1st. Finally, Scotiabank lowered their price target on shares of Rapid7 from $45.00 to $41.00 and set a “sector perform” rating for the company in a research note on Wednesday, August 7th. Fourteen analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $46.13.

Rapid7 Stock Performance

Shares of RPD stock opened at $34.35 on Friday. Rapid7 has a 52-week low of $32.94 and a 52-week high of $61.88. The company has a 50-day simple moving average of $37.13 and a two-hundred day simple moving average of $41.42. The company has a market capitalization of $2.15 billion, a price-to-earnings ratio of -16.76 and a beta of 0.96.

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

Institutional Trading of Rapid7

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Quest Partners LLC purchased a new position in shares of Rapid7 in the 2nd quarter worth about $35,000. Fidelis Capital Partners LLC bought a new position in shares of Rapid7 in the first quarter worth approximately $36,000. Mather Group LLC. bought a new stake in shares of Rapid7 during the first quarter valued at approximately $42,000. Summit Securities Group LLC bought a new position in Rapid7 in the 2nd quarter valued at approximately $43,000. Finally, Financial Connections Group Inc. purchased a new stake in Rapid7 during the 2nd quarter valued at $72,000. Hedge funds and other institutional investors own 95.66% of the company’s stock.

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.