Rapid7 (NASDAQ:RPD) Issues Q1 2026 Earnings Guidance
by Scott Moore · The Cerbat GemRapid7 (NASDAQ:RPD – Get Free Report) updated its first quarter 2026 earnings guidance on Tuesday. The company provided EPS guidance of 0.290-0.320 for the period, compared to the consensus EPS estimate of 0.340. The company issued revenue guidance of $207.0 million-$209.0 million, compared to the consensus revenue estimate of $213.2 million. Rapid7 also updated its FY 2026 guidance to 1.500-1.600 EPS.
Rapid7 Stock Down 3.4%
Shares of RPD stock traded down $0.37 on Tuesday, reaching $10.39. 3,174,723 shares of the stock were exchanged, compared to its average volume of 1,226,360. The business’s 50 day moving average price is $14.11 and its 200 day moving average price is $17.03. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 7.01. The company has a market capitalization of $680.34 million, a price-to-earnings ratio of 30.56 and a beta of 0.79. Rapid7 has a twelve month low of $10.20 and a twelve month high of $38.47.
Rapid7 (NASDAQ:RPD – Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.44 EPS for the quarter, topping the consensus estimate of $0.40 by $0.04. Rapid7 had a return on equity of 67.30% and a net margin of 2.61%.The company had revenue of $217.39 million for the quarter, compared to analyst estimates of $215.17 million. Rapid7 has set its FY 2026 guidance at 1.500-1.600 EPS and its Q1 2026 guidance at 0.290-0.320 EPS. As a group, sell-side analysts expect that Rapid7 will post 0.35 earnings per share for the current fiscal year.
Analyst Ratings Changes
A number of equities analysts have recently weighed in on the company. Weiss Ratings reissued a “sell (d)” rating on shares of Rapid7 in a report on Monday, December 29th. Mizuho dropped their target price on Rapid7 from $20.00 to $16.00 and set a “neutral” rating on the stock in a research report on Wednesday, January 21st. Citigroup lowered shares of Rapid7 from a “buy” rating to a “neutral” rating and lowered their target price for the company from $25.00 to $15.00 in a research note on Monday, January 12th. Morgan Stanley restated an “outperform” rating and issued a $18.00 price target on shares of Rapid7 in a research note on Thursday, December 18th. Finally, Wall Street Zen lowered Rapid7 from a “buy” rating to a “hold” rating in a report on Sunday, January 11th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, fourteen have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat, Rapid7 currently has a consensus rating of “Hold” and a consensus price target of $19.53.
Check Out Our Latest Stock Report on RPD
Insider Activity
In related news, Director Thomas E. Schodorf acquired 6,300 shares of the business’s stock in a transaction that occurred on Wednesday, November 26th. The shares were acquired at an average cost of $15.70 per share, with a total value of $98,910.00. Following the transaction, the director owned 34,440 shares of the company’s stock, valued at $540,708. The trade was a 22.39% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Marc Evan Brown purchased 3,000 shares of the firm’s stock in a transaction on Tuesday, November 25th. The stock was bought at an average price of $15.21 per share, with a total value of $45,630.00. Following the completion of the purchase, the director owned 51,882 shares of the company’s stock, valued at approximately $789,125.22. This represents a 6.14% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last quarter, insiders purchased 67,345 shares of company stock valued at $1,025,202. Company insiders own 2.40% of the company’s stock.
More Rapid7 News
Here are the key news stories impacting Rapid7 this week:
- Positive Sentiment: Q4 results beat consensus: reported $0.44 EPS vs. $0.40 expected and revenue roughly $217M, edging past estimates—evidence of near‑term operational resilience. Rapid7 (RPD) Surpasses Q4 Earnings and Revenue Estimates
- Positive Sentiment: Solid cash generation and ARR: full‑year 2025 revenue $860M (+2% YoY), ARR $840M (stable), and free cash flow ~$130M — supports financial flexibility for growth or M&A. Rapid7 Reports Financial Results for 2025, Highlights Growth in ARR and Revenue
- Neutral Sentiment: Product and market wins: company highlighted partnerships (Microsoft MDR, ARMO), product launches and industry recognitions (Gartner leader) — positive strategic indicators but longer‑term in impact. Rapid7 Announces Fourth Quarter and Full-Year 2025 Financial Results
- Negative Sentiment: Cautious guidance — Q1 revenue ($207–$209M) and EPS ($0.29–$0.32) both miss consensus, and full‑year revenue guidance ($835–$843M) is well below analysts’ ~ $869.7M estimate; this gap is the primary driver of today’s negative sentiment. Rapid7 Announces Fourth Quarter and Full-Year 2025 Financial Results
- Negative Sentiment: ARR flat year‑over‑year ($840M) and Q1 guidance anticipates a modest ARR decline (~$830M) — raises questions about growth momentum in a competitive cybersecurity market. Rapid7 Reports Financial Results for 2025, Highlights Growth in ARR and Revenue
- Negative Sentiment: Market technicals and balance sheet flags: heavy intraday volume (well above average) and the stock trading near its 52‑week low amplify downside; debt/equity appears elevated (noted leverage), which may concern some investors. Rapid7 Stock Page
Institutional Inflows and Outflows
Institutional investors and hedge funds have recently bought and sold shares of the stock. Headlands Technologies LLC bought a new position in shares of Rapid7 during the second quarter valued at $44,000. Prudential Financial Inc. boosted its position in shares of Rapid7 by 8.8% during the second 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 period. Tower Research Capital LLC TRC increased its holdings in Rapid7 by 547.2% during the 2nd quarter. Tower Research Capital LLC TRC now owns 8,530 shares of the technology company’s stock worth $197,000 after purchasing an additional 7,212 shares during the period. Inceptionr LLC bought a new position in shares of Rapid7 in the 3rd quarter worth $217,000. Finally, Cresset Asset Management LLC purchased a new stake in shares of Rapid7 during the third quarter worth about $224,000. 95.66% of the stock is owned by institutional investors.
Rapid7 Company Profile
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.