Rapid7 (NASDAQ:RPD) Shares Gap Down – What’s Next?

05 Jan 2026, 14:18 by Amy Steele · The Cerbat Gem

Rapid7, Inc. (NASDAQ:RPD – Get Free Report) gapped down before the market opened on Monday . The stock had previously closed at $14.27, but opened at $13.74. Rapid7 shares last traded at $14.1620, with a volume of 209,763 shares traded.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the company. UBS Group reduced their price objective on Rapid7 from $34.00 to $29.00 and set a “buy” rating for the company in a report on Tuesday, October 21st. Berenberg Bank started coverage on Rapid7 in a research report on Tuesday, November 18th. They issued a “hold” rating and a $16.00 target price on the stock. Susquehanna set a $15.00 price target on shares of Rapid7 in a report on Thursday, November 6th. JPMorgan Chase & Co. reduced their price objective on shares of Rapid7 from $22.00 to $20.00 and set a “neutral” rating for the company in a research report on Wednesday, November 5th. Finally, Jefferies Financial Group set a $18.00 price objective on shares of Rapid7 in a report on Tuesday, December 16th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, thirteen have given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $21.47.

Check Out Our Latest Stock Analysis on Rapid7

Rapid7 Price Performance

The company has a market capitalization of $932.44 million, a PE ratio of 41.88 and a beta of 0.79. The company has a debt-to-equity ratio of 7.01, a current ratio of 1.19 and a quick ratio of 1.19. The company’s 50 day simple moving average is $15.56 and its 200 day simple moving average is $18.99.

Rapid7 (NASDAQ:RPD – Get Free Report) last issued its earnings results on Tuesday, November 4th. The technology company reported $0.57 EPS for the quarter, topping the consensus estimate of $0.45 by $0.12. The company had revenue of $217.96 million for the quarter, compared to analyst estimates of $216.14 million. Rapid7 had a net margin of 2.61% and a return on equity of 67.30%. The business’s revenue was up 1.5% on a year-over-year basis. During the same period in the previous year, the firm earned $0.66 EPS. Rapid7 has set its FY 2025 guidance at 2.020-2.090 EPS and its Q4 2025 guidance at 0.370-0.44 EPS. As a group, sell-side analysts predict that Rapid7, Inc. will post 0.35 earnings per share for the current year.

Insider Buying and Selling at Rapid7

In related news, Director Mike Burns acquired 2,000 shares of Rapid7 stock in a transaction that occurred on Thursday, November 20th. The stock was acquired at an average price of $13.80 per share, with a total value of $27,600.00. Following the completion of the acquisition, the director directly owned 5,000 shares of the company’s stock, valued at $69,000. This trade represents a 66.67% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Corey E. Thomas acquired 14,500 shares of Rapid7 stock in a transaction dated Monday, November 24th. The shares were acquired at an average price of $13.82 per share, with a total value of $200,390.00. Following the transaction, the chief executive officer owned 595,066 shares in the company, valued at approximately $8,223,812.12. This represents a 2.50% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last 90 days, insiders acquired 67,345 shares of company stock worth $1,025,202. 2.40% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Rapid7

Institutional investors have recently modified their holdings of the stock. Prudential Financial Inc. boosted its stake in shares of Rapid7 by 8.8% during the 2nd quarter. Prudential Financial Inc. now owns 8,513 shares of the technology company’s stock worth $197,000 after acquiring an additional 690 shares in the last quarter. Wealth Enhancement Advisory Services LLC boosted its holdings in Rapid7 by 6.3% during the third quarter. Wealth Enhancement Advisory Services LLC now owns 12,427 shares of the technology company’s stock worth $221,000 after purchasing an additional 732 shares during the last quarter. CI Investments Inc. grew its holdings in Rapid7 by 48.4% in the 3rd quarter. CI Investments Inc. now owns 2,281 shares of the technology company’s stock valued at $43,000 after buying an additional 744 shares in the last quarter. Nordea Investment Management AB boosted its stake in shares of Rapid7 by 1.0% in the second quarter. Nordea Investment Management AB now owns 78,294 shares of the technology company’s stock valued at $1,808,000 after buying an additional 753 shares during the period. Finally, Teacher Retirement System of Texas lifted its position in shares of Rapid7 by 1.6% during the 2nd quarter. Teacher Retirement System of Texas now owns 54,981 shares of the technology company’s stock worth $1,272,000 after buying an additional 890 shares during the last quarter. Institutional investors and hedge funds own 95.66% of the company’s stock.

Rapid7 Company Profile

(Get Free Report)

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.