Morgan Stanley Initiates Coverage on Rapid7 (NASDAQ:RPD)

Morgan Stanley assumed coverage on shares of Rapid7 (NASDAQ:RPD) in a research report issued on Tuesday. The brokerage set an “equal weight” rating on the technology company’s stock.

A number of other research firms have also issued reports on RPD. Raymond James reduced their target price on Rapid7 from $55.00 to $45.00 and set an “outperform” rating on the stock in a research note on Thursday, February 13th. Needham & Company LLC reissued a “hold” rating on shares of Rapid7 in a research report on Thursday, February 13th. UBS Group lowered their price objective on shares of Rapid7 from $52.00 to $45.00 and set a “buy” rating for the company in a research note on Thursday, February 13th. StockNews.com upgraded Rapid7 from a “hold” rating to a “buy” rating in a report on Friday, February 21st. Finally, Truist Financial dropped their price target on Rapid7 from $38.00 to $35.00 and set a “hold” rating for the company in a research note on Thursday, February 13th. Fifteen investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $41.22.

Rapid7 Trading Down 2.0 %

Shares of Rapid7 stock traded down $0.57 on Tuesday, reaching $28.53. 46,039 shares of the stock were exchanged, compared to its average volume of 822,463. Rapid7 has a 1-year low of $26.77 and a 1-year high of $51.99. The business has a fifty day moving average price of $34.96 and a two-hundred day moving average price of $37.82. The firm has a market capitalization of $1.83 billion, a PE ratio of 72.63 and a beta of 0.92.

Rapid7 (NASDAQ:RPD) last released its quarterly earnings data on Wednesday, February 12th. The technology company reported $0.12 EPS for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.38). Rapid7 had a negative return on equity of 130.41% and a net margin of 3.46%. Research analysts expect that Rapid7 will post 0.35 EPS for the current year.

Insider Activity at Rapid7

In other news, CEO Corey E. Thomas sold 100,000 shares of the company’s stock in a transaction that occurred on Tuesday, January 21st. The stock was sold at an average price of $39.38, for a total transaction of $3,938,000.00. Following the completion of the transaction, the chief executive officer now directly owns 431,469 shares of the company’s stock, valued at approximately $16,991,249.22. This represents a 18.82 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Shapiro Capital Management LLC boosted its holdings in shares of Rapid7 by 295.9% during the fourth quarter. Shapiro Capital Management LLC now owns 1,290,945 shares of the technology company’s stock valued at $51,935,000 after acquiring an additional 964,899 shares during the period. Estuary Capital Management LP bought a new stake in Rapid7 in the 4th quarter valued at about $20,714,000. Dendur Capital LP acquired a new position in Rapid7 during the 4th quarter valued at about $19,190,000. Raymond James Financial Inc. bought a new position in Rapid7 in the 4th quarter worth about $12,050,000. Finally, Marshall Wace LLP increased its stake in shares of Rapid7 by 144.2% in the fourth quarter. Marshall Wace LLP now owns 475,695 shares of the technology company’s stock valued at $19,137,000 after purchasing an additional 280,913 shares during the period. Institutional investors and hedge funds 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.