RAPID7 INC (RPD) Stock Fundamental Analysis
USA - NASDAQ:RPD - US7534221046 - Common Stock
13.62 USD
+0.15 (+1.11%)
We assign a fundamental rating of 4 out of 10 to RPD. RPD was compared to 281 industry peers in the Software industry. RPD has a medium profitability rating, but doesn't score so well on its financial health evaluation. RPD is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year RPD was profitable.
In the past year RPD had a positive cash flow from operations.
RPD had negative earnings in 4 of the past 5 years.
Each year in the past 5 years RPD had a positive operating cash flow.
1.2 Ratios
RPD has a Return On Assets of 1.13%. This is in the better half of the industry: RPD outperforms 61.57% of its industry peers.
RPD's Return On Equity of 14.76% is amongst the best of the industry. RPD outperforms 82.56% of its industry peers.
The Return On Invested Capital of RPD (0.74%) is better than 61.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.13% | ||
| ROE | 14.76% | ||
| ROIC | 0.74% |
ROA(3y)-5.93%
ROA(5y)-7.98%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RPD's Profit Margin of 2.19% is fine compared to the rest of the industry. RPD outperforms 62.99% of its industry peers.
RPD has a better Operating Margin (1.58%) than 61.92% of its industry peers.
RPD has a Gross Margin of 70.44%. This is comparable to the rest of the industry: RPD outperforms 56.23% of its industry peers.
RPD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.58% | ||
| PM (TTM) | 2.19% | ||
| GM | 70.44% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.87%
GM growth 5Y-0.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RPD is destroying value.
Compared to 1 year ago, RPD has more shares outstanding
Compared to 5 years ago, RPD has more shares outstanding
Compared to 1 year ago, RPD has an improved debt to assets ratio.
2.2 Solvency
RPD has an Altman-Z score of 0.14. This is a bad value and indicates that RPD is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of RPD (0.14) is worse than 69.39% of its industry peers.
The Debt to FCF ratio of RPD is 5.69, which is a neutral value as it means it would take RPD, 5.69 years of fcf income to pay off all of its debts.
RPD has a Debt to FCF ratio of 5.69. This is comparable to the rest of the industry: RPD outperforms 57.65% of its industry peers.
A Debt/Equity ratio of 7.01 is on the high side and indicates that RPD has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 7.01, RPD is doing worse than 85.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.01 | ||
| Debt/FCF | 5.69 | ||
| Altman-Z | 0.14 |
ROIC/WACC0.09
WACC7.77%
2.3 Liquidity
A Current Ratio of 1.19 indicates that RPD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.19, RPD is doing worse than 64.41% of the companies in the same industry.
RPD has a Quick Ratio of 1.19. This is a normal value and indicates that RPD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.19, RPD is doing worse than 63.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
RPD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.54%.
The Earnings Per Share has been growing by 95.25% on average over the past years. This is a very strong growth
RPD shows a small growth in Revenue. In the last year, the Revenue has grown by 3.08%.
RPD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.89% yearly.
EPS 1Y (TTM)-15.54%
EPS 3YN/A
EPS 5Y95.25%
EPS Q2Q%-13.64%
Revenue 1Y (TTM)3.08%
Revenue growth 3Y16.38%
Revenue growth 5Y20.89%
Sales Q2Q%1.54%
3.2 Future
The Earnings Per Share is expected to grow by 8.25% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.45% on average over the next years.
EPS Next Y-12.54%
EPS Next 2Y-5.41%
EPS Next 3Y-0.96%
EPS Next 5Y8.25%
Revenue Next Year2.22%
Revenue Next 2Y2.71%
Revenue Next 3Y3.02%
Revenue Next 5Y3.45%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.42, the valuation of RPD can be described as very cheap.
Based on the Price/Earnings ratio, RPD is valued cheaply inside the industry as 92.88% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of RPD to the average of the S&P500 Index (25.51), we can say RPD is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 6.71, the valuation of RPD can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RPD indicates a rather cheap valuation: RPD is cheaper than 93.59% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.98. RPD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.42 | ||
| Fwd PE | 6.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RPD is valued cheaper than 80.07% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, RPD is valued cheaper than 98.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.63 | ||
| EV/EBITDA | 18.23 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.07
EPS Next 2Y-5.41%
EPS Next 3Y-0.96%
5. Dividend
5.1 Amount
RPD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:RPD (11/19/2025, 2:03:17 PM)
13.62
+0.15 (+1.11%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.51%
Inst Owner Change1.64%
Ins Owners1.66%
Ins Owner Change0.54%
Market Cap881.89M
Revenue(TTM)858.67M
Net Income(TTM)18.77M
Analysts69.66
Price Target25 (83.55%)
Short Float %5.96%
Short Ratio3.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)27.06%
Min EPS beat(2)24.65%
Max EPS beat(2)29.46%
EPS beat(4)3
Avg EPS beat(4)22.6%
Min EPS beat(4)-4.29%
Max EPS beat(4)40.57%
EPS beat(8)7
Avg EPS beat(8)22.34%
EPS beat(12)11
Avg EPS beat(12)36.53%
EPS beat(16)14
Avg EPS beat(16)40.19%
Revenue beat(2)1
Avg Revenue beat(2)0%
Min Revenue beat(2)-0.06%
Max Revenue beat(2)0.05%
Revenue beat(4)2
Avg Revenue beat(4)0.23%
Min Revenue beat(4)-0.06%
Max Revenue beat(4)0.94%
Revenue beat(8)5
Avg Revenue beat(8)0.46%
Revenue beat(12)8
Avg Revenue beat(12)0.47%
Revenue beat(16)11
Avg Revenue beat(16)0.73%
PT rev (1m)-2%
PT rev (3m)-19.78%
EPS NQ rev (1m)-6.21%
EPS NQ rev (3m)-7.5%
EPS NY rev (1m)0.14%
EPS NY rev (3m)5.89%
Revenue NQ rev (1m)-1.15%
Revenue NQ rev (3m)-1.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.42 | ||
| Fwd PE | 6.71 | ||
| P/S | 1.03 | ||
| P/FCF | 5.63 | ||
| P/OCF | 4.9 | ||
| P/B | 6.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.23 |
EPS(TTM)2.12
EY15.57%
EPS(NY)2.03
Fwd EY14.91%
FCF(TTM)2.42
FCFY17.76%
OCF(TTM)2.78
OCFY20.41%
SpS13.26
BVpS1.96
TBVpS-8
PEG (NY)N/A
PEG (5Y)0.07
Graham Number9.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.13% | ||
| ROE | 14.76% | ||
| ROCE | 1.2% | ||
| ROIC | 0.74% | ||
| ROICexc | 1.15% | ||
| ROICexgc | 10.55% | ||
| OM | 1.58% | ||
| PM (TTM) | 2.19% | ||
| GM | 70.44% | ||
| FCFM | 18.24% |
ROA(3y)-5.93%
ROA(5y)-7.98%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.87%
GM growth 5Y-0.53%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.01 | ||
| Debt/FCF | 5.69 | ||
| Debt/EBITDA | 15.04 | ||
| Cap/Depr | 51.13% | ||
| Cap/Sales | 2.72% | ||
| Interest Coverage | 2.16 | ||
| Cash Conversion | 303.86% | ||
| Profit Quality | 834.6% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z | 0.14 |
F-Score5
WACC7.77%
ROIC/WACC0.09
Cap/Depr(3y)58.23%
Cap/Depr(5y)63.81%
Cap/Sales(3y)3.39%
Cap/Sales(5y)3.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.54%
EPS 3YN/A
EPS 5Y95.25%
EPS Q2Q%-13.64%
EPS Next Y-12.54%
EPS Next 2Y-5.41%
EPS Next 3Y-0.96%
EPS Next 5Y8.25%
Revenue 1Y (TTM)3.08%
Revenue growth 3Y16.38%
Revenue growth 5Y20.89%
Sales Q2Q%1.54%
Revenue Next Year2.22%
Revenue Next 2Y2.71%
Revenue Next 3Y3.02%
Revenue Next 5Y3.45%
EBIT growth 1Y-69.97%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-1.92%
EBIT Next 3Y5.19%
EBIT Next 5YN/A
FCF growth 1Y199.95%
FCF growth 3Y63.8%
FCF growth 5YN/A
OCF growth 1Y122.11%
OCF growth 3Y47.11%
OCF growth 5YN/A
RAPID7 INC / RPD FAQ
What is the fundamental rating for RPD stock?
ChartMill assigns a fundamental rating of 4 / 10 to RPD.
What is the valuation status of RAPID7 INC (RPD) stock?
ChartMill assigns a valuation rating of 7 / 10 to RAPID7 INC (RPD). This can be considered as Undervalued.
How profitable is RAPID7 INC (RPD) stock?
RAPID7 INC (RPD) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for RPD stock?
The Price/Earnings (PE) ratio for RAPID7 INC (RPD) is 6.42 and the Price/Book (PB) ratio is 6.93.