11.89 USD
-0.64 (-5.11%)
RPD gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 278 industry peers in the Software industry. There are concerns on the financial health of RPD while its profitability can be described as average. RPD scores decently on growth, while it is valued quite cheap. This could make an interesting 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.
- RPD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- RPD has a better Return On Assets (1.13%) than 60.07% of its industry peers.
- RPD has a better Return On Equity (14.76%) than 81.30% of its industry peers.
- With a decent Return On Invested Capital value of 0.74%, RPD is doing good in the industry, outperforming 61.15% of the companies in the same industry.
| 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
- The Profit Margin of RPD (2.19%) is better than 60.43% of its industry peers.
- Looking at the Operating Margin, with a value of 1.58%, RPD is in the better half of the industry, outperforming 62.59% of the companies in the same industry.
- RPD has a Gross Margin of 70.44%. This is comparable to the rest of the industry: RPD outperforms 55.40% of its industry peers.
- In the last couple of years the Gross Margin of RPD has remained more or less at the same level.
| 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
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RPD is destroying value.
- RPD has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, RPD has more shares outstanding
- RPD has a better debt/assets ratio than last year.
2.2 Solvency
- RPD has an Altman-Z score of 0.12. This is a bad value and indicates that RPD is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.12, RPD is doing worse than 71.58% of the companies in the same industry.
- 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 (5.69) which is in line with its industry peers.
- RPD has a Debt/Equity ratio of 7.01. This is a high value indicating a heavy dependency on external financing.
- RPD has a worse Debt to Equity ratio (7.01) than 87.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.01 | ||
| Debt/FCF | 5.69 | ||
| Altman-Z | 0.12 |
ROIC/WACC0.1
WACC7.64%
2.3 Liquidity
- RPD has a Current 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.
- RPD has a Current ratio of 1.19. This is in the lower half of the industry: RPD underperforms 66.55% of its industry peers.
- 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.
- The Quick ratio of RPD (1.19) is worse than 65.83% of its industry peers.
| 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
- Looking at the last year, RPD shows a small growth in Revenue. The Revenue has grown by 3.08% in the last year.
- Measured over the past years, RPD shows a very strong growth in Revenue. The Revenue has been growing by 20.89% on average per year.
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
- Based on estimates for the next years, RPD will show a small growth in Earnings Per Share. The EPS will grow by 2.36% on average per year.
- The Revenue is expected to grow by 2.05% on average over the next years.
EPS Next Y-8.87%
EPS Next 2Y-6.13%
EPS Next 3Y-1.84%
EPS Next 5Y2.36%
Revenue Next Year2.09%
Revenue Next 2Y1.81%
Revenue Next 3Y2.19%
Revenue Next 5Y2.05%
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
- A Price/Earnings ratio of 5.61 indicates a rather cheap valuation of RPD.
- RPD's Price/Earnings ratio is rather cheap when compared to the industry. RPD is cheaper than 93.53% of the companies in the same industry.
- RPD is valuated cheaply when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 5.94, the valuation of RPD can be described as very cheap.
- Based on the Price/Forward Earnings ratio, RPD is valued cheaply inside the industry as 92.81% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of RPD to the average of the S&P500 Index (25.83), we can say RPD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.61 | ||
| Fwd PE | 5.94 |
4.2 Price Multiples
- RPD's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. RPD is cheaper than 79.86% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, RPD is valued cheaply inside the industry as 98.20% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.97 | ||
| EV/EBITDA | 17.35 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.06
EPS Next 2Y-6.13%
EPS Next 3Y-1.84%
5. Dividend
5.1 Amount
- No dividends for RPD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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 for 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.
What are the PE and PB ratios of RAPID7 INC (RPD) stock?
The Price/Earnings (PE) ratio for RAPID7 INC (RPD) is 5.61 and the Price/Book (PB) ratio is 6.12.