12.5 USD
-0.45 (-3.47%)
Overall RPD gets a fundamental rating of 4 out of 10. We evaluated RPD against 278 industry peers in the Software industry. While RPD is still in line with the averages on profitability rating, there are concerns on its financial health. 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.
- RPD had a positive operating cash flow in the past year.
- 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's Return On Assets of 1.13% is fine compared to the rest of the industry. RPD outperforms 60.07% of its industry peers.
- With an excellent Return On Equity value of 14.76%, RPD belongs to the best of the industry, outperforming 81.30% of the companies in the same industry.
- The Return On Invested Capital of RPD (0.74%) is better than 61.15% 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 has a better Profit Margin (2.19%) 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.
- Looking at the Gross Margin, with a value of 70.44%, RPD is in line with its industry, outperforming 55.40% of the companies in the same industry.
- 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.
- The number of shares outstanding for RPD has been increased compared to 5 years ago.
- RPD has a better debt/assets ratio than last year.
2.2 Solvency
- RPD has an Altman-Z score of 0.13. This is a bad value and indicates that RPD is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of 0.13, RPD is not doing good in the industry: 71.58% of the companies in the same industry are doing better.
- RPD has a debt to FCF ratio of 5.69. This is a neutral value as RPD would need 5.69 years to pay back of all of its debts.
- RPD's Debt to FCF ratio of 5.69 is in line compared to the rest of the industry. RPD outperforms 55.76% 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.
- 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 | 0.13 |
ROIC/WACC0.1
WACC7.72%
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.
- A Quick Ratio of 1.19 indicates that RPD should not have too much problems paying its short term obligations.
- The Quick ratio of RPD (1.19) is worse than 65.47% 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
- The Revenue has been growing slightly by 3.08% in the past year.
- The Revenue has been growing by 20.89% on average over the past years. This is a very strong growth!
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 2.36% on average over the next years.
- 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
- Based on the Price/Earnings ratio of 5.90, the valuation of RPD can be described as very cheap.
- 93.53% of the companies in the same industry are more expensive than RPD, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, RPD is valued rather cheaply.
- The Price/Forward Earnings ratio is 6.25, which indicates a rather cheap valuation of RPD.
- Based on the Price/Forward Earnings ratio, RPD is valued cheaply inside the industry as 92.81% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. RPD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.9 | ||
| Fwd PE | 6.25 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RPD indicates a somewhat cheap valuation: RPD is cheaper than 79.86% of the companies listed in the same industry.
- RPD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RPD is cheaper than 98.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.22 | ||
| EV/EBITDA | 17.82 |
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 5.9 and the Price/Book (PB) ratio is 6.43.