RAPID7 INC (RPD)
US7534221046 - Common Stock
Overall RPD gets a fundamental rating of 3 out of 10. We evaluated RPD against 277 industry peers in the Software industry. RPD has a bad profitability rating. Also its financial health evaluation is rather negative. RPD may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year RPD was profitable.
RPD had a positive operating cash flow in the past year.
In the past 5 years RPD always reported negative net income.
Of the past 5 years RPD 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -8.14%, RPD perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
RPD has a better Return On Invested Capital (0.55%) than 68.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.14% | ||
| ROE | N/A | ||
| ROIC | 0.55% |
ROA(3y)-10.13%
ROA(5y)-9.86%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RPD has a Operating Margin of 0.84%. This is in the better half of the industry: RPD outperforms 67.75% of its industry peers.
With a Gross Margin value of 70.42%, RPD perfoms like the industry average, outperforming 58.33% 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 | 0.84% | ||
| PM (TTM) | N/A | ||
| GM | 70.42% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.13%
GM growth 5Y-0.19%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RPD is destroying value.
The number of shares outstanding for RPD has been increased compared to 1 year ago.
RPD has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, RPD has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.61, we must say that RPD is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.61, RPD is doing worse than 67.03% of the companies in the same industry.
RPD has a debt to FCF ratio of 8.25. This is a slightly negative value and a sign of low solvency as RPD would need 8.25 years to pay back of all of its debts.
RPD has a Debt to FCF ratio (8.25) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 8.25 | ||
| Altman-Z | 0.61 |
ROIC/WACC0.06
WACC8.53%
2.3 Liquidity
A Current Ratio of 1.19 indicates that RPD should not have too much problems paying its short term obligations.
RPD has a worse Current ratio (1.19) than 67.39% 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.
With a Quick ratio value of 1.19, RPD is not doing good in the industry: 64.86% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.19 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 204.69% over the past year.
Looking at the last year, RPD shows a quite strong growth in Revenue. The Revenue has grown by 12.46% in the last year.
Measured over the past years, RPD shows a very strong growth in Revenue. The Revenue has been growing by 26.08% on average per year.
EPS 1Y (TTM)204.69%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q243.75%
Revenue 1Y (TTM)12.46%
Revenue growth 3Y23.64%
Revenue growth 5Y26.08%
Revenue growth Q2Q11.97%
3.2 Future
The Earnings Per Share is expected to grow by 16.86% on average over the next years. This is quite good.
The Revenue is expected to grow by 15.51% on average over the next years. This is quite good.
EPS Next Y40.56%
EPS Next 2Y25.14%
EPS Next 3Y21.58%
EPS Next 5Y16.86%
Revenue Next Year10.2%
Revenue Next 2Y10.6%
Revenue Next 3Y11.27%
Revenue Next 5Y15.51%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.54 indicates a rather expensive valuation of RPD.
Compared to the rest of the industry, the Price/Earnings ratio of RPD indicates a rather cheap valuation: RPD is cheaper than 85.51% of the companies listed in the same industry.
RPD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.15.
The Price/Forward Earnings ratio is 15.60, which indicates a correct valuation of RPD.
RPD's Price/Forward Earnings ratio is rather cheap when compared to the industry. RPD is cheaper than 86.59% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.20. RPD is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.54 | ||
| Fwd PE | 15.6 |
4.2 Price Multiples
RPD's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. RPD is cheaper than 69.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, RPD is valued cheaply inside the industry as 84.06% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.04 | ||
| EV/EBITDA | 51.77 |
4.3 Compensation for Growth
RPD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as RPD's earnings are expected to grow with 21.58% in the coming years.
PEG (NY)0.48
PEG (5Y)N/A
EPS Next 2Y25.14%
EPS Next 3Y21.58%
5. Dividend
5.1 Amount
No dividends for RPD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
RAPID7 INC
NASDAQ:RPD (5/17/2024, 7:24:06 PM)
After market: 38.11 0 (0%)38.11
-1.01 (-2.58%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.37B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.54 | ||
| Fwd PE | 15.6 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.48
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.14% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 0.84% | ||
| PM (TTM) | N/A | ||
| GM | 70.42% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.19 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)204.69%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y40.56%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.46%
Revenue growth 3Y23.64%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y