RAPID7 INC (RPD) Stock Fundamental Analysis
USA - NASDAQ:RPD - US7534221046 - Common Stock
17.8 USD
-0.88 (-4.71%)
15.6 USD
-2.2 (-12.36%)
RPD gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 284 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
RPD had positive earnings in the past year.
RPD had a positive operating cash flow in the past year.
In the past 5 years RPD reported 4 times negative net income.
Each year in the past 5 years RPD had a positive operating cash flow.
1.2 Ratios
RPD's Return On Assets of 1.55% is fine compared to the rest of the industry. RPD outperforms 63.73% of its industry peers.
With an excellent Return On Equity value of 28.21%, RPD belongs to the best of the industry, outperforming 90.85% of the companies in the same industry.
RPD has a Return On Invested Capital of 1.23%. This is in the better half of the industry: RPD outperforms 63.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 28.21% | ||
| ROIC | 1.23% |
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 (2.98%) is better than 64.79% of its industry peers.
RPD's Operating Margin of 2.55% is fine compared to the rest of the industry. RPD outperforms 65.49% of its industry peers.
Looking at the Gross Margin, with a value of 70.56%, RPD is in line with its industry, outperforming 55.99% 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 | 2.55% | ||
| PM (TTM) | 2.98% | ||
| GM | 70.56% |
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
The debt/assets ratio for RPD has been reduced compared to a year ago.
2.2 Solvency
RPD has an Altman-Z score of 0.32. 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 0.32, RPD is doing worse than 70.07% of the companies in the same industry.
RPD has a debt to FCF ratio of 5.42. This is a neutral value as RPD would need 5.42 years to pay back of all of its debts.
RPD has a Debt to FCF ratio (5.42) which is in line with its industry peers.
RPD has a Debt/Equity ratio of 9.84. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of RPD (9.84) is worse than 84.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.84 | ||
| Debt/FCF | 5.42 | ||
| Altman-Z | 0.32 |
ROIC/WACC0.15
WACC8.23%
2.3 Liquidity
RPD has a Current Ratio of 1.36. 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 Current ratio, with a value of 1.36, RPD is in line with its industry, outperforming 42.96% of the companies in the same industry.
RPD has a Quick Ratio of 1.36. This is a normal value and indicates that RPD is financially healthy and should not expect problems in meeting its short term obligations.
RPD's Quick ratio of 1.36 is in line compared to the rest of the industry. RPD outperforms 43.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
The earnings per share for RPD have decreased strongly by -15.54% in the last year.
RPD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 95.25% yearly.
The Revenue has grown by 8.53% in the past year. This is quite good.
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)8.53%
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 quite strong growth in Earnings Per Share. The EPS will grow by 8.25% on average per year.
RPD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.45% yearly.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.40 indicates a reasonable valuation of RPD.
91.90% of the companies in the same industry are more expensive than RPD, based on the Price/Earnings ratio.
RPD is valuated cheaply when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 8.76, the valuation of RPD can be described as reasonable.
Based on the Price/Forward Earnings ratio, RPD is valued cheaply inside the industry as 91.55% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of RPD to the average of the S&P500 Index (22.27), we can say RPD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.4 | ||
| Fwd PE | 8.76 |
4.2 Price Multiples
80.63% of the companies in the same industry are more expensive than RPD, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, RPD is valued cheaply inside the industry as 97.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.01 | ||
| EV/EBITDA | 18.96 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.09
EPS Next 2Y-5.41%
EPS Next 3Y-0.96%
5. Dividend
5.1 Amount
No dividends for RPD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
17.8
-0.88 (-4.71%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners101.51%
Inst Owner Change-0.82%
Ins Owners1.66%
Ins Owner Change0.04%
Market Cap1.15B
Revenue(TTM)844.01M
Net Income(TTM)25.52M
Analysts69.66
Price Target25 (40.45%)
Short Float %5.99%
Short Ratio4.4
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)35.02%
Min EPS beat(2)29.46%
Max EPS beat(2)40.57%
EPS beat(4)3
Avg EPS beat(4)22.96%
Min EPS beat(4)-4.29%
Max EPS beat(4)40.57%
EPS beat(8)7
Avg EPS beat(8)21.45%
EPS beat(12)11
Avg EPS beat(12)46.26%
EPS beat(16)14
Avg EPS beat(16)50.47%
Revenue beat(2)1
Avg Revenue beat(2)0.01%
Min Revenue beat(2)-0.03%
Max Revenue beat(2)0.05%
Revenue beat(4)3
Avg Revenue beat(4)0.58%
Min Revenue beat(4)-0.03%
Max Revenue beat(4)1.37%
Revenue beat(8)5
Avg Revenue beat(8)0.45%
Revenue beat(12)8
Avg Revenue beat(12)0.41%
Revenue beat(16)12
Avg Revenue beat(16)0.94%
PT rev (1m)-2%
PT rev (3m)-22.53%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)-1.45%
EPS NY rev (1m)0.14%
EPS NY rev (3m)5.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.45%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.4 | ||
| Fwd PE | 8.76 | ||
| P/S | 1.35 | ||
| P/FCF | 7.01 | ||
| P/OCF | 6.23 | ||
| P/B | 12.74 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.96 |
EPS(TTM)2.12
EY11.91%
EPS(NY)2.03
Fwd EY11.41%
FCF(TTM)2.54
FCFY14.26%
OCF(TTM)2.86
OCFY16.05%
SpS13.21
BVpS1.4
TBVpS-8.65
PEG (NY)N/A
PEG (5Y)0.09
Graham Number8.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 28.21% | ||
| ROCE | 2% | ||
| ROIC | 1.23% | ||
| ROICexc | 2.31% | ||
| ROICexgc | N/A | ||
| OM | 2.55% | ||
| PM (TTM) | 2.98% | ||
| GM | 70.56% | ||
| FCFM | 19.21% |
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-Score6
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.84 | ||
| Debt/FCF | 5.42 | ||
| Debt/EBITDA | 13.18 | ||
| Cap/Depr | 45.35% | ||
| Cap/Sales | 2.42% | ||
| Interest Coverage | 3.57 | ||
| Cash Conversion | 273.94% | ||
| Profit Quality | 643.91% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 0.32 |
F-Score6
WACC8.23%
ROIC/WACC0.15
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)8.53%
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-43.16%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-1.92%
EBIT Next 3Y5.19%
EBIT Next 5YN/A
FCF growth 1Y163.05%
FCF growth 3Y63.8%
FCF growth 5YN/A
OCF growth 1Y89.79%
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 6 / 10 to RAPID7 INC (RPD). This can be considered as Fairly Valued.
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 8.4 and the Price/Book (PB) ratio is 12.74.