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UBS Boosts Rapid7 (RPD) Price Target Despite Modest Q2 Revenue Growth

Fri, Aug 15, 2025, 12:05 PM 2 min read

Rapid7, Inc. (NASDAQ:RPD) is one of the most undervalued cybersecurity stocks to buy now. On August 8, UBS maintained its Buy rating on Rapid7, Inc. (NASDAQ:RPD), and increased its price target from $30 to $34. UBS said the company’s Q2 FY 2025 earnings were “ok”. However, the latest price target represents a whopping 61% upside from the current market price of $21.08.

UBS Boosts Rapid7 (RPD) Price Target Despite Modest Q2 Revenue Growth

A computer engineer analyzing a server network for cyber security threats.

Rapid7, Inc. (NASDAQ:RPD) reported revenue of $214.2 million, barely beating analyst expectations of $212 million, but just a modest 3% year-on-year growth. The company’s EPS stood at $0.58 per share, which easily beat estimates of $0.44. The company confirmed its full-year revenue guidance of $858 million at the midpoint, a modest increase from the previous year’s revenue of $844 million. It also raised its full-year EPS guidance to $1.96, marking a 6.5% increase.

Rapid7, Inc. (NASDAQ:RPD)’s CEO Corey Thomas said in the company’s earnings call that its ARR (Annual Recurring Revenue) guidance was narrowed due to a shift toward larger, albeit less predictable deals amid ongoing volatility. Thomas said that the company is working to simplify adoption and is focusing instead on strategic, high-value customers over smaller, transactional ones.

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