New collaboration integrates Rapid7 platform with HITRUST certification program to help organizations move from periodic audits to continuous complianceBOSTON, Dec. 02, 2025 (GLOBE NEWSWIRE) -- Today, Rapid7, Inc. (NASDAQ: RPD), a leader in threat detection and exposure management, and HITRUST, the leading provider of cybersecurity and AI assurances used in third-party and internal risk, security and compliance management, announced a strategic partnership to help organizations automate compliance and lower ...

BOSTON, Dec. 01, 2025 (GLOBE NEWSWIRE) -- Rapid7, Inc. (NASDAQ: RPD), a leader in threat detection and exposure management, today announced that the company will be attending the Raymond James TMT and Consumer Conference in New York, NY. The presentation is scheduled for Monday, December 8, 2025 at 3:40 p.m. Eastern Time. The presentation will be webcast live, and a replay will be available for a limited time, under the “Events and Presentations” section on the company’s investor relations website at invest ...

Core Insights - Rapid7, Inc. has launched Curated Intelligence Rules for AWS Network Firewall, providing curated threat intelligence directly into AWS environments, enhancing cloud security and reducing operational overhead [1][2][3] Group 1: Product Offering - The new offering allows organizations to scale their cloud defenses and manage network security rules more efficiently, addressing the resource-intensive task of manually updating firewall rules [2][4] - Curated Intelligence Rules convert relevant Indicators of Compromise (IOCs) into high-quality rule groups, enabling immediate protection against real-world threats [2][4] Group 2: Operational Advantages - The rules provide practical defenses against various attack scenarios, including blocking command and control communications, detecting reconnaissance activities, preventing data exfiltration, and identifying malicious domain traffic [4] - The integration of curated intelligence into AWS Network Firewall allows for quick deployment of defenses backed by Rapid7 Labs' research, simplifying the complexity of manual rule creation [3][6] Group 3: Intelligence Sources - The curated intelligence is derived from unique sources such as honeypot data, proprietary research, and insights from open-source initiatives like Metasploit and AttackerKB, enhancing the understanding of the threat landscape [5] - Machine learning models and manual verification from Rapid7 Labs provide additional validation layers for the threat intelligence [5] Group 4: Dynamic Features - The rules emphasize quality over quantity, focusing on low-noise detection aligned with current threats, which helps reduce alert fatigue for security teams [6] - Rapid7's proprietary Decay Scoring system ensures that rules are automatically retired when IOCs become outdated, maintaining the relevance of the intelligence [6] Group 5: Market Context - The launch comes at a time when cybercriminals are rapidly exploiting vulnerabilities, highlighting the importance of integrated threat intelligence in defending against such attacks [7]

Group 1: DraftKings and Flutter Entertainment - Wells Fargo initiated coverage of DraftKings (DKNG) with an Equal Weight rating and a price target of $31, expressing a bullish outlook on domestic online sports betting growth but indicating a wait for a better entry point due to near-term pressures and competition [1] - Flutter Entertainment (FLUT) was also initiated with an Overweight rating by Wells Fargo [1] Group 2: Carnival and Cruise Line Industry - Carnival (CCL) received an Overweight rating and a price target of $37 from Wells Fargo, which views the cruise sector as the most compelling within its gaming, leisure, and lodging coverage [1] - Norwegian Cruise Line (NCLH) and Royal Caribbean (RCL) were similarly initiated with Overweight ratings by Wells Fargo [1] Group 3: Cybersecurity Companies - Berenberg initiated coverage of Okta (OKTA) with a Buy rating and a price target of $145, considering both Okta and SentinelOne (S) as misunderstood stories with potential for re-rating [1] - CrowdStrike (CRWD) was initiated with a Hold rating and a price target of $600, with Berenberg noting that the market has already priced in its position at the top of the revenue duration curve [1] - Berenberg also started coverage of Rapid7 (RPD) and Qualys (QLYS) with Hold ratings [1] Group 4: Optical Communications - Mizuho initiated coverage of Lumentum (LITE) with an Outperform rating and a price target of $290, highlighting its role as a leading supplier in optical communications and lasers, benefiting from surging demand in artificial intelligence [1]

Core Insights - Rapid7 has been recognized as a Leader in the 2025 Gartner Magic Quadrant for Exposure Assessment Platforms, highlighting its strong vision and execution capabilities in the cybersecurity space [1][4]. Company Overview - Rapid7, Inc. (NASDAQ: RPD) aims to create a safer digital world by simplifying and making cybersecurity more accessible, serving over 11,000 global customers [8]. Product Offering - The company's Exposure Command provides comprehensive exposure detection and remediation capabilities, covering both on-premises and cloud-native environments [2]. - Features include dynamic automated discovery, unified asset classification, real-world threat-validated prioritization, and LLM-based remediation guidance, making it a preferred choice for modern security teams [2]. Market Position - Rapid7 is uniquely positioned as a leader across multiple categories, including exposure management, SIEM, and MDR, being recognized in various market analyses such as the IDC MarketScape and Frost Radar [3]. Strategic Alignment - The recognition aligns with the Gartner Continuous Threat Exposure Management (CTEM) model, emphasizing a continuous, outcome-focused approach to security operations [4]. - Rapid7's Exposure Command operationalizes CTEM by translating technical findings into business-relevant risks, facilitating cross-functional responses [4].

Core Insights - Rapid7's Q3 2025 Threat Landscape Report highlights the evolving tactics of threat actors, emphasizing the acceleration of vulnerability exploitation and the rise of ransomware groups leveraging artificial intelligence [1][2][5] Vulnerability Exploitation - The total number of newly exploited vulnerabilities decreased by 21% from Q2 to Q3 2025, yet attackers are increasingly targeting older, unpatched vulnerabilities, including those over a decade old [2] - The exploitation of critical vulnerabilities in Microsoft SharePoint (CVE-2025-53770) and Cisco ASA/FTD products illustrates the urgent need for timely patching [3] Ransomware Activity - The number of active ransomware groups surged to 88 in Q3 2025, up from 65 in Q2 and 76 in Q1, indicating a significant increase in ransomware activity [4] - New alliances among ransomware groups, such as Qilin, SafePay, and WorldLeaks, are targeting various industries and employing innovative tactics like fileless operations and single-extortion data leaks [4] AI and Cyber Warfare - Generative AI is facilitating the creation of sophisticated phishing campaigns and adaptive malware, lowering barriers for cybercriminals [5] - Nation-state actors from Russia, China, and Iran are refining their tactics, focusing on supply chain and identity system attacks, which blur the lines between espionage and disruption [5] Report Overview - The Rapid7 Threat Landscape Report provides a comprehensive analysis of global adversary behavior, covering various threats from ransomware to state-sponsored operations and AI-driven attacks [7]

Core Viewpoint - Rapid7 (RPD) has experienced a significant decline of 22.7% over the past four weeks, but it is now in oversold territory, indicating a potential for a trend reversal as analysts expect better earnings than previously predicted [1] Group 1: Technical Indicators - The Relative Strength Index (RSI) is a key technical indicator used to determine if a stock is oversold, with readings below 30 typically indicating this condition [2] - RPD's current RSI reading is 22.29, suggesting that the heavy selling pressure may be exhausting itself, which could lead to a reversal towards the previous equilibrium of supply and demand [5] Group 2: Fundamental Indicators - There is a strong consensus among sell-side analysts that RPD's earnings estimates for the current year have increased by 1.5% over the last 30 days, which often correlates with price appreciation in the near term [7] - RPD holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [8]

Core Insights - Rapid7, Inc. is a cybersecurity company that provides security data and analytics solutions, competing with firms like Palo Alto Networks and CrowdStrike [1] - The stock price target set by Jefferies is $19, indicating a potential upside of approximately 6.74% from the current trading price of $17.80 [1][4] Financial Performance - Rapid7's stock reached a new 52-week low, trading as low as $17.73 and closing at $17.80, down from $18.68 [2][5] - The company reported an earnings per share (EPS) of $0.57 for the quarter, exceeding the consensus estimate of $0.45 by $0.12 [2][5] - Revenue for the quarter was $217.96 million, slightly above analyst expectations of $216.14 million, marking a 1.5% increase year-over-year [3][5] - The net margin for the quarter was 3.41%, and the return on equity was 149.12% [3] - For fiscal year 2025, Rapid7 has set its EPS guidance in the range of 2.02 to 2.09, with Q4 2025 guidance between 0.37 and 0.44 EPS [4]

Customer Base and Revenue - As of September 30, 2025, the company had over 11,000 customers in 150 countries, including 36% of the Fortune 100[111] - Recurring revenue for the three and nine months ended September 30, 2025 was 96% and 97% of total revenue, compared to 96% for both periods in 2024[118] - Total revenue for Q3 2025 was $217,960,000, a 1.5% increase from $214,654,000 in Q3 2024[141] - The increase in total revenue for the nine months ended September 30, 2025 was primarily driven by renewals and upselling activities, contributing $19,600,000[141] - Annualized recurring revenue (ARR) as of September 30, 2025, was $837.73 million, representing a year-over-year growth of 1.8%[158] - Total revenue for the three months ended September 30, 2025, was $217.96 million, reflecting a year-over-year growth of 1.5%[155] Financial Performance - Net income for Q3 2025 was $9,809,000, a decrease of $5,601,000 (36.4%) from $15,410,000 in Q3 2024[138] - GAAP net income for the nine months ended September 30, 2025, was $20.252 million, down from $23.354 million in the same period of 2024, reflecting a decrease of 13.4%[171] - Non-GAAP net income for the nine months ended September 30, 2025, was $119.679 million, compared to $128.796 million in 2024, showing a decline of 7.1%[171] - Non-GAAP income from operations for the nine months ended September 30, 2025, was $105.61 million, down from $123.51 million in the same period in 2024[156] - Adjusted EBITDA for Q3 2025 was $43.5 million, a decrease of 13.1% compared to $50.1 million in Q3 2024[172] Expenses and Costs - Total operating expenses for the nine months ended September 30, 2025 were $445,587,000, an increase of $30,740,000 (7.4%) from the same period in 2024[138] - Research and development expenses for Q3 2025 were $46,914,000, an increase of $1,938,000 (4.3%) from Q3 2024[145] - Sales and marketing expenses for Q3 2025 totaled $79,296,000, up $4,475,000 (6.0%) from Q3 2024[138] - General and administrative expenses for the nine months ended September 30, 2025, rose by $3.6 million (5.8%) compared to the same period in 2024, driven by a $1.9 million increase in personnel expenses and a $2.4 million rise in professional fees[149] - Total cost of revenue for Q3 2025 was $64,984,000, up 2.9% from $63,157,000 in Q3 2024[143] Cash Flow and Investments - Free cash flow for the nine months ended September 30, 2025, was $97.82 million, compared to $95.24 million in the same period in 2024[157] - Cash and cash equivalents as of September 30, 2025, totaled $130.6 million, down from $230.1 million at the end of Q3 2024[178] - Total cash used in investing activities for the nine months ended September 30, 2025, was $292.2 million, significantly higher than $99.5 million in 2024[182] - Operating activities generated $116.3 million in cash for the nine months ended September 30, 2025, compared to $107.9 million in 2024[180] Tax and Other Income - The company recorded a benefit to the tax provision for the three months ended September 30, 2025, due to the One Big Beautiful Bill Act signed on July 4, 2025[116] - Interest income for the nine months ended September 30, 2025, increased by $1.9 million (12.4%) compared to the same period in 2024, attributed to higher cash and cash equivalents[151] - Other income for the nine months ended September 30, 2025, increased by $4.9 million (720.3%) compared to the same period in 2024, primarily due to favorable foreign exchange rates[153] - The provision for income taxes for the nine months ended September 30, 2025, decreased by $8.2 million (66.1%) compared to the same period in 2024, influenced by a prior period tax expense related to an intercompany sale of intellectual property[154] Company Strategy and Outlook - The company aims to be a leader in delivering integrated risk and threat management across on-premise, cloud, and external attack surfaces[109] - The Command Platform integrates cloud security, SIEM, advanced detection and response, and vulnerability management offerings[108] - The company expects operating expenses to increase as a percentage of revenue as it prioritizes investments to drive growth[129] - Gross margin is expected to fluctuate over time based on factors such as average sales price and revenue mix[128] Debt and Financial Obligations - The company entered into a $200 million revolving credit facility on June 25, 2025, with a letter of credit sublimit of $20 million[112] - The company has a credit agreement allowing for borrowings up to $200 million, with incremental facilities based on Consolidated EBITDA[174] - The company has a minimum spend commitment of $125 million per year over the next five years under a cloud-services agreement, totaling $660 million[176] - The fair value of the company's 2027 Notes and 2029 Notes as of September 30, 2025, was $560.6 million and $264.9 million, respectively[193] Market Conditions - The company does not believe that inflation had a material effect on its business, financial condition, or results of operations as of September 30, 2025[195] - If costs become subject to significant inflationary pressures, the company may not be able to fully offset such higher costs through price increases, which could harm its business and financial condition[195] - As of September 30, 2025, a hypothetical 10% increase or decrease in interest rates would not have had a material impact on the company's financial statements[194]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]