Rapid7 Q1 revenue falls 0.3%, slightly beats estimates

Rapid7

05/05/2026 22:06

Overview

U.S. cybersecurity firm's Q1 revenue slightly beat analyst expectations, down 0.3% yr/yr

Adjusted EPS for Q1 slightly exceeded consensus

Annualized recurring revenue fell 0.6% yr/yr to $832 mln

Outlook

Rapid7 sees Q2 revenue between $207 mln and $209 mln

Company expects full-year 2026 revenue of $836 mln to $842 mln

Rapid7 forecasts full-year 2026 free cash flow of $125 mln to $135 mln

Result Drivers

AI-POWERED SECURITY DEMAND - Co said demand for AI SOC and preemptive security infrastructure remains strong as customers face more vulnerabilities and attacks, per CEO Corey Thomas

PRODUCT ENHANCEMENTS - Co highlighted acquisition of Kenzo Security and new cloud security features as efforts to strengthen AI-powered security operations

Company press release: ID:nGNX3KzmLR

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Beat*
$209.69 mln
$207.95 mln (22 Analysts)

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 20 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy."

Wall Street's median 12-month price target for Rapid7 Inc is $10.00, about 54.1% above its May 4 closing price of $6.49

The stock recently traded at 4 times the next 12-month earnings vs. a P/E of 6 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)