RPDRapid7, Inc.
Services-Prepackaged Software
- Revenue
- $860M
- 1.9% YoY
- Operating margin
- 1.3%
- 68% YoY
- EBITDA
- $57M
- 29% YoY
- Market cap
- $1.1B
- Employees
- 2,500
- $344K revenue each
- Net debt / EBITDA
- -7.2×
- −$409M net debt
- AI in 10-K
- 7.9
- mentions per 10K words
Takeover score 5 of 13
Fixable underperformance 2 of 7
- TSR below peersYes4 of 5 years3+ of last 5 years
- High CEO pay despite TSRNo$10M medianMedian CEO pay ≥ $15M while TSR trails
- Earnings not backed by cashNo658% of net incomeCash flow under 80% of net income
- Dilutive SBCYes12% of revenueOver 10% of revenue
- Payouts exceed cash flowNo0% of cash flowBuybacks + dividends over cash flow
- Goodwill-heavyNo34% of assetsOver 40% of assets
- Shareholder dissentNo93% lowest supportAny vote under 80% support
Buyer economics 2 of 4
- Low revenue per employeeNo$344K · 30th pctBottom quartile of its SIC industry
- Quiet on AINo7.9 per 10K words · 90th pctBottom quartile of AI mentions in 10-Ks
- Net cashYesNet cash · 7.2× EBITDAMore cash than debt, positive EBITDA
- Buyout-sizedYes$1.1B market capMarket cap $500M–$5B
Catalysts 1 of 2
- Active 13DYes2 filingsActive-intent 13D in 18 months
- Net insider sellingNo$4M netNet sales over $10M in 12 months
Financials
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | YoY |
|---|---|---|---|---|---|---|
| Revenue | $535M | $685M | $778M | $844M | $860M | 1.9% |
| Operating income | −$120M | −$112M | −$84M | $35M | $12M | 67% |
| Net income | −$146M | −$125M | −$153M | $26M | $23M | 8.4% |
| Operating cash flow | $54M | $78M | $104M | $172M | $154M | 10% |
| Capex | $9M | $20M | $4M | $3M | $8M | 122% |
| Stock-based comp | $103M | $120M | $112M | $108M | $104M | 3.4% |
Deal filings
None.
13D filers
| Filed | Filer | Form | Stake | Intent |
|---|---|---|---|---|
| Mar 30, 2026 | JANA Partners Management, LP | SCHEDULE 13D/A | 10.3% | Active |
| Aug 13, 2025 | JANA Partners Management, LP | SCHEDULE 13D/A | 10.1% | Active |
| Apr 21, 2025 | JANA Partners Management, LP | SCHEDULE 13D/A | 8.0% | Active |
| Apr 10, 2025 | JANA Partners Management, LP | SCHEDULE 13D/A | 7.7% | Active |
| Mar 24, 2025 | JANA Partners Management, LP | SCHEDULE 13D/A | 6.0% | Active |
| Mar 13, 2025 | JANA Partners Management, LP | SCHEDULE 13D/A | 5.8% | Active |
| Dec 18, 2024 | JANA Partners Management, LP | SCHEDULE 13D/A | 5.9% | Passive |
| Sep 27, 2024 | JANA Partners Management, LP | SC 13D | 5.8% | Active |
Insider trading
- Open-market buys, 12 mo
- $4M · 7
- Open-market sells, 12 mo
- $42K · 4
- Net
- $4M
Pay vs performance
| Year | CEO total comp | Comp actually paid | TSR (indexed) | Peer TSR |
|---|---|---|---|---|
| FY2025 | $10M | $2M | 17 | 68 |
| FY2024 | $15M | $8M | 45 | 74 |
| FY2023 | $3M | $6M | 63 | 82 |
| FY2022 | $8M | −$10M | 38 | 50 |
| FY2021 | $11M | $18M | 131 | 108 |