Rapid7 Inc. (RPD): Solid Earnings Beat, Growth Concerns Ahead

Rapid7, Inc. (NASDAQ:RPD) is one of the best high-growth cybersecurity stocks to buy. Rapid7, Inc. (NASDAQ:RPD) released its fourth-quarter 2025 results on February 10, posting earnings per share of $0.44—$0.03 above Wall Street expectations. Revenue came in at $217.39 million, narrowly topping consensus estimates. However, annualized recurring revenue held steady at $840 million, raising concern about the company’s ability to add new customers and grow existing accounts. On a positive note, ARR per customer has climbed significantly over the past few years, increasing to $72,000 from $58,000 in 2021.

The company continues to focus on operational efficiency and platform consolidation, serving over 11,500 customers and integrating with more than 500 partners in the $85 billion security operations market.

For 2026, Rapid7 expects Q1 revenue of $207–209 million and full-year revenue of $835–843 million, slightly below 2025 levels. ARR is projected to fall to $830 million, while profitability remains solid, with operating income of $108–116 million and free cash flow of $125–135 million. CEO Corey Thomas emphasized the company’s focus on delivering measurable business results to maintain a competitive edge.

On January 14, Rapid7 announced a partnership with ARMO to add cloud and application runtime security to its Command platform. The deal is designed to improve visibility into cloud environments and strengthen threat detection, giving IT teams clearer, prioritized insights and helping them respond to risks more quickly.

The integration will also allow security teams to detect active threats in real time and respond instantly by isolating compromised workloads.

Rapid7 Inc. (NASDAQ:RPD) is a cybersecurity company that provides cloud-native solutions for vulnerability management, incident detection and response (SIEM/XDR), application security, and threat intelligence.

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Disclosure: None. This article is originally published at Insider Monkey.