Rapid7, Inc. (RPD) intrinsic value & 10-year financials

Rapid7, Inc. (RPD) has a Graham intrinsic value of $11.96 per share. At $12.61 on Oct 17, 2026, the stock trades 5% above that value. Over the last 10 fiscal years revenue grew 20.8% a year to $859.8M, with an average return on invested capital of -306.8%.

Graham intrinsic value
$11.96
Share price (Oct 17, 2026)
$12.61
Price vs Graham value
5% above
Market cap
$819.7M
Revenue (FY2025)
$859.8M
Revenue growth (10-yr CAGR)
20.8%
ROIC (10-yr avg)
-306.8%
Free cash flow (FY2025)
$146.2M

RPD 10-year financial history

Fiscal year Revenue Net income EPS (diluted) Free cash flow Operating margin ROIC
FY2025 $859.8M $23.4M $0.36 $146.2M 1.3% -6.4%
FY2024 $844.0M $25.5M $0.40 $168.2M 4.2% -8.6%
FY2023 $777.7M -$149.3M -$2.46 $99.9M -10.4% 32.7%
FY2022 $685.1M -$124.7M -$2.13 $57.8M -16.3% 50.6%
FY2021 $535.4M -$146.3M -$2.65 $44.9M -22.4% 106.2%
FY2020 $411.5M -$98.8M -$1.94 -$8.9M -18.0% -2597.7%
FY2019 $326.9M -$53.8M -$1.10 -$30.8M -14.1% -464.5%
FY2018 $244.1M -$55.5M — -$6.7M -21.7% 433.1%
FY2017 $200.9M -$45.5M — $8.5M -24.3% —
FY2016 $157.4M -$49.0M — $4.6M -31.2% —

Source: annual 10-K filings on SEC EDGAR. Figures in USD.

Executive summary

Rapid7, Inc. is a consistent compounder, expanding top-line revenue at 20.8% annually over the past decade.

Rapid7, Inc. has earned high returns on invested capital, averaging 18.5% ROIC over the available history. High ROIC is consistent with a durable franchise, but it is not by itself proof of an economic moat.

Rapid7, Inc. capital allocation metrics are N/A for the decade; share count and net debt history are incomplete.

Benjamin Graham lens

Under Benjamin Graham's formula using SEC EDGAR fundamentals, Rapid7, Inc. is modeled at 15.0% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $11.96 per share.

RPD stock: frequently asked questions

What is the intrinsic value of Rapid7, Inc. (RPD) stock?

Using Benjamin Graham's revised formula, V = EPS × (8.5 + 2g) × 4.4 / Y, with reported diluted earnings per share, a 15.0% normalized growth rate (capped at 15%) and a 5.1% AAA corporate bond yield, RPD's intrinsic value is about $11.96 per share.

Is RPD stock undervalued?

At $12.61 (close on Oct 17, 2026), RPD trades 5% above its Graham value of $11.96. On Graham's terms the shares look fully priced. A formula is a starting point for research, not a recommendation.

How fast has Rapid7, Inc. grown?

Revenue went from $157.4M in fiscal 2016 to $859.8M in fiscal 2025, a compound annual growth rate of 20.8%. Net income was $23.4M in fiscal 2025.

Does Rapid7, Inc. generate free cash flow?

Rapid7, Inc. generated $146.2M of free cash flow (operating cash flow minus capital expenditures) in fiscal 2025. Free cash flow was positive in 7 of the last 10 reported years.

What is RPD's return on invested capital?

Average ROIC over the last 10 fiscal years was -306.8%, and average return on equity was 19.6%. Sustained ROIC above about 15% usually points to a durable competitive advantage.

Where does this RPD data come from?

From Rapid7, Inc.'s annual 10-K filings on SEC EDGAR, most recently filed Aug 10, 2026. Prices are end-of-day snapshots; valuations are formula outputs, not investment advice.

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