Rapid7, Inc. cash flow to debt ratio of 14.80% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Rapid7, Inc.'s free cash flow has decreased 14.09% from $168.25M last year to $144.53M, signaling decreasing performance

Rapid7, Inc.'s debt to equity ratio is 4.89, which means that the company's assets are unhealthy financed, signaling financial risk.

Rapid7, Inc.'s debt has decreased relative to shareholder equity from 57.49 last year to 4.89 today, signaling strengthened financials

Rapid7, Inc. has a net debt to EBITDA ratio of 6.43x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Rapid7, Inc. earns at least as much interest as it pays. Interest obligations are fully covered.

Rapid7, Inc.'s profit margin has decreased (22.20%) in the last year from 3.02% to 2.35%, signaling decreasing performance

Rapid7, Inc.'s short-term assets of $688.92M exceed its short-term liabilities of $575.37M

Rapid7, Inc.'s return on assets of 1.16% is lower than the 5.00% threshold, indicating inefficient asset utilization

Rapid7, Inc.'s return on equity of 12.33%, is lower than 15.00%, indicating bad performance

Rapid7, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Rapid7, Inc. had positive net income in only 2 out of 5 years, indicating unstable earnings

Rapid7, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Rapid7, Inc. has a free cash flow yield of 18.63%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Rapid7, Inc.'s yearly earnings has decreased 8.40% since last year from $25.53M to $23.38M, signaling decreasing performance

Rapid7, Inc.'s yearly revenue has increased 101.77K% since last year from $844.01M to $859.79B, signaling increasing performance

ROIC 1.57% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Rapid7, Inc.'s 3-year revenue CAGR of 7.87% is positive, indicating growing revenue over the past 3 years

Rapid7, Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Rapid7, Inc. had positive ROE in only 2 out of 5 years, indicating inconsistent returns on equity

Rapid7, Inc. has insufficient data to evaluate this check.

Rapid7, Inc. has an earnings yield of 2.59%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Rapid7, Inc. is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

Rapid7, Inc. has an EV/EBITDA ratio of 15.45x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Rapid7, Inc. is overvalued relative to its fair value price of -26.58 based on Earnings Fair Value model

Rapid7, Inc. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Rapid7, Inc. has a price-to-book ratio of 3.96x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Rapid7, Inc. has a price-to-sales ratio of 0.91x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue