Buy, Sell or Hold? Detail Analysis Infosys Limited (INFY) or At Rapid7, Inc. (RPD)?

The shares of Infosys Limited have increased by more than 18.82% this year alone. The shares recently went up by 0.81% or $0.09 and now trades at …

The shares of Infosys Limited have increased by more than 18.82% this year alone. The shares recently went up by 0.81% or $0.09 and now trades at $11.25. The shares of Rapid7, Inc. (NASDAQ:RPD), has jumped by 85.56% year to date as of 08/08/2019. The shares currently trade at $57.82 and have been able to report a change of -5.31% over the past one week.

The stock of Infosys Limited and Rapid7, Inc. were two of the most active stocks on Thursday. Investors seem to be very interested in what happens to the stocks of these two companies but do investors favor one over the other? We will analyze the growth, profitability, risk, valuation, and insider trends of both companies and see which one investors prefer.

Next 5Y EPS Growth: 8.00% versus -0.46%

When a company is able to grow consistently in terms of earnings at a high compound rate have the highest likelihood of creating value for its shareholders over time. Analysts have predicted that INFY will grow it’s earning at a 8.00% annual rate in the next 5 years. This is in contrast to RPD which will have a positive growth at a -0.46% annual rate. This means that the higher growth rate of INFY implies a greater potential for capital appreciation over the years.

Profitability and Returns

Growth alone cannot be used to see if the company will be valuable. Shareholders will be the losers if a company invest in ventures that aren’t profitable enough to support upbeat growth. In order for us to accurately measure profitability and return, we will be using the EBITDA margin and Return on Investment (ROI), which balances the difference in capital structure. The ROI of INFY is 19.30% while that of RPD is -20.40%. These figures suggest that INFY ventures generate a higher ROI than that of RPD.

Cash Flow

The value of a stock is ultimately determined by the amount of cash flow that the investors have available. Over the last 12 months, INFY’s free cash flow per share is a negative -89.3.

Liquidity and Financial Risk

The ability of a company to meet up with its short-term obligations and be able to clear its longer-term debts is measured using Liquidity and leverage ratios. The current ratio for INFY is 2.10 and that of RPD is 1.40. This implies that it is easier for INFY to cover its immediate obligations over the next 12 months than RPD. The debt ratio of INFY is 0.07 compared to 2.05 for RPD. RPD can be able to settle its long-term debts and thus is a lower financial risk than INFY.


INFY currently trades at a forward P/E of 18.81, a P/B of 5.92, and a P/S of 3.91 while RPD trades at a forward P/E of 155.43, a P/B of 31.94, and a P/S of 11.18. This means that looking at the earnings, book values and sales basis, INFY is the cheaper one. It is very obvious that earnings are the most important factors to investors, thus analysts are most likely to place their bet on the P/E.

Analyst Price Targets and Opinions

The mistake some people make is that they think a cheap stock has more value to it. In order to know the value of a stock, there is need to compare its current price to its likely trading price in the future. The price of INFY is currently at a -1.49% to its one-year price target of 11.42. Looking at its rival pricing, RPD is at a -17.25% relative to its price target of 69.87.

When looking at the investment recommendation on say a scale of 1 to 5 (1 being a strong buy, 3 a hold, and 5 a sell), INFY is given a 2.90 while 1.70 placed for RPD. This means that analysts are more bullish on the outlook for INFY stocks.

Insider Activity and Investor Sentiment

Short interest or otherwise called the percentage of a stock’s tradable shares currently being shorted is another data that investors use to get a handle on sentiment. The short ratio for INFY is 8.40 while that of RPD is just 6.75. This means that analysts are more bullish on the forecast for RPD stock.


The stock of Rapid7, Inc. defeats that of Infosys Limited when the two are compared, with RPD taking 5 out of the total factors that were been considered. RPD happens to be more profitable, generates a higher ROI, has higher cash flow per share, higher liquidity and has a lower financial risk. When looking at the stock valuation, RPD is the cheaper one on an earnings, book value and sales basis. Finally, the sentiment signal for RPD is better on when it is viewed on short interest.

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RPD is Rapidly Becoming Important; Gets Listed on Coinomi Wallet

Rapids (RPD) was recently added to the longest standing (and never hacked) mobile cryptocurrency wallet Coinomi. This should go unnoticed as …

RPD is a cryptocurrency that has been quietly making exciting progress during the bear market.

Rapids (RPD) was recently added to the longest standing (and never hacked) mobile cryptocurrency wallet Coinomi. This should go unnoticed as Coinomi is known for having one of the highest “integration” fees in crypto. This means RPD not only has funds but is keen on using them in a manner that makes RPD easy to transfer and trade.

As a masternode and staking platform, users who hold RPD on their desktop wallet earn a return multiple times per day, now those same individuals have the option to hold their RPD on Coinomi and take their RPD mobile.

If mobility is what concerns the user, RPD’s addition to PocketNode is another positive step as those that hold enough RPD for a masternode can set it up with 1 click. RPD masternodes currently require 10 million RPD, making it valued at $2500. As one of the less expensive options on PocketNode, it seems many users may have an interest in RPD. They also are one of the masternodes producing the highest returns.

RPD is not currently traded on any “Top 10” exchange, and more importantly none of the “Big 3.” With a community that is rapidly growing it seems likely that a major listing will be the catalyst that moves RPD exponentially higher in value.

What Next?

A Coinomi listing is essential, setting up masternodes with 1 click through PocketNode is a bonus, does RPD have anything else up their sleeve heading into what could be a cataclysmic bull run?

Bitcoin’s halving is 1 year from the middle of this May (when bull runs generally start). Consensus is exactly a month away (another 50/50 chance for a market pump). Last year didn’t see a Consensus pump, will this year?

It seems with $3000 having been retested and BTC breaking out heading into May that the bull run may have started earlier than anyone had expected.

Will RPD follow in Bitcoin’s footsteps and trend North?

It seems likely with a new ambassador program, attending numerous conferences, additions to Coinomi and PocketNode, and the lack of a major exchange. When will a contender for a major exchange come online for RPD trading?

RPD with under a $5 million market cap and no major exchange listing has the ability to break out at any point.

[Disclaimer: This views expressed in this article do not reflect the views of Blockchain Reporter and should not be taken as financial advice.]

To read the Crypto King’s prior articles or to get in contact directly with him, you can on Twitter (@JbtheCryptoKing) or Reddit. The King is the founder of PocketNode, ANON and actively trades cryptocurrencies.

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Rapid7 (RPD) Catches Eye: Stock Jumps 8.5%

Investors interested in the Internet – Software industry may consider a better-ranked stock like Alteryx, Inc. (AYX – Free Report) , which carries a Zacks …

Rapid7, Inc. (RPDFree Report) was a big mover last session, as the company saw its shares rise nearly 9% on the day. The move came on solid volume too with far more shares changing hands than in a normal session. This breaks the recent trend of the company, as the stock is now trading above the volatile price range of $44.21 to $47.06 in the past one-month time frame.

The move came after Macquarie Research cited upbeat prospects for a security solution known as SOAR.

The company has seen no changes when it comes to estimate revision over the past few weeks, while the Zacks Consensus Estimate for the current quarter has also remained unchanged. The recent price action is encouraging though, so make sure to keep a close watch on this firm in the near future.

Rapid7 currently has a Zacks Rank #3 (Hold) while its Earnings ESP is 0.00%.

Rapid7, Inc. Price

Rapid7, Inc. Price | Rapid7, Inc. Quote

Investors interested in the Internet – Software industry may consider a better-ranked stock like Alteryx, Inc. (AYXFree Report) , which carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Is RPD going up? Or down? Predict to see what others think:Up or Down

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