Form 4: Rapid7 CEO Exercises Options, Adjusts Holdings

Rapid7, Inc. CEO Corey E. Thomas exercised non-qualified stock options for 200,000 shares and adjusted his beneficial ownership.

Summary

• Corey E. Thomas, CEO and Director of Rapid7, Inc., executed a transaction on December 18, 2025.
• Exercised non-qualified stock options for 200,000 shares at an exercise price of $12.98 per share.
• Rapid7, Inc. withheld 182,321 shares at $15.66 per share to cover the exercise price and related withholding taxes.
• This resulted in a net issuance of 17,679 shares to Mr. Thomas.
• Following the transactions, Mr. Thomas directly owns 612,745 shares.
• He also indirectly holds 218,748 shares through Thomas Family Holdings LLC and 30,000 shares through the Corey E. Thomas Irrevocable Trust of 2016.

Sentiment

Score: 6

Explanation: The CEO exercised a significant number of stock options, indicating a realization of value from prior equity compensation. While a large portion was sold to cover taxes and exercise costs, the underlying action suggests a positive view on the company's performance that led to the options being in-the-money.

Positives

• The CEO exercised a significant number of options (200,000 shares), indicating a realization of value from prior equity compensation.
• The exercise price of $12.98 is below the disposition price of $15.66, suggesting the stock price has appreciated since the options were granted.

Negatives

• A substantial portion of the exercised shares (182,321 shares) were disposed of to cover taxes and exercise costs, reducing the net increase in direct ownership.

Stakeholder Impact

• Shareholders: The CEO's exercise of options and subsequent sale for tax purposes is a routine event for executives and does not typically have a direct, significant impact on other shareholders beyond the minor dilution from option exercise.

Key Dates

Keywords

Rapid7, RPD, Corey E. Thomas, Stock Options, Insider Trading, Form 4, CEO, Equity Compensation, Beneficial Ownership