Yes, RANK.EQ definitely has usability / functionality / usefulness flaws. I learned about the COUNTIFS method, today.
Similar topic discussed: https://techcommunity.microsoft.com/t5/excel/using-filter-as-input-to-rank/m-p/3860460
I like the use of COUNTIFs. Which can provide a proper rank and addresses the multiple issues listed above. First, for readability and transferability, use Excel Tables (so that you can reference cells by [column] and [@column]. Second, COUNTIFS allows up to 127 individual Criteria sets.
How? Think of COUNTIFS as multiple "AND" statements (e.g. A row is counted when: Column A meets Criteria A AND Column B meets Criteria B AND so on...). So, in the example above (assume you highlight all the data, including the headers Group1, Group2 and INSERT as Table). Now, create a 3rd Column called RANK and set the formula:
=COUNTIFS([Group1],[@Group1],[Group2],">"&[@Group2]) + 1
The + 1 on the end sets the RANK starting at 1 (instead of 0)
Problems with RANK.EQ / RANK.AVG a) doesn't support the (now common in many Excel formulas) Dynamic Arrays thus preventing the ability to perform a rank operation on a filtered/sorted sub-list (like the above example), and b) RANK ignores duplicates. Which seems sufficiently not satisfying the definition of Rank. When I think of real-world scenarios that might Rank test scores of students (grouped in different classes or grouped by specific tests). When students in a class have the same score on a test, it doesn't mean that there are fewer students in the class. A rank of 23rd of 30 students can be misleading (in a class of 50 students where the scores are A, B, C, D, F... a student could tell their parents that they had the fifth best grade in the class!). Or how about in Golf? When 2 players tie for 3rd place, is the next player on the leaderboard in 4th place? No (s)he's in 5th place (or RANK = 5).
Notice the added values at the bottom of the list for Group1 = B... This method proper ranks the Group2 value of "2" as 6th out of 6 entries.

Cheers!
RANK.EQwon't accept an array that doesn't tie back to a cell range in the second argument.=RANK.EQ(1, {1,2,3})also doesn't work. I have had issues trying to use other functions likeSUMIFSin a similar manner.