Rubrik (NYSE:RBRK) Issues Quarterly Earnings Results, Beats Estimates By $0.19 EPS

Rubrik (NYSE:RBRK) posted its quarterly earnings data on Thursday. The company reported $0.16 EPS for the quarter, beating the consensus estimate of ($0.03) by $0.19, FiscalAI reports. The firm had revenue of $387.07 million during the quarter, compared to analyst estimates of $366.31 million. During the same period in the prior year, the company posted ($0.15) earnings per share. The firm’s revenue for the quarter was up 39.0% compared to the same quarter last year. Rubrik updated its FY 2027 guidance to 0.250-0.350 EPS and its Q2 2027 guidance to 0.030-0.050 EPS.

Here are the key takeaways from Rubrik’s conference call:

• Rubrik reported a record Q1, with subscription ARR of $1.57 billion up 32% year over year and subscription revenue of $374 million up 41%.
• Customer expansion remained strong, with NRR of about 120% and 2,946 customers above $100K in subscription ARR, up 24% year over year.
• Profitability improved meaningfully, as subscription ARR contribution margin rose by more than 500 basis points year over year and free cash flow reached $74 million.
• Management raised full-year guidance and said Mythos/frontier AI developments are driving more customer interest in cyber resilience and recovery, reinforcing Rubrik’s core market thesis.
• Rubrik highlighted early traction in Identity Resilience and Rubrik Agent Cloud, including early POCs converting to production, but these initiatives are still in the early stages of commercialization.

Rubrik Stock Down 5.0%

Shares of RBRK opened at $73.15 on Friday. Rubrik has a 52-week low of $42.25 and a 52-week high of $103.00. The company has a market capitalization of $14.80 billion, a PE ratio of -50.45 and a beta of 1.10. The stock has a fifty day simple moving average of $58.79 and a two-hundred day simple moving average of $62.61.

Trending Headlines about Rubrik

Here are the key news stories impacting Rubrik this week:

• Positive Sentiment: Rubrik beat first-quarter estimates with $0.16 EPS versus expectations for a loss, while revenue rose 39% to $387.1 million, reinforcing the company’s growth story in cybersecurity and AI-driven cyber resilience. Rubrik Reports First Quarter Fiscal Year 2027 Financial Results
• Positive Sentiment: The company raised full-year and Q2 guidance, signaling management sees continued demand and improving profitability ahead. Rubrik beats Q1 estimates, raises full-year guidance as cyber resilience demand rises
• Positive Sentiment: Multiple analysts lifted price targets, including CIBC, BMO, DA Davidson, and Oppenheimer, suggesting Wall Street remains constructive after the results. Analyst price target updates
• Positive Sentiment: Unusual call-option activity points to speculation that traders expect more upside after the earnings beat and guidance raise. Unusual options trading in Rubrik
• Neutral Sentiment: Commentary around Rubrik’s AI-enabled security platform and its access to Anthropic’s Mythos preview reinforces the long-term growth narrative, but this is more strategic than an immediate earnings driver. Rubrik is countering AI threats with ‘AI speed’ recoveries: CEO
• Neutral Sentiment: Shareholder approval of the board, auditor, and pay practices removes governance uncertainty, but it is unlikely to materially affect the stock by itself. Rubrik Shareholders Endorse Board, Auditor and Pay Practices
• Negative Sentiment: The stock has been volatile because investors appear to be questioning whether the earnings beat was strong enough to justify the recent run-up in the share price. Is It Time To Reconsider Rubrik (RBRK) After Recent Volatile Share Price Swings?
• Negative Sentiment: Several insider sales, including large disposals by CTO Arvind Nithrakashyap and Director John Wendell Thompson, may be pressuring sentiment even though the trades were pre-planned. SEC filing for insider sales
• Negative Sentiment: Some market commentary said the quarter was solid but not “explosive” enough for a stock that had already rallied sharply, helping explain why shares slipped after earnings. Rubrik posts respectable Q1, not as explosive as needed

Insider Buying and Selling

In related news, Director John Wendell Thompson sold 2,500 shares of the firm’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $84.51, for a total transaction of $211,275.00. Following the completion of the sale, the director directly owned 15,000 shares of the company’s stock, valued at approximately $1,267,650. This trade represents a 14.29% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Yvonne Wassenaar sold 721 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $80.73, for a total value of $58,206.33. Following the sale, the director directly owned 2,326 shares of the company’s stock, valued at $187,777.98. The trade was a 23.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 398,939 shares of company stock valued at $27,628,167 over the last 90 days. Insiders own 13.66% of the company’s stock.

Institutional Trading of Rubrik

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Pacer Advisors Inc. increased its position in shares of Rubrik by 104.8% during the 4th quarter. Pacer Advisors Inc. now owns 14,033 shares of the company’s stock worth $1,073,000 after purchasing an additional 7,181 shares during the last quarter. Corient Private Wealth LLC acquired a new stake in shares of Rubrik during the 4th quarter worth about $5,896,000. Alpine Woods Capital Investors LLC acquired a new stake in shares of Rubrik during the 4th quarter worth about $765,000. Mercer Global Advisors Inc. ADV increased its position in shares of Rubrik by 63.4% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 13,114 shares of the company’s stock worth $1,003,000 after purchasing an additional 5,086 shares during the last quarter. Finally, Vident Advisory LLC increased its position in shares of Rubrik by 50.2% during the 4th quarter. Vident Advisory LLC now owns 5,861 shares of the company’s stock worth $448,000 after purchasing an additional 1,958 shares during the last quarter. 49.54% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several research analysts recently commented on RBRK shares. Jefferies Financial Group set a $90.00 price objective on Rubrik in a research note on Friday. DA Davidson increased their price objective on Rubrik from $70.00 to $90.00 and gave the company a “buy” rating in a research note on Friday. Barclays increased their price objective on Rubrik from $70.00 to $90.00 and gave the company an “overweight” rating in a research note on Friday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Rubrik in a research note on Friday, March 27th. Finally, BMO Capital Markets raised their target price on Rubrik from $73.00 to $87.00 and gave the stock an “outperform” rating in a research note on Friday. Twenty-eight research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Rubrik currently has a consensus rating of “Moderate Buy” and an average price target of $93.00.

Rubrik Company Profile

Rubrik, Inc is a cloud data management and security company that delivers a unified platform for data protection, disaster recovery, compliance and intelligent data governance. Its flagship offering, the Rubrik Security Cloud, enables organizations to automate backup and recovery workflows across on-premises, edge and multi-cloud environments. By combining policy-driven orchestration with real-time threat detection, Rubrik helps clients guard against ransomware, ensure business continuity and enforce data retention requirements.

The company’s platform supports a range of services including backup and restore, long-term data archiving, replication, and disaster recovery as a service (DRaaS).