Core Insights - Rubrik's stock price is expected to reach a new all-time high by mid-2026 due to its critical role in the AI ecosystem [2] - The company's fiscal Q3 results showed a significant increase in revenue and subscriptions, indicating strong demand and growth [3][4] Financial Performance - Rubrik reported net revenue of $350.17 million for fiscal Q3, a nearly 50% year-over-year increase, significantly surpassing market expectations by almost 1000 basis points [3] - Subscription revenue increased by 52%, with annual recurring revenue (ARR) from clients generating over $100K up by 27% [3] - The company achieved adjusted earnings of 10 cents, exceeding expectations, with cash flow up 200% and free cash flow up 400% [4] Guidance and Outlook - Rubrik provided a strong Q4 guidance, expecting continued business momentum and raised its full-year revenue forecast to at least $1.28 billion, which is 400 basis points better than expected [4] - Analysts indicate a positive outlook for Rubrik, with a Moderate Buy rating and an upward trend in consensus price targets, suggesting a minimum target upside of 25% [5] Market Trends - There is a notable accumulation of Rubrik's stock by analysts and institutions in 2025, despite some price target reductions [5] - The overall trend remains positive, with several price target revisions indicating potential upside closer to $130, or about 35% [5]

Core Insights - Rubrik Inc. (NYSE:RBRK) experienced a significant stock price increase of 22.49% week-on-week following a strong earnings report for Q3 of fiscal year 2026 [1][3] Financial Performance - The company reduced its net loss by 51.3%, reporting a loss of $63.8 million compared to $130.9 million in the same quarter last year [2] - Revenues surged by 48% year-on-year, reaching $350.17 million, up from $236.18 million, surpassing expectations of $319 million to $321 million [2] - Subscription revenues saw a remarkable 52% increase, totaling $336.4 million compared to $221.5 million in the same quarter last year [2] - Annual recurring revenues (ARR) grew by 34% year-on-year, amounting to $1.35 billion [2] Future Outlook - Following the positive results, the company raised its full fiscal year revenue outlook to a range of $1.28 billion to $1.282 billion, up from the previous guidance of $1.227 billion to $1.237 billion [4] - Subscription ARR is now expected to be between $1.439 billion and $1.443 billion, an increase from the prior guidance of $1.408 billion to $1.416 billion [4] Market Position - The CEO of Rubrik, Bipul Sinha, highlighted the company's exceptional quarter, emphasizing record net new subscription ARR and free cash flow generation, as organizations increasingly seek to secure their businesses in the context of AI transformation [3]

Core Viewpoint - Rubrik, a cybersecurity leader, is experiencing significant growth driven by the increasing demand for AI-powered solutions, leading to a notable rise in its stock price by 22% following impressive financial results [1][2]. Financial Performance - Rubrik's revenue increased by 48% year over year, reaching $350 million in the third quarter [2]. - The company's subscription annual recurring revenue (ARR) surged by 34% to $1.35 billion, with a 27% increase in customers generating ARR of $100,000 or more [2]. - Gross margin improved to 80.5% from 76.2% in the prior-year quarter [5]. - The net loss per share narrowed to $0.32 from $0.71, and the company reported positive adjusted earnings of $0.10 per share, surpassing Wall Street's expectations of a loss of $0.17 per share [5]. Cash Flow and Guidance - Free cash flow rose nearly fivefold to $76.9 million, indicating strengthened cash generation [6]. - Management provided guidance for full-year revenue of $1.28 billion and free cash flow between $194 million and $202 million [7]. Market Position and Future Outlook - CEO Bipul Sinha emphasized the company's commitment to leading advancements in data protection, cyber resilience, and enterprise AI acceleration as organizations increasingly turn to Rubrik for security solutions amid the AI transformation [3][7].

Core Viewpoint - Rubric's stock has surged over 22% following the company's earnings report, which exceeded expectations and provided improved guidance for future profitability [1][4][19] Company Overview - Rubric is an enterprise information and application software company focused on data security systems for cloud and enterprise data solutions [3][4] - The company offers enterprise data backup and recovery systems along with cyber security resilience features [3] Financial Performance - Rubric reported an adjusted profit of $0.10 per share, a significant turnaround from a loss of $0.21 per share in the same quarter last year, marking a 300% improvement in earnings per share (EPS) [4][5] - Sales increased to $350 million, up 48% from $236 million in the same quarter last year, indicating robust growth [6] Guidance and Analyst Reactions - The company narrowed its full-year adjusted loss guidance for 2026 from $0.48 to a range of $0.16 to $0.20, reflecting improved expectations [7] - Analysts have responded positively, with Deutsche Bank adjusting its price target to $120 and Barrett increasing its target to $130, both maintaining an outperform rating [8] Competitive Landscape - Rubric competes with both smaller companies like Convault and larger players such as Dell Technologies and IBM [4][11] - The company is seen as moving towards consistent profitability faster than some competitors, which may enhance its market position [12] Customer Base and Partnerships - Rubric has over 6,000 customers, with a growing number spending over $100,000 annually, indicating a strong high-end customer base [13] - Partnerships with companies like Salesforce and Cisco are contributing to better unit economics for Rubric [13] Future Outlook - Analysts expect Rubric to report a full year of adjusted profits in 2027, with continued positive momentum in earnings anticipated over the next four quarters [17][18]

Kunakorn Rassadornyindee / Shutterstock.com Quick Read Rubrik (RBRK) beat earnings by $0.27 and posted non-GAAP EPS of $0.10 versus consensus of negative $0.17. Revenue reached $350.2M with 48% year-over-year growth. Free cash flow surged nearly five-fold to $76.89M from $15.57M in the prior year quarter. Rubrik raised full-year revenue guidance to $1.28B to $1.282B. Shares jumped 24.1% as the profitability milestone signals operating leverage at scale. Subscription revenue grew 52% to $336.4M. If ...

Core Insights - Rubrik Inc. experienced a significant stock surge of over 20% intra-day following the release of quarterly results that exceeded expectations and an upward revision of its full-year outlook, driven by strong subscription growth and improved profitability [1] Financial Performance - For the fiscal third quarter ending October 31, Rubrik reported adjusted earnings of $0.10 per share, surpassing analyst expectations by $0.27 [2] - Revenue increased by 48% year-over-year to $350.2 million, exceeding estimates, primarily due to robust demand for subscription-based cybersecurity and data resilience solutions [2] Subscription Growth - Subscription Annual Recurring Revenue (ARR) grew by 34% year-over-year to $1.35 billion [3] - Subscription revenue reached $336.4 million, marking a 52% increase from the previous year [3] - The company added 2,638 customers contributing $100,000 or more in ARR, representing a 27% increase compared to last year [3] - Subscription net new ARR amounted to $95 million [3] Profitability and Outlook - Significant margin improvements were noted, with subscription ARR contribution margin rising to 10.3%, up from -3.3% a year earlier [4] - Non-GAAP gross margin increased to 82.8%, compared to 79.2% in the previous year [4] - Free cash flow rose to $76.9 million from $15.6 million [4] - The company raised its fiscal 2026 revenue outlook to a maximum of $1.282 billion and indicated a narrower full-year loss per share, reflecting increased confidence in its growth trajectory and expanding operating leverage [4]

Yesterday we were watching whether Rubrik (NYSE: RBRK) could deliver on its profitability promise while maintaining growth momentum. ...

Core Viewpoint - Rubrik's shares surged 25% following impressive third-quarter results and an upward revision of revenue guidance, indicating strong market confidence in the company's growth potential [1][2]. Group 1: Financial Performance - Revenue for the third quarter increased by 48% year-over-year, reaching $350 million, surpassing the average analyst estimate of $320 million [1]. - Adjusted earnings were reported at 10 cents per share, contrasting with analysts' expectations of a loss of 17 cents per share [1]. Group 2: Future Guidance - The company raised its revenue guidance for the fiscal year to a range of $1.28 billion to $1.282 billion, an increase from the previous high of $1.237 billion [2]. Group 3: Strategic Focus - CEO Bipul Sinha highlighted the company's strengths in cyber resilience and its recent initiatives in protecting artificial intelligence agents as key drivers of rapid growth [2]. - Sinha emphasized the concerns businesses have regarding the operations of AI agents, including issues of transparency and error management [3].

Core Insights - Rubrik (RBRK) reported third-quarter fiscal 2026 non-GAAP earnings of 10 cents per share, significantly exceeding the Zacks Consensus Estimate by 158.82%, compared to a loss of 21 cents per share in the same quarter last year. Total revenues reached $350.2 million, surpassing the consensus mark by 9.11% and reflecting a 48% year-over-year increase. Rubrik's shares rose by 18.78% in after-market trading [1][8]. Revenue Performance - Subscription revenues, which constitute 96.1% of total revenues, increased by 51.9% year over year to $336.4 million, beating the Zacks Consensus Estimate by 8.84%. The subscription Net Retention Rate (NRR) exceeded 120%. Cloud Annual Recurring Revenue (ARR) grew to $1,175 million, marking a 53% year-over-year increase [2]. - Subscription Annual Recurring Revenue (ARR) reached $1.35 billion, representing a 34% year-over-year growth. Net New Subscription ARR hit a record $94 million, indicating strong customer acquisition and expansion. The number of customers contributing over $100K in subscription ARR rose to 2,638, a 27% year-over-year increase, with these large customers now accounting for 86% of Rubrik's subscription ARR, up from 83% the previous year [3]. Customer Growth - Rubrik added a record 23 new customers with subscription ARR exceeding $1 million, contributing to over 50% growth in its $1 million subscription base. The company maintained a high Net Promoter Score of over 80, placing it in the top 1% of enterprise software companies globally [4]. Operating Metrics - On a non-GAAP basis, gross margin improved by 400 basis points year over year to 83%. Research and development expenses rose by 20.2% year over year to $68.4 million, while sales and marketing expenses increased by 24.3% to $163.3 million. General and administrative expenses surged by 61.1% to $48.1 million [5]. - The operating income was reported at $10.1 million on a non-GAAP basis, a significant improvement from the operating loss of $31.2 million in the same quarter last year [6]. Financial Position - As of October 31, 2025, cash and cash equivalents and short-term investments totaled $1.60 billion, up from $1.52 billion as of July 31, 2025. The company generated a cash flow from operations of $85.5 million, compared to $64.7 million in the previous quarter [7]. - Free cash flow was reported at $76.9 million, an increase from $57.5 million as of July 31, 2025 [9]. Future Guidance - For the fourth quarter of fiscal 2026, Rubrik anticipates revenues between $341 million and $343 million, indicating approximately 33% year-over-year growth. The expected non-GAAP loss per share is projected to be between 12 cents and 10 cents. The company also expects a non-GAAP subscription ARR contribution margin of approximately 9% [10]. - For fiscal 2026, Rubrik forecasts revenues between $1.280 billion and $1.282 billion, reflecting an approximate 44% year-over-year growth. Subscription ARR is expected to be between $1,439 million and $1,443 million, with a projected non-GAAP loss per share between 20 cents and 16 cents. Free cash flow is anticipated to be between $194 million and $202 million [11].

Market Performance - U.S. stocks showed positive movement with the Nasdaq Composite gaining approximately 0.2% on Friday, while the Dow increased by 0.17% to 47,933.71, and the S&P 500 rose by 0.15% to 6,867.40 [1] - Communication services sector saw a notable increase of 0.9%, while utilities stocks experienced a decline of 0.6% [1] Economic Indicators - The U.S. PCE price index rose by 0.3% month-over-month in September, consistent with the previous month and aligning with market expectations [2][11] - U.S. personal income increased by 0.4% month-over-month to $26.397 trillion in September [8] Commodity Prices - Oil prices increased by 0.7% to $60.08, while gold rose by 0.1% to $4,245.70. Silver saw a significant increase of 2.7% to $59.035, and copper rose by 1.2% to $5.4385 [5] Company News - Praxis Precision Medicines Inc shares surged by 31% to $248.00 following the completion of its pre-NDA meeting with the FDA [9] - DigitalBridge Group Inc shares increased by 32% to $12.86 amid reports of SoftBank's interest in acquiring the company [9] - Rubrik Inc shares rose by 23% to $86.80 after reporting better-than-expected third-quarter results and raising its FY26 guidance [9] - Parsons Corp shares dropped by 25% to $62.97 after losing a joint bid with IBM for a new air traffic control system [9] - Sportsman's Warehouse Holdings Inc shares fell by 30% to $1.70 following disappointing third-quarter results [9] - Domo Inc shares decreased by 23% to $8.87 after reporting third-quarter results and issuing lower-than-expected fourth-quarter sales guidance [9]