Core Insights - Rubrik (RBRK) shares have increased by 19.6% year-to-date, underperforming the broader Zacks Computer and Technology sector's 22.8% return due to challenging macroeconomic conditions and intense competition in the cybersecurity market [1] - The company has outperformed the Zacks Internet - Software sector, which rose by 18.2%, driven by a growing client base and increased demand for data security solutions [2] Company Performance - In Q2 of fiscal 2026, Rubrik's subscription ARR exceeded $1.25 billion, marking a 36% year-over-year growth, with net new subscription ARR of $71 million [2] - The number of customers with over $100K in subscription ARR increased by 27% year-over-year, reaching 2,505 customers as of July 31, 2025 [5] - Cloud ARR grew by 57%, reaching $1.1 billion, driven by the adoption of the Rubrik Security Cloud platform [5] Product and Service Expansion - In July 2025, Rubrik expanded its cloud data protection portfolio, introducing support for Amazon DynamoDB and a cyber resilience solution for Amazon RDS for PostgreSQL [6][7] - In September 2025, Rubrik announced a broader integration with CrowdStrike, enhancing unified identity security through real-time detection and rollback of harmful identity changes [8] - The launch of Rubrik Okta Recovery in September 2025 provides automated, immutable backups for Okta Identity Provider environments, extending identity protection capabilities [10] - The integration of AMD EPYC processors enhances computing efficiency and scalability across Rubrik's platform [11] - The acquisition of Predibase in Q2 of fiscal 2026 aims to accelerate the use of agentic AI, improving accuracy and automating data governance [12] Financial Outlook - For Q3 fiscal 2026, Rubrik expects a non-GAAP loss between 18 cents and 16 cents per share, with revenues projected between $319 million and $321 million, indicating a year-over-year revenue increase of 35.57% [13] - The Zacks Consensus Estimate for Q3 revenues is currently at $320.18 million [13] Valuation and Market Position - Rubrik's stock is currently trading at a premium, with a forward 12-month Price/Sales ratio of 10.65, higher than the broader sector's 6.90 [14] - The expanding clientele and strong cyber recovery solutions enhance Rubrik's competitive position in the cybersecurity market [16] Investment Rating - Rubrik stock carries a Zacks Rank 2 (Buy) and a Growth Score of A, indicating a strong investment opportunity [18]